The number of polled analysts who have revised the company's estimated EPS downward from their previous month's estimate.
Benefit
By looking at the number of analysts who have reduced their earnings forecasts, you can tell whether the company is doing worse than analysts had expected.
Origin
This information is provided by Morningstar Consensus Estimates.
For the Pros
Some investors see downward earnings revisions as bearish. Studies seem to indicate that, on average, analysts are slow to change their minds about a company. So a few downward revisions tend to lead to more down the line. In general, stock prices react negatively to downward shifts in earnings forecasts.