Workhorse Group (WKHS) Reports Q1 Loss, Lags Revenue Estimates

Company Performance - Workhorse Group reported a quarterly loss of $0.10 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.08, representing an earnings surprise of -25% [1] - The company posted revenues of $1.34 million for the quarter ended March 2024, missing the Zacks Consensus Estimate by 55.37%, and down from $1.69 million a year ago [2] - Over the last four quarters, Workhorse has surpassed consensus EPS estimates only once and has topped consensus revenue estimates just once [2] Stock Movement and Outlook - Workhorse shares have declined approximately 33.3% since the beginning of the year, contrasting with the S&P 500's gain of 11.2% [3] - The company's earnings outlook is mixed, with the current consensus EPS estimate for the coming quarter at -$0.08 on $4.5 million in revenues, and -$0.30 on $65 million in revenues for the current fiscal year [7] Industry Context - The Automotive - Original Equipment industry, to which Workhorse belongs, is currently ranked in the bottom 45% 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 could impact investor sentiment [5]