Nikola (NKLA) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Nikola (NKLA) closed at $10.12, marking a -0.49% move from the previous day. This move lagged the S&P 500's daily gain of 1.05%.
Coming into today, shares of the pioneer in zero-emission trucks had lost 2.77% in the past month. In that same time, the Auto-Tires-Trucks sector lost 2.8%, while the S&P 500 lost 5.07%.
Investors will be hoping for strength from NKLA as it approaches its next earnings release. The company is expected to report EPS of -$0.26, up 16.13% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.88 per share and revenue of $4.63 million, which would represent changes of -41.94% and +4768.93%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for NKLA. Recent revisions tend to reflect the latest near-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. 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.
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. Within the past 30 days, our consensus EPS projection has moved 0.33% higher. NKLA is holding a Zacks Rank of #2 (Buy) right now.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 114, putting it in the top 45% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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