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3 Reasons Growth Investors Will Love Harmony Biosciences (HRMY)
ZACKSยท 2025-07-15 17:46
Core Viewpoint - Investors are seeking growth stocks that can deliver above-average growth and exceptional returns, but identifying such stocks is challenging due to inherent volatility and risks [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system aids in identifying promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Harmony Biosciences Holdings, Inc. (HRMY) is highlighted as a recommended stock with a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is crucial for investors, with double-digit growth being a strong indicator of future stock price gains [3] - Harmony Biosciences has a historical EPS growth rate of 11.7%, with projected EPS growth of 22.5% this year, surpassing the industry average of 19.1% [4] Group 3: Cash Flow Growth - High cash flow growth is essential for growth-oriented companies, allowing them to fund new projects without external financing [5] - Harmony Biosciences has a year-over-year cash flow growth of 10%, significantly higher than the industry average of -4.7% [5] - The company's annualized cash flow growth rate over the past 3-5 years is 25.7%, compared to the industry average of 4.1% [6] Group 4: Earnings Estimate Revisions - Positive trends in earnings estimate revisions correlate strongly with near-term stock price movements [7] - Current-year earnings estimates for Harmony Biosciences have been revised upward, with the Zacks Consensus Estimate increasing by 0.2% over the past month [8] Group 5: Overall Assessment - Harmony Biosciences has achieved a Growth Score of B and a Zacks Rank 2, indicating positive earnings estimate revisions and potential for outperformance [9]
Why Penguin Solutions, Inc. (PENG) Might be Well Poised for a Surge
ZACKSยท 2025-07-15 17:20
Core Viewpoint - Penguin Solutions, Inc. (PENG) is experiencing solid improvement in earnings estimates, which is likely to positively impact its stock price momentum [1][2]. Earnings Estimate Revisions - The rising trend in earnings estimate revisions reflects growing analyst optimism about the company's earnings prospects, which is expected to be mirrored in the stock price [2]. - For the current quarter, the earnings estimate is $0.37 per share, showing no year-over-year change, but the Zacks Consensus Estimate has increased by 18.92% due to two upward revisions [6]. - For the full year, the earnings estimate is $1.85 per share, representing a 48.0% increase from the previous year, with the consensus estimate rising by 15.21% following two upward revisions [7][8]. Zacks Rank - Penguin Solutions, Inc. currently holds a Zacks Rank 1 (Strong Buy), indicating strong agreement among analysts in revising earnings estimates upward, which historically correlates with stock outperformance [3][9]. - Stocks with Zacks Rank 1 and 2 have shown significant outperformance compared to the S&P 500 [9]. Stock Performance - The stock has gained 27.5% over the past four weeks, suggesting investor confidence in the company's earnings growth prospects [10].
Earnings Estimates Moving Higher for T. Rowe (TROW): Time to Buy?
ZACKSยท 2025-07-15 17:20
Core Insights - T. Rowe Price (TROW) shows potential as a portfolio addition due to notable revisions in earnings estimates, with an improving earnings outlook [1][10] - The rising trend in estimate revisions reflects growing analyst optimism regarding the company's earnings prospects, which is expected to positively influence its stock price [2][9] Current-Quarter Estimate Revisions - The current quarter's earnings estimate is projected at $2.08 per share, indicating a year-over-year decline of 8.0% [6] - Over the past 30 days, the Zacks Consensus Estimate for T. Rowe has increased by 7.67%, with four estimates moving higher and one lower [6] Current-Year Estimate Revisions - For the full year, the earnings estimate stands at $8.77 per share, reflecting a year-over-year decrease of 6.0% [7] - Recent trends show five upward revisions for the current year, with no negative revisions, resulting in a 6.2% increase in the consensus estimate [7][8] Zacks Rank and Performance - T. Rowe Price has achieved a Zacks Rank 2 (Buy) due to favorable estimate revisions, which is a reliable indicator for investors [9] - Stocks with Zacks Rank 1 (Strong Buy) and 2 (Buy) have historically outperformed the S&P 500 [9] Bottom Line - The stock has gained 9.7% over the past four weeks, driven by solid estimate revisions, suggesting that earnings growth prospects may lead to further stock price increases [10]
Vertex (VERX) Moves 5.0% Higher: Will This Strength Last?
ZACKSยท 2025-07-15 17:16
Company Overview - Vertex (VERX) shares increased by 5% to close at $36.21, following a notable trading volume that exceeded typical levels, contrasting with a 6.6% loss over the past four weeks [1] - The company is benefiting from the rising adoption of e-invoicing mandates and cloud migration within the enterprise sector [1] Earnings Expectations - Vertex is projected to report quarterly earnings of $0.14 per share, reflecting a year-over-year decline of 6.7%, while revenues are expected to reach $184.25 million, marking a 14.4% increase from the previous year [2] - The consensus EPS estimate for Vertex has been revised 3% lower in the last 30 days, indicating a negative trend in earnings estimate revisions, which typically does not lead to price appreciation [3] Industry Context - Vertex operates within the Zacks Internet - Software industry, where another company, Exodus Movement, Inc. (EXOD), saw its stock rise by 2.1% to $33.7, with a 5.2% return over the past month [3] - Exodus Movement, Inc. has an unchanged consensus EPS estimate of -$0.17, representing a 54.1% improvement from the previous year, but currently holds a Zacks Rank of 5 (Strong Sell) [4]
Marex Group PLC (MRX) Upgraded to Buy: Here's Why
ZACKSยท 2025-07-15 17:01
Investors might want to bet on Marex Group PLC (MRX) , as it has been recently upgraded to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.Individua ...
What Makes ACNB (ACNB) a New Buy Stock
ZACKSยท 2025-07-15 17:01
ACNB (ACNB) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.Individual investors often fi ...
Rapt Therapeutics (RAPT) Upgraded to Strong Buy: Here's Why
ZACKSยท 2025-07-15 17:01
Investors might want to bet on Rapt Therapeutics (RAPT) , as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the sys ...
All You Need to Know About Cellectar Biosciences (CLRB) Rating Upgrade to Buy
ZACKSยท 2025-07-15 17:01
Cellectar Biosciences, Inc. (CLRB) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.Th ...
What Makes Amgen (AMGN) a New Buy Stock
ZACKSยท 2025-07-15 17:01
Amgen (AMGN) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.The power of a chang ...
Sprout Social (SPT) Upgraded to Strong Buy: Here's What You Should Know
ZACKSยท 2025-07-15 17:01
Core Viewpoint - Sprout Social (SPT) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive earnings outlook that could lead to increased buying pressure and stock price appreciation [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]. - Rising earnings estimates for Sprout Social suggest an improvement in the company's underlying business, which should encourage investors to push the stock price higher [5][8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7][9]. - Only the top 5% of Zacks-covered stocks receive a "Strong Buy" rating, indicating superior earnings estimate revisions and potential for market-beating returns [10]. Recent Performance of Sprout Social - Analysts have raised their earnings estimates for Sprout Social, with the Zacks Consensus Estimate increasing by 13.8% over the past three months [8]. - The expected earnings per share for the fiscal year ending December 2025 is $0.73, reflecting no year-over-year change [8].