Aviva (AVVIY) Upgraded to Strong Buy: Here's What You Should Know

Core Viewpoint - Aviva (AVVIY) has received a Zacks Rank 1 (Strong Buy) upgrade due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Institutional investors often rely on earnings estimates to determine the fair value of stocks, leading to significant price movements based on their buying or selling actions [4]. Recent Performance and Outlook - Aviva's rising earnings estimates reflect an improvement in its underlying business, which is expected to drive the stock price higher [5]. - For the fiscal year ending December 2025, Aviva is projected to earn $1.52 per share, with a 10.1% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - Aviva's upgrade to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].