Workhorse Group (WKHS) Stock Sinks As Market Gains: What You Should Know

Zacks Equity Research
·2-min read

Workhorse Group (WKHS) closed at $16.93 in the latest trading session, marking a -1.43% move from the prior day. This change lagged the S&P 500's 0.64% gain on the day. At the same time, the Dow added 1.39%, and the tech-heavy Nasdaq gained 0.52%.

Investors will be hoping for strength from WKHS as it approaches its next earnings release, which is expected to be August 10, 2020. On that day, WKHS is projected to report earnings of -$0.12 per share, which would represent a year-over-year decline of 20%. Our most recent consensus estimate is calling for quarterly revenue of $0.30 million, up 2900% from the year-ago period.

WKHS's full-year Zacks Consensus Estimates are calling for earnings of -$0.35 per share and revenue of $16 million. These results would represent year-over-year changes of -400% and +4144.03%, respectively.

It is also important to note the recent changes to analyst estimates for WKHS. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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. Within the past 30 days, our consensus EPS projection has moved 2.99% lower. WKHS is currently a Zacks Rank #3 (Hold).

The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 105, which puts it in the top 42% 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.

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


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