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Lithium Americas Corp. (LAC) Outpaces Stock Market Gains: What You Should Know

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Lithium Americas Corp. (LAC - Free Report) closed at $20.71 in the latest trading session, marking a +0.58% move from the prior day. This move outpaced the S&P 500's daily gain of 0.56%. Elsewhere, the Dow gained 0.41%, while the tech-heavy Nasdaq added 1.35%.

Coming into today, shares of the metals and mining company had lost 12.08% in the past month. In that same time, the Basic Materials sector lost 3.21%, while the S&P 500 lost 1.48%.

Lithium Americas Corp. will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of -$0.25, down 150% from the prior-year quarter.

Any recent changes to analyst estimates for Lithium Americas Corp. should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 11.27% lower. Lithium Americas Corp. is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note Lithium Americas Corp.'s current valuation metrics, including its Forward P/E ratio of 20.82. For comparison, its industry has an average Forward P/E of 12.46, which means Lithium Americas Corp. is trading at a premium to the group.

The Chemical - Diversified industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 180, which puts it in the bottom 29% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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