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Radware (RDWR) Upgraded to Buy: Here's Why
ZACKSยท 2025-06-11 17:00
Core Viewpoint - Radware (RDWR) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which are 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 have a strong correlation 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 [4]. Radware's Earnings Outlook - For the fiscal year ending December 2025, Radware is expected to earn $1.05 per share, which remains unchanged from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for Radware has increased by 55.6%, indicating a positive trend in earnings expectations [8]. 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]. - Radware'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].