Nikola Stock (NKLA) Advances But Lags Market: What You Should Know

Nikola stock

The most recent trading day for Nikola stock (NASDAQ:NKLA) price was at $3.94, representing a movement of +1.03% from the previous trading session. The Nikola stock’s daily gain was lower than the S&P 500’s increase of 1.97%. In the meantime, the Dow advanced by 1.88%, while the Nasdaq, which is focused on technology, rose 0.25%.

Shares of the company that was a pioneer in emission-free trucks entered today down 27.91% over the previous month. During the same period, the Auto-Tires-Trucks sector saw a loss of 6.75 percent, while the S&P 500 experienced a loss of 9.93 percent.

Nikola Stock Price Analysis

As Nikola Corporation (NASDAQ:NKLA) gets closer to reporting its subsequent earnings, investors will be hopeful the company continues to show strength. According to that research, market analysts anticipate that Nikola will record a loss of $0.39 per share in operating income. This would represent a decrease of 77.27% compared to the previous year.

Considering the recent shifts in analyst expectations for Nikola is also essential. These modifications often reflect the most recent short-term trends in business, which are prone to frequent change. Keeping this in mind, we might look at positive estimate revisions as evidence of an optimistic attitude towards the company’s future business prospects.

According to the findings of our investigation, these estimation adjustments have a clear correlation with stock prices in the near term. Utilizing the Zacks Rank is one-way investors can make the most of this situation. This model considers the alterations to the estimates and gives a straightforward and actionable scoring system.

The Zacks Rank methodology, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has a proven, independently verified track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Rank methodology is available here. During the preceding month, there was no change to the earnings per share Zacks Consensus estimate. At the moment, Nikola is ranked third by Zacks (Hold).

The Automotive-Domestic industry is within the purview of the sector known as Auto Tires and Trucks. This organization is ranked 137 out of more than 250 different industries by Zacks, which places it in the worst 46% of all of those industries.

By calculating the average Zacks Rank of the individual stocks that make up each industry group, the Zacks Industry Rank can determine the relative strength of each of our distinct industry groupings. According to our research findings, the industries that received ratings in the top 50% do much better than those that received ratings in the bottom 50%.


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About the author: Valerie Ablang is a freelance writer with a background in scientific research and an interest in stock market analysis. She previously worked as an article writer for various industrial niches. Aside from being a writer, she is also a professional chemist, wife, and mother to her son. She loves to spend her free time watching movies and learning creative design.