Investors might want to bet on Ensign Group (ENSG) , as it has been recently upgraded 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 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 system.Since a ...

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying those that can fulfill their potential is challenging due to associated risks and volatility [1] Group 1: Company Overview - Ensign Group (ENSG) is identified as a promising growth stock with a favorable Growth Score and a top Zacks Rank [2] - The company provides nursing and rehabilitative care services, positioning it well within the healthcare sector [3] Group 2: Earnings Growth - Ensign Group has a historical EPS growth rate of 14.5%, with projected EPS growth of 29.8% this year, significantly outperforming the industry average of 2.5% [4] Group 3: Cash Flow Growth - The company exhibits a year-over-year cash flow growth of 15.8%, surpassing the industry average of 9.4% [5] - Over the past 3-5 years, Ensign Group's annualized cash flow growth rate has been 17.4%, compared to the industry average of 5.8% [6] Group 4: Earnings Estimate Revisions - Current-year earnings estimates for Ensign Group have been revised upward, with the Zacks Consensus Estimate increasing by 1% over the past month, indicating positive momentum [7] Group 5: Investment Positioning - Ensign Group holds a Growth Score of B and a Zacks Rank of 2, reflecting positive earnings estimate revisions and positioning the company for potential outperformance [9]

Core Viewpoint - Investors are increasingly seeking growth stocks that demonstrate above-average growth potential, particularly in the financial sector, to achieve exceptional returns, although identifying such stocks can be challenging due to their inherent risks and volatility [1] Group 1: Company Overview - Ensign Group (ENSG) is highlighted as a recommended growth stock due to its favorable Growth Score and top Zacks Rank [2] - The company operates in the nursing and rehabilitative care services sector, which is currently positioned for growth [3] Group 2: Earnings Growth - Ensign Group has a historical EPS growth rate of 14.5%, with projected EPS growth of 18.2% for the current year, significantly outperforming the industry average of -3.2% [5] Group 3: Cash Flow Growth - The company exhibits a year-over-year cash flow growth of 15.8%, surpassing the industry average of 9.4% [6] - Over the past 3-5 years, Ensign Group's annualized cash flow growth rate has been 17.4%, compared to the industry average of 5.8% [7] Group 4: Earnings Estimate Revisions - There has been a positive trend in earnings estimate revisions for Ensign Group, with the Zacks Consensus Estimate for the current year increasing by 1.4% over the past month [8] Group 5: Investment Positioning - Ensign Group holds a Growth Score of B and a Zacks Rank of 2, indicating strong potential for outperformance, making it an attractive option for growth investors [10]

Core Viewpoint - Ensign Group (ENSG) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive earnings outlook that may lead to increased stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in a company's earnings picture, which is a significant factor influencing stock price movements [2][4]. - Rising earnings estimates are correlated with near-term stock price increases, as institutional investors adjust their valuations based on these estimates [4][5]. 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]. - The upgrade of Ensign Group to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns [10]. Earnings Estimate Revisions for Ensign Group - For the fiscal year ending December 2025, Ensign Group is expected to earn $6.39 per share, with a 1.3% increase in the Zacks Consensus Estimate over the past three months [8].

Core Viewpoint - Investors are seeking growth stocks that can deliver above-average growth and exceptional returns, but identifying such stocks is challenging due to their inherent risks and volatility [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] - Ensign Group (ENSG) is highlighted as a recommended stock with a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is a critical factor for growth investors, with double-digit growth being particularly attractive [4] - Ensign Group has a historical EPS growth rate of 14.7%, with projected EPS growth of 16.2% this year, surpassing the industry average of 12% [5] Group 3: Cash Flow Growth - High cash flow growth is essential for growth-oriented companies, enabling them to fund new projects without external financing [6] - Ensign Group's year-over-year cash flow growth is 15.8%, exceeding the industry average of 9.4% [6] - The company's annualized cash flow growth rate over the past 3-5 years is 17.4%, compared to the industry average of 5.8% [7] Group 4: Earnings Estimate Revisions - Positive trends in earnings estimate revisions correlate strongly with stock price movements [8] - Ensign Group has seen upward revisions in current-year earnings estimates, with a 0.5% increase in the Zacks Consensus Estimate over the past month [8] Group 5: Overall Positioning - Ensign Group has achieved a Growth Score of B and a Zacks Rank 2 due to positive earnings estimate revisions, positioning it well for potential outperformance [10]

Core Viewpoint - Investors are increasingly seeking growth stocks that demonstrate above-average growth potential, particularly in the financial sector, to achieve exceptional returns, although identifying such stocks can be challenging due to inherent volatility and risks [1]. Group 1: Company Overview - Ensign Group (ENSG) is currently highlighted as a promising growth stock, supported by a favorable Growth Score and a top Zacks Rank [2]. - The company operates in the nursing and rehabilitative care services sector, which is characterized by strong growth potential [3]. Group 2: Earnings Growth - Historical EPS growth for Ensign Group stands at 14.7%, with projected EPS growth of 16.2% for the current year, surpassing the industry average of 12% [5]. - Earnings growth is a critical factor for investors, as double-digit growth is often seen as indicative of strong future prospects [4]. Group 3: Cash Flow Growth - Ensign Group's year-over-year cash flow growth is reported at 15.8%, significantly higher than the industry average of 9.4% [6]. - The company's annualized cash flow growth rate over the past 3-5 years is 17.4%, compared to the industry average of 5.8%, indicating robust financial health [7]. Group 4: Earnings Estimate Revisions - There has been a positive trend in earnings estimate revisions for Ensign Group, with the Zacks Consensus Estimate for the current year increasing by 1.3% over the past month [8]. - Positive earnings estimate revisions are correlated with near-term stock price movements, making this a favorable indicator for investors [8]. Group 5: Investment Positioning - Ensign Group has achieved a Growth Score of B and a Zacks Rank of 2, positioning it well for potential outperformance in the market [9]. - The combination of strong growth metrics and positive earnings revisions suggests that growth investors may find Ensign Group an attractive investment opportunity [10].