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Nissan Motor Co. (NSANY) Stock Sinks As Market Gains: What You Should Know

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Nissan Motor Co. (NSANY - Free Report) closed at $11 in the latest trading session, marking a -1.61% move from the prior day. This move lagged the S&P 500's daily gain of 0.08%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq lost 4.81%.

Heading into today, shares of the company had gained 11.86% over the past month, outpacing the Auto-Tires-Trucks sector's gain of 7.23% and the S&P 500's gain of 0.64% in that time.

Nissan Motor Co. will be looking to display strength as it nears its next earnings release. On that day, Nissan Motor Co. is projected to report earnings of -$0.09 per share, which would represent a year-over-year decline of 12.5%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.98 billion, down 10.91% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.83 per share and revenue of $81.63 billion. These totals would mark changes of +152.2% and +9.84%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for Nissan Motor Co.These revisions help to show the ever-changing nature of 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

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 1.42% higher. Nissan Motor Co. currently has a Zacks Rank of #1 (Strong Buy).

In terms of valuation, Nissan Motor Co. is currently trading at a Forward P/E ratio of 13.31. Its industry sports an average Forward P/E of 11.13, so we one might conclude that Nissan Motor Co. is trading at a premium comparatively.

The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 104, which puts it in the top 41% 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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