U.S. markets open in 4 hours 38 minutes
  • S&P Futures

    4,156.75
    +1.25 (+0.03%)
     
  • Dow Futures

    33,942.00
    -16.00 (-0.05%)
     
  • Nasdaq Futures

    13,919.25
    +22.00 (+0.16%)
     
  • Russell 2000 Futures

    2,226.00
    -3.30 (-0.15%)
     
  • Crude Oil

    64.09
    +0.71 (+1.12%)
     
  • Gold

    1,767.50
    -3.10 (-0.18%)
     
  • Silver

    25.90
    +0.06 (+0.22%)
     
  • EUR/USD

    1.2070
    +0.0029 (+0.24%)
     
  • 10-Yr Bond

    1.6010
    0.0000 (0.00%)
     
  • Vix

    17.58
    +1.33 (+8.18%)
     
  • GBP/USD

    1.3989
    +0.0005 (+0.03%)
     
  • USD/JPY

    108.4780
    +0.3280 (+0.30%)
     
  • BTC-USD

    55,214.07
    -2,165.99 (-3.77%)
     
  • CMC Crypto 200

    1,244.64
    -54.31 (-4.18%)
     
  • FTSE 100

    6,963.59
    -36.49 (-0.52%)
     
  • Nikkei 225

    29,100.38
    -584.99 (-1.97%)
     

Earnings Estimates Moving Higher for Evercore (EVR): Time to Buy?

  • Oops!
    Something went wrong.
    Please try again later.
Zacks Equity Research
·2 min read
  • Oops!
    Something went wrong.
    Please try again later.

Investors might want to bet on Evercore (EVR), as earnings estimates for this company have been showing solid improvement lately. The stock has already gained solid short-term price momentum, and this trend might continue with its still improving earnings outlook.

The rising trend in estimate revisions, which is a result of growing analyst optimism on the earnings prospects of this investment bank, should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Our stock rating tool -- the Zacks Rank -- is principally built on this insight.

The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.

For Evercore, there has been strong agreement among the covering analysts in raising earnings estimates, which has helped push consensus estimates considerably higher for the next quarter and full year.

The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:

12 Month EPS

Current-Quarter Estimate Revisions

For the current quarter, the company is expected to earn $2.21 per share, which is a change of +82.64% from the year-ago reported number.

Over the last 30 days, the Zacks Consensus Estimate for Evercore has increased 15.28% because three estimates have moved higher compared to no negative revisions.

Current-Year Estimate Revisions

For the full year, the earnings estimate of $9.50 per share represents a change of -1.25% from the year-ago number.

In terms of estimate revisions, the trend for the current year also appears quite encouraging for Evercore. Over the past month, three estimates have moved higher compared to no negative revisions, helping the consensus estimate increase 9.95%.

Favorable Zacks Rank

The promising estimate revisions have helped Evercore earn a Zacks Rank #1 (Strong Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.

Bottom Line

Investors have been betting on Evercore because of its solid estimate revisions, as evident from the stock's 16.5% gain over the past four weeks. As its earnings growth prospects might push the stock higher, you may consider adding it to your portfolio right away.


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Evercore Inc (EVR) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research