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

Lithium Americas Corp. (LAC) closed at $27.15 in the latest trading session, marking a +0.82% move from the prior day. This change outpaced the S&P 500's 0.57% gain on the day. Meanwhile, the Dow gained 0.7%, and the Nasdaq, a tech-heavy index, lost 0.11%.

Prior to today's trading, shares of the metals and mining company had lost 21.87% over the past month. This has lagged the Basic Materials sector's loss of 4.62% and the S&P 500's loss of 5.26% in that time.

Wall Street will be looking for positivity from Lithium Americas Corp. as it approaches its next earnings report date. On that day, Lithium Americas Corp. is projected to report earnings of -$0.14 per share, which would represent a year-over-year decline of 55.56%.

Any recent changes to analyst estimates for Lithium Americas Corp. should also be noted by investors. 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.

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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 19.12% higher within the past month. Lithium Americas Corp. is currently a Zacks Rank #2 (Buy).

Valuation is also important, so investors should note that Lithium Americas Corp. has a Forward P/E ratio of 199.48 right now. Its industry sports an average Forward P/E of 11.62, so we one might conclude that Lithium Americas Corp. is trading at a premium comparatively.

The Chemical - Diversified industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 170, which puts it in the bottom 33% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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