In the latest trading session, Newmont Corporation (NEM) closed at $61.36, marking a -0.62% move from the previous day. This move lagged the S&P 500's daily gain of 0.5%. Meanwhile, the Dow lost 0.3%, and the Nasdaq, a tech-heavy index, added 0.95%.
Prior to today's trading, shares of the gold and copper miner had gained 5.59% over the past month. This has outpaced the Basic Materials sector's gain of 4.12% and the S&P 500's gain of 1.89% in that time.
Wall Street will be looking for positivity from NEM as it approaches its next earnings report date. In that report, analysts expect NEM to post earnings of $0.34 per share. This would mark year-over-year growth of 183.33%. Our most recent consensus estimate is calling for quarterly revenue of $2.39 billion, up 5.69% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.38 per share and revenue of $11.85 billion. These totals would mark changes of +80.3% and +21.66%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for NEM. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.89% lower within the past month. NEM is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note NEM's current valuation metrics, including its Forward P/E ratio of 25.94. Its industry sports an average Forward P/E of 17.52, so we one might conclude that NEM is trading at a premium comparatively.
The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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