Strength Seen in Fox Factory Holding (FOXF): Can Its 19.6% Jump Turn into More Strength?

Fox Factory Holding (FOXF) shares ended the last trading session 19.6% higher at $21.97. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 25.8% loss over the past four weeks.

Fox Factory's stock surged amid a broader market rebound following the Trump administration’s announcement of a temporary halt on reciprocal tariffs for most countries. The move came in response to steep market declines and growing fears that tariff increases could push the economy into a recession.

This vehicle suspension maker is expected to post quarterly earnings of $0.22 per share in its upcoming report, which represents a year-over-year change of -24.1%. Revenues are expected to be $328.55 million, down 1.5% 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 Fox Factory Holding, 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 FOXF 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 >>>>

Fox Factory Holding is part of the Zacks Automotive - Domestic industry. Lucid Group (LCID), another stock in the same industry, closed the last trading session 9.9% higher at $2.55. LCID has returned 11% in the past month.

For Lucid Group

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This article originally published on Zacks Investment Research (zacks.com).

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