Here's Why Lithium Americas Corp. (LAC) Fell More Than Broader Market

In the latest close session, Lithium Americas Corp. (LAC) was down 2.27% at $3.02. The stock's performance was behind the S&P 500's daily loss of 0.18%. Meanwhile, the Dow lost 0.85%, and the Nasdaq, a tech-heavy index, lost 0.06%.

The stock of lithium producer has fallen by 13.69% in the past month, lagging the Basic Materials sector's gain of 5% and the S&P 500's gain of 3.33%.

Investors will be eagerly watching for the performance of Lithium Americas Corp. in its upcoming earnings disclosure. The company is forecasted to report an EPS of -$0.04, showcasing a 33.33% upward movement from the corresponding quarter of the prior year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of -$0.14 per share and a revenue of $0 million, signifying shifts of +69.57% and 0%, respectively, from the last year.

Investors should also note any recent changes to analyst estimates for Lithium Americas Corp. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Lithium Americas Corp. is currently a Zacks Rank #3 (Hold).

The Mining - Miscellaneous industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 193, this industry ranks in the bottom 22% of all industries, numbering over 250.

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.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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This article originally published on Zacks Investment Research (zacks.com).

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