What Makes ITT (ITT) a New Buy Stock

Core Viewpoint - ITT has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based solely on changes in a company's earnings picture, which is a critical factor for stock price movements [2][4]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling actions that affect stock prices [4]. ITT's Earnings Outlook - For the fiscal year ending December 2025, ITT is expected to earn $6.65 per share, consistent with the previous year's reported figure, while the Zacks Consensus Estimate has increased by 2.6% over the past three months [8]. 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 [7]. - ITT's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].