Earnings Estimates Rising for Red Violet (RDVT): Will It Gain?

Core Insights - Red Violet, Inc. (RDVT) is experiencing solid improvement in earnings estimates, which may lead to continued short-term price momentum [1] - The rising trend in estimate revisions reflects growing analyst optimism regarding the company's earnings prospects, which is expected to positively impact its stock price [2] - The Zacks Rank system indicates strong agreement among analysts in revising earnings estimates upward, resulting in improved consensus estimates for the next quarter and full year [3] Current-Quarter Estimate Revisions - The earnings estimate for the current quarter is $0.15 per share, representing a 66.7% increase from the previous year's figure [5] - Over the past 30 days, the Zacks Consensus Estimate for Red Violet has increased by 66.67%, with one estimate moving higher and no negative revisions [5] Current-Year Estimate Revisions - The expected earnings for the full year are $1.16 per share, reflecting a 41.5% increase from the prior year [6] - The revisions trend for the current year shows promise, with one estimate moving higher and no negative revisions [6] Favorable Zacks Rank - The positive estimate revisions have led to a Zacks Rank of 2 (Buy) for Red Violet, indicating strong potential for outperformance [7] - Research indicates that stocks with Zacks Rank 1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500 [7] Bottom Line - Investors have shown interest in Red Violet due to solid estimate revisions, as evidenced by a 9.4% gain in the stock over the past four weeks [8] - The company's earnings growth prospects may further drive the stock price higher, suggesting it could be a worthwhile addition to investment portfolios [8]