First Majestic Silver (US:AG) ZACKS·2025-10-15 17:01Core Viewpoint - First Majestic Silver (AG) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][4]. Earnings Estimates and Ratings - The Zacks rating system is based solely on a company's changing earnings picture, tracking the Zacks Consensus Estimate for EPS from sell-side analysts [2]. - The Zacks rating upgrade reflects an improvement in First Majestic's earnings outlook, which is expected to positively impact its stock price [4][6]. Impact of Earnings Estimate Revisions - Changes in future earnings potential, as shown by earnings estimate revisions, are strongly correlated with stock price movements, particularly due to institutional investors' reliance on these estimates for valuation [5]. - For First Majestic, the increase in earnings estimates and the rating upgrade signify an enhancement in the company's underlying business, likely leading to a rise in stock price [6]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks which have averaged a +25% annual return since 1988 [8]. - The upgrade to Zacks Rank 2 places First Majestic in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [11]. Earnings Estimate for First Majestic - First Majestic is projected to earn $0.18 per share for the fiscal year ending December 2025, with no year-over-year change, but the Zacks Consensus Estimate has increased by 170.4% over the past three months [9].