HudBay Minerals (HBM) Soars 5.9%: Is Further Upside Left in the Stock?
HudBay Minerals (HBM) shares ended the last trading session 5.9% higher at $5.24. 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 1.2% gain over the past four weeks.
HudBay Mineral’s shares have been gaining since an analyst at Barclays upgraded the rating from Equalweight to Overweight.
The company recently completed the acquisition of Copper Mountain Mining Corporation thus creating a premier Americas-focused copper mining company. It is well-poised to deliver sustainable cash flows and solid growth backed by a larger platform with three long-life operating mines and a world-class pipeline of copper expansion and development projects.
All assets in the combined portfolio are located in the tier-one mining-friendly jurisdictions of Canada, Peru and the United States. Based on the estimated copper production in 2023, The combined company represents the third largest copper producer in Canada.
This mining company is expected to post quarterly earnings of $0.12 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $373.53 million, down 10.1% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For HudBay Minerals, the consensus EPS estimate for the quarter has been revised 7.1% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on HBM 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 >>>>
HudBay Minerals is part of the Zacks Mining - Miscellaneous industry. American Resources Corporation (AREC), another stock in the same industry, closed the last trading session 6.7% higher at $2.06. AREC has returned 8.4% in the past month.
American Resources Corporation's consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.04. Compared to the company's year-ago EPS, this represents no change. American Resources Corporation currently boasts a Zacks Rank of #3 (Hold).
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HudBay Minerals Inc (HBM) : Free Stock Analysis Report
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