Financial Dictionary
consensus rating or consensus estimate
- The average of multiple analyst ratings or estimates for a particular stock. For example, if three analysts estimate next year's earnings per share for a company at $3.00, $3.20, and $2.70, the consensus estimate is ($3.00 + $3.20 + $2.70)/3, or $2.97. Reported earnings per share different from the consensus estimate is likely to affect the stock's market price.
