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Nissan Motor Co. (NSANY) Stock Jumps 6.1%: Will It Continue to Soar?

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Nissan Motor Co. (NSANY - Free Report) shares rallied 6.1% in the last trading session to close at $10.30. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 1.1% loss over the past four weeks.

Nissan’s shares rose yesterday as the auto biggie reported year-over-year growth in 2021 U.S. auto sales despite the global chip crunch. The Japanese automaker registered U.S. sales of 977,639 units, reflecting an increase of 8.7% from the prior year. Sales of Nissan Versa, Sentra, Nissan LEAF, Nissan Kicks, Rogue, and Frontier grew 26.2%, 35.1%, 48.9%, 40.9%, 25.3%, and 64.7%, respectively, on a year-over-year basis.  

This company is expected to post quarterly loss of $0.09 per share in its upcoming report, which represents a year-over-year change of -12.5%. Revenues are expected to be $20.82 billion, down 2.3% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Nissan Motor Co., the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on NSANY going forward to see if this recent jump can turn into more strength down the road.

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


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