Brookfield Asset Management .(US:BAM) ZACKS·2026-02-17 18:01Core Viewpoint - Brookfield Asset Management (BAM) has received a Zacks Rank 2 (Buy) upgrade, indicating a positive trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Revisions - The Zacks Consensus Estimate for Brookfield's earnings per share (EPS) for the fiscal year ending December 2026 is projected at $1.88, showing no year-over-year change [8]. - Over the past three months, analysts have increased their earnings estimates for Brookfield by 2.6% [8]. Impact of Earnings Estimates on Stock Prices - Changes in a company's future earnings potential, as reflected in earnings estimate revisions, are strongly correlated with near-term stock price movements [4]. - Institutional investors often rely on earnings estimates to calculate the fair value of a company's shares, leading to significant stock price movements based on these estimates [4]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of Brookfield to a 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 [10].