NAV - Why Navistar International Stock Rocketed 20% Higher at the Open Today
Shares of truck maker Navistar International (NYSE: NAV) jumped by as much as 20% in the first half hour of trading on Thursday -- just a day after the company reported earnings. The stock price move was likely driven by not one, but two newsworthy events.
Navistar's fiscal third-quarter earnings report wasn't exactly a scintillating read, as the company suffered a 45% year-over-year top-line decline. Earnings fell from $1.56 per share in fiscal Q3 2019 to a loss of $0.37. Given the impact of the COVID-19 pandemic, however, bad results were pretty much expected and the final earnings tally wasn't as bad as analysts had been expecting when looked at on an adjusted basis. That's why Jefferies analyst Stephen Volkmann boosted his target price on the stock from $35 to $45 Thursday morning, and maintained his buy rating on it. Investors usually look positively on such upward price adjustments.
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