Spire (SR) Upgraded to Buy: Here's What You Should Know

Core Viewpoint - Spire (SR) has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Institutional investors often rely on earnings estimates to determine the fair value of stocks, leading to significant buying or selling activity that impacts stock prices [4]. Spire's Earnings Outlook - Spire's rising earnings estimates and the Zacks Rank upgrade suggest an improvement in the company's underlying business, which is expected to drive the stock price higher [5][10]. - The Zacks Consensus Estimate for Spire indicates expected earnings of $5.18 per share for the fiscal year ending September 2026, with a 4.7% increase in estimates 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]. - Only the top 20% of Zacks-covered stocks receive a "Strong Buy" or "Buy" rating, indicating superior earnings estimate revisions and potential for market-beating returns [9][10].