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Lithium Americas Corp. (LAC) Gains But Lags Market: What You Should Know

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Lithium Americas Corp. (LAC - Free Report) closed the most recent trading day at $19.98, moving +0.71% from the previous trading session. This move lagged the S&P 500's daily gain of 0.83%. At the same time, the Dow added 0.8%, and the tech-heavy Nasdaq gained 4.46%.

Coming into today, shares of the metals and mining company had lost 7.42% in the past month. In that same time, the Basic Materials sector gained 0.87%, while the S&P 500 gained 4.04%.

Lithium Americas Corp. will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of -$0.19, up 45.71% from the prior-year quarter.

Investors should also note any recent changes to analyst estimates for Lithium Americas Corp.These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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 39.72% lower. Lithium Americas Corp. is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, Lithium Americas Corp. currently has a Forward P/E ratio of 33.29. This valuation marks a premium compared to its industry's average Forward P/E of 13.92.

The Chemical - Diversified industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 193, which puts it in the bottom 24% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

To follow LAC in the coming trading sessions, be sure to utilize Zacks.com.


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