Earnings Estimate Revisions
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Expedia (EXPE) Upgraded to Strong Buy: Here's Why
ZACKS· 2026-01-12 18:01
Core Viewpoint - Expedia (EXPE) has been upgraded to a Zacks Rank 1 (Strong 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 closely 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 due to their large transactions [4]. Recent Performance and Outlook - Expedia's earnings estimates have been rising, with a 13.1% increase in the Zacks Consensus Estimate over the past three months, projecting earnings of $15.09 per share for the fiscal year ending December 2025, showing no year-over-year change [8]. - The upgrade to Zacks Rank 1 places Expedia in the top 5% of Zacks-covered stocks, suggesting a strong 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 proven track record of Zacks Rank 1 stocks generating 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 considered for strong buy recommendations, highlighting their superior earnings estimate revisions [9][10].
Arbutus (ABUS) Upgraded to Buy: Here's What You Should Know
ZACKS· 2026-01-12 18:01
Core Viewpoint - Arbutus Biopharma (ABUS) has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in 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 closely correlated with near-term stock price movements [4][6]. - Rising earnings estimates indicate an improvement in the company's underlying business, suggesting that investors may respond positively by driving the stock price higher [5]. Zacks Rank 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]. - Only the top 20% of Zacks-covered stocks receive a "Strong Buy" or "Buy" rating, indicating superior earnings estimate revisions [10]. Specifics on Arbutus - For the fiscal year ending December 2025, Arbutus is expected to earn -$0.19 per share, with no year-over-year change [8]. - Over the past three months, the Zacks Consensus Estimate for Arbutus has increased by 5.9%, reflecting positive sentiment among analysts [8].
Floor & Dcor (FND) Moves 8.0% Higher: Will This Strength Last?
ZACKS· 2026-01-12 16:17
Company Overview - Floor & Decor (FND) shares increased by 8% to close at $72.74, supported by strong trading volume, significantly higher than average [1] - The stock has gained 7.1% over the past four weeks, indicating positive momentum [1] Growth Drivers - The stock's upward movement is attributed to ongoing store expansion, supply chain improvements, and growth initiatives that enhance customer demand and market share [2] - Investor sentiment has improved due to optimism regarding housing affordability in the U.S., following discussions between U.S. Commerce Secretary Howard Lutnick and homebuilding executives about the Trump administration's efforts to address affordability concerns [2] Earnings Expectations - Floor & Decor is projected to report quarterly earnings of $0.35 per share, reflecting a year-over-year decline of 10.3% [3] - Expected revenues for the upcoming quarter are $1.14 billion, which represents a 2.7% increase compared to the same quarter last year [3] Earnings Estimate Trends - The consensus EPS estimate for Floor & Decor has remained unchanged over the last 30 days, suggesting stability in earnings expectations [4] - A lack of trend in earnings estimate revisions may impact the stock's price movement, indicating the need for close monitoring of FND's performance [4] Industry Context - Floor & Decor is categorized under the Zacks Retail - Home Furnishings industry, where Lowe's (LOW) also operates [5] - Lowe's shares increased by 4.3% to close at $267.21, with a 3.3% return over the past month, reflecting similar positive trends in the industry [5]
CRISPR Therapeutics (CRSP) Is Considered a Good Investment by Brokers: Is That True?
ZACKS· 2026-01-12 15:30
Core Viewpoint - The average brokerage recommendation (ABR) for CRISPR Therapeutics AG (CRSP) is 1.96, indicating a general suggestion to buy the stock, but reliance solely on this metric may not be advisable due to potential biases in brokerage recommendations [2][5][11]. Brokerage Recommendations - CRISPR Therapeutics has an ABR of 1.96, which is close to a "Strong Buy" rating, based on recommendations from 29 brokerage firms [2]. - Out of the 29 recommendations, 15 are classified as "Strong Buy" and 1 as "Buy," representing 51.7% and 3.5% of total recommendations, respectively [2]. Limitations of Brokerage Recommendations - Brokerage analysts often exhibit a strong positive bias in their ratings due to vested interests, leading to a higher number of "Strong Buy" recommendations compared to "Strong Sell" [6][11]. - Studies indicate that brokerage recommendations may not effectively guide investors toward stocks with the highest potential for price appreciation [5][11]. Zacks Rank Comparison - The Zacks Rank, a proprietary stock rating tool, categorizes stocks from 1 (Strong Buy) to 5 (Strong Sell) and is based on earnings estimate revisions, which are more reliable indicators of near-term stock performance [8][12]. - The Zacks Rank is updated more frequently than the ABR, reflecting timely changes in earnings estimates and business trends [13]. Current Earnings Estimates for CRISPR Therapeutics - The Zacks Consensus Estimate for CRISPR Therapeutics remains unchanged at -$6.34 for the current year, suggesting stable analyst views on the company's earnings prospects [14]. - Due to the unchanged consensus estimate and other factors, CRISPR Therapeutics holds a Zacks Rank of 3 (Hold), indicating a cautious approach despite the positive ABR [15].
Unveiling Goldman (GS) Q4 Outlook: Wall Street Estimates for Key Metrics
ZACKS· 2026-01-12 15:15
Core Viewpoint - Goldman Sachs is expected to report quarterly earnings of $11.69 per share, reflecting a 2.2% decline year over year, while revenues are forecasted to increase by 4.8% to $14.54 billion [1] Earnings Estimates - The consensus EPS estimate has been revised upward by 6.1% in the past 30 days, indicating a reassessment by analysts [2] - Revisions to earnings projections are crucial for predicting investor behavior and stock price performance [3] Revenue Projections - Analysts estimate 'Net Revenues- Platform Solutions- Consumer platforms' at $598.53 million, a year-over-year change of +0.3% [5] - 'Net Revenues- Asset & Wealth Management- Debt investments' is projected at $170.00 million, indicating a decline of 35.6% [5] - 'Net Revenues- Asset & Wealth Management- Equity investments' is expected to be $235.00 million, reflecting a significant drop of 67.8% [6] - 'Net Revenues- Asset & Wealth Management- Private banking and lending' is estimated at $808.30 million, showing a year-over-year increase of 9.8% [6] - 'Net Revenues- Global Banking & Markets- FICC' is projected to reach $2.89 billion, a change of +5.7% [7] - 'Net Revenues- Global Banking & Markets- Other' is expected to be $161.00 million, indicating a decline of 31.5% [8] - 'Net Revenues- Global Banking & Markets- Equities' is forecasted at $3.67 billion, reflecting a year-over-year increase of 6.3% [8] Key Metrics - 'Assets Under Supervision (AUS) - Total' is expected to reach $3517.08 billion, up from $3137.00 billion year over year [9] - The 'Common equity tier 1 capital ratio' is projected to be 14.7%, down from 15.0% a year ago [9] - The 'Leverage ratio' is expected to be 6.6%, an increase from 5.5% reported in the same quarter last year [10] Stock Performance - Goldman Sachs shares have returned +5.8% over the past month, outperforming the Zacks S&P 500 composite's +1.9% change [10]
Southern Copper (SCCO) Surges 6.2%: Is This an Indication of Further Gains?
ZACKS· 2026-01-12 12:30
Company Overview - Southern Copper (SCCO) shares increased by 6.2% to close at $170.52, with notable trading volume compared to typical sessions, and an overall gain of 8.8% over the past four weeks [1] Copper Market Dynamics - Copper prices have risen by 39.2% over the past year, currently trading near a record high of $6 per pound, driven by tightening supply concerns and expectations of rate cuts and policy easing in China [2] Earnings Expectations - Southern Copper is projected to report quarterly earnings of $1.46 per share, reflecting a year-over-year increase of 44.6%, with revenues expected to reach $3.62 billion, up 30.1% from the previous year [3] - The consensus EPS estimate for Southern Copper has been revised 17.2% higher in the last 30 days, indicating a positive trend that typically correlates with stock price appreciation [4] Industry Context - Southern Copper is part of the Zacks Mining - Non Ferrous industry, which includes First Quantum Minerals (FQVLF), whose shares rose by 4.2% to $28.52, with an 11.5% return over the past month [5]
Looking for a Growth Stock? 3 Reasons Why Commercial Metals (CMC) is a Solid Choice
ZACKS· 2026-01-09 18:45
Core Viewpoint - The article emphasizes the importance of identifying growth stocks with strong financial growth potential, highlighting Commercial Metals (CMC) as a recommended stock due to its favorable growth metrics and Zacks Rank [2][9]. Earnings Growth - Commercial Metals has a historical EPS growth rate of 0.4%, but its projected EPS growth for this year is expected to be 127.4%, significantly surpassing the industry average of 84.5% [4]. Asset Utilization Ratio - The company has an asset utilization ratio (sales-to-total-assets ratio) of 1.06, indicating it generates $1.06 in sales for every dollar in assets, which is higher than the industry average of 0.9, showcasing better efficiency [5]. Sales Growth - Commercial Metals is projected to achieve a sales growth of 9.6% this year, compared to the industry average of 4.9%, indicating strong sales performance [6]. Earnings Estimate Revisions - There has been a positive trend in earnings estimate revisions for Commercial Metals, with the Zacks Consensus Estimate for the current year increasing by 0.9% over the past month, suggesting favorable market sentiment [7]. Overall Positioning - With a Growth Score of B and a Zacks Rank of 1, Commercial Metals is well-positioned for outperformance, making it an attractive option for growth investors [9].
Regeneron (REGN) Upgraded to Strong Buy: What Does It Mean for the Stock?
ZACKS· 2026-01-09 18:00
Core Viewpoint - Regeneron (REGN) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [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 utilize earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [4]. Recent Performance and Outlook - Regeneron has seen a 5.3% increase in its Zacks Consensus Estimate over the past three months, with expected earnings of $43.03 per share for the fiscal year ending December 2025, unchanged from the previous year [8]. - The upgrade reflects an improvement in Regeneron's underlying business, which is expected to drive the stock price higher as investor sentiment becomes more positive [5][10]. Zacks Rank System - The Zacks Rank system categorizes stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - Regeneron's upgrade places it in the top 5% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10].
Danone (DANOY) Upgraded to Buy: Here's What You Should Know
ZACKS· 2026-01-09 18:00
Core Viewpoint - Danone (DANOY) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system tracks the Zacks Consensus Estimate, which reflects EPS estimates from sell-side analysts for the current and following years, highlighting the importance of earnings revisions in stock valuation [1][4]. - A strong correlation exists between changes in earnings estimates and near-term stock price movements, driven by institutional investors who adjust their valuations based on these estimates [4][6]. Recent Developments for Danone - Danone is projected to earn $0.95 per share for the fiscal year ending December 2026, with no year-over-year change; however, the Zacks Consensus Estimate has increased by 2.7% over the past three months, indicating a positive outlook [8][10]. - The upgrade to Zacks Rank 2 places Danone in the top 20% of Zacks-covered stocks, suggesting potential for higher stock prices in the near term due to favorable earnings estimate revisions [10]. Zacks Rating System - The Zacks Rank system classifies 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][9]. - The system maintains a balanced distribution of ratings, ensuring that only the top 5% of stocks receive a "Strong Buy" rating, which emphasizes the quality of the ratings [9].
Carvana (CVNA) Upgraded to Buy: Here's Why
ZACKS· 2026-01-09 18:00
Core Viewpoint - Carvana (CVNA) 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 Impact - The Zacks rating system focuses on changes in earnings estimates, which are strongly correlated with near-term stock price movements, particularly due to institutional investors adjusting their valuations based on these estimates [4][6]. - For the fiscal year ending December 2025, Carvana is expected to earn $5.46 per share, with a 10.3% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rating 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]. - Carvana's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [10].