Adient (ADNT Quick QuoteADNT - Free Report) shares ended the last trading session 17.7% higher at $47.47. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 9.2% gain over the past four weeks.

Notably, the firm touched a 52-week high of $47.98 on Mar 12, closing the session a tad lower at $47.47, reflecting a jump of 17.7%. The stock rallied following the company’s decision to sell stake in its Yanfeng JV in China for $1.5 billion. The deal, set for closure in the second half of 2021, will allow Adient to navigate China's automotive market independently and position the company for further growth in the nation.

Price and Consensus

This automotive seating and interiors supplier is expected to post quarterly earnings of $0.60 per share in its upcoming report, which represents a year-over-year change of -3.2%. Revenues are expected to be $3.68 billion, up 4.8% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Adient, the consensus EPS estimate for the quarter has been revised 7.6% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on ADNT going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank 2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>