What Makes Paysign (PAYS) a New Buy Stock

Core Viewpoint - Paysign, Inc. (PAYS) 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 is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in stock price movements [4]. Recent Performance and Outlook - For the fiscal year ending December 2025, Paysign is expected to earn $0.36 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 2.9% over the past three months [8]. - The upgrade to Zacks Rank 2 places Paysign in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10]. 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 generated an average annual return of +25% since 1988 [7]. - The system maintains a balanced distribution of ratings, ensuring that only the top 20% of stocks are positioned for superior earnings estimate revisions [9][10].