ADC Therapeutics (ADCT) Upgraded to Buy: Here's What You Should Know

Core Viewpoint - ADC Therapeutics SA (ADCT) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system emphasizes the importance of earnings estimate revisions, which have a strong correlation with near-term stock price movements [4][6]. - Rising earnings estimates for ADC Therapeutics suggest an improvement in the company's underlying business, likely leading to increased stock prices as investors respond positively [5][10]. Zacks Rating System - The Zacks Rank system categorizes stocks into five groups based on earnings estimates, with a proven track record of Zacks Rank 1 stocks generating an average annual return of +25% since 1988 [7]. - ADC Therapeutics' upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [9][10]. Earnings Estimate Revisions for ADC Therapeutics - For the fiscal year ending December 2025, ADC Therapeutics is expected to earn -$1.55 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 2.8% over the past three months [8].