NEW YORK (TheStreet) -- Navistar International Corp. (NAV) - Get Report stock is advancing 10.47% to $8.97 on heavy trading volume on Thursday after the truck manufacturer's CEO Troy Clarke said the company expects to report annual profits next year for the first time since 2011.
"We have identified and begun implementing actions to further lower our material spend and structural costs, while driving greater efficiencies in our manufacturing operations," Clarke said in a statement. "As a result, we expect to build on our 2015 progress, and our goal is to achieve profitability and be free cash flow positive in 2016."
Before the market open this morning, Navistar reported disappointing fiscal 2015 fourth quarter financial results.
The company reported a loss of 61 cents per share on $2.49 billion in revenue for the quarter ended October 31, while analysts had estimated earnings of 54 cents per share on $2.53 billion in revenue.
So far today, 7.32 million shares of Navistar have exchanged hands, compared with its average daily volume of 1.74 million shares.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate NAVISTAR INTERNATIONAL CORP as a Sell with a ratings score of D-. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, poor profit margins and generally disappointing historical performance in the stock itself.
You can view the full analysis from the report here: NAV