Westport Innovations (WPRT) Reports Q3 Loss, Lags Revenue Estimates

Company Performance - Westport Innovations reported a quarterly loss of $0.22 per share, better than the Zacks Consensus Estimate of a loss of $0.41, and an improvement from a loss of $0.68 per share a year ago, representing an earnings surprise of 46.34% [1] - The company posted revenues of $66.25 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 0.94%, and down from $77.39 million year-over-year [2] - Over the last four quarters, Westport has surpassed consensus EPS estimates two times and topped consensus revenue estimates two times [2] Stock Outlook - Westport shares have declined approximately 39.4% since the beginning of the year, contrasting with the S&P 500's gain of 25.8% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.26 on revenues of $73.57 million, and for the current fiscal year, it is -$1.12 on revenues of $302.84 million [7] Industry Context - The Automotive - Original Equipment industry, to which Westport belongs, is currently ranked in the bottom 26% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact investor sentiment and stock performance [5]