In the latest trading session, Lithium Americas Corp. (LAC) closed at $21.43, marking a +0.94% move from the previous day. This move outpaced the S&P 500's daily gain of 0.57%. Meanwhile, the Dow gained 0.43%, and the Nasdaq, a tech-heavy index, added 0.33%.
Coming into today, shares of the metals and mining company had lost 11.1% in the past month. In that same time, the Basic Materials sector lost 0.51%, while the S&P 500 gained 1.72%.
Investors will be hoping for strength from Lithium Americas Corp. as it approaches its next earnings release. On that day, Lithium Americas Corp. is projected to report earnings of -$0.25 per share, which would represent a year-over-year decline of 150%.
Investors should also note any recent changes to analyst estimates for Lithium Americas Corp.These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 11.27% lower within the past month. Lithium Americas Corp. currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Lithium Americas Corp. currently has a Forward P/E ratio of 21.47. This represents a premium compared to its industry's average Forward P/E of 13.4.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 191, putting it in the bottom 25% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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