Strength Seen in Lear (LEA): Can Its 3.2% Jump Turn into More Strength?

Lear (LEA) shares soared 3.2% in the last trading session to close at $106. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 13.6% gain over the past four weeks.Lear shares surged, driven by new program wins and strong partnerships with Chinese domestic automakers. In April, the company took control of a China joint venture that supplies seats for two major BYD programs, expected to add around $70 million to its 2025 revenues.This automotive seating and electrical distribution systems company is expected to post quarterly earnings of $3.03 per share in its upcoming report, which represents a year-over-year change of -15.8%. Revenues are expected to be $5.62 billion, down 6.6% 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 Lear, 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 LEA going forward to see if this recent jump can turn into more strength down the road. The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>Lear is a member of the Zacks Automotive - Original Equipment industry. One other stock in the same industry, Westport Innovations (WPRT), finished the last trading session 1.3% higher at $3.22. WPRT has returned 10.6% over the past month.For Westport, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.29. This represents a change of +32.6% from what the company reported a year ago. Westport currently has a Zacks Rank of #2 (Buy).5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lear Corporation (LEA): Free Stock Analysis Report Westport Fuel Systems Inc. (WPRT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks