Newmont Corporation (NEM) Outpaces Stock Market Gains: What You Should Know
In the latest market close, Newmont Corporation (NEM) reached $33.66, with a +0.9% movement compared to the previous day. The stock exceeded the S&P 500, which registered a gain of 0.23% for the day. At the same time, the Dow added 0.37%, and the tech-heavy Nasdaq gained 0.07%.
Heading into today, shares of the gold and copper miner had lost 17.08% over the past month, lagging the Basic Materials sector's loss of 6.52% and the S&P 500's gain of 5.3% in that time.
Investors will be eagerly watching for the performance of Newmont Corporation in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 22, 2024. In that report, analysts expect Newmont Corporation to post earnings of $0.51 per share. This would mark year-over-year growth of 15.91%. At the same time, our most recent consensus estimate is projecting a revenue of $3.17 billion, reflecting a 0.89% fall from the equivalent quarter last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Newmont Corporation. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 7.41% lower. At present, Newmont Corporation boasts a Zacks Rank of #5 (Strong Sell).
Digging into valuation, Newmont Corporation currently has a Forward P/E ratio of 14.5. This expresses a premium compared to the average Forward P/E of 12.67 of its industry.
Investors should also note that NEM has a PEG ratio of 2.34 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Mining - Miscellaneous industry stood at 1.77 at the close of the market yesterday.
The Mining - Miscellaneous industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 157, putting it in the bottom 38% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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Newmont Corporation (NEM) : Free Stock Analysis Report
