Yahoo Finance Newmont Corporation (NEM) Exceeds Market Returns: Some Facts to Consider
Newmont Corporation (NEM) closed the most recent trading day at $41.98, moving +1.82% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.7% for the day. Meanwhile, the Dow experienced a rise of 0.01%, and the technology-dominated Nasdaq saw an increase of 1.1%.
The gold and copper miner's stock has dropped by 5.02% in the past month, falling short of the Basic Materials sector's gain of 3.13% and the S&P 500's gain of 4.03%.
Investors will be eagerly watching for the performance of Newmont Corporation in its upcoming earnings disclosure. In that report, analysts expect Newmont Corporation to post earnings of $0.50 per share. This would mark year-over-year growth of 51.52%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.49 billion, up 29.96% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.37 per share and a revenue of $16.08 billion, representing changes of +47.2% and +36.11%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Newmont Corporation. 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 demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 10.11% higher. Newmont Corporation is currently a Zacks Rank #2 (Buy).
In the context of valuation, Newmont Corporation is at present trading with a Forward P/E ratio of 17.37. This represents a discount compared to its industry's average Forward P/E of 17.59.
It is also worth noting that NEM currently has a PEG ratio of 0.34. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Mining - Miscellaneous stocks are, on average, holding a PEG ratio of 2.84 based on yesterday's closing prices.
The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry, currently bearing a Zacks Industry Rank of 189, finds itself in the bottom 25% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Newmont Corporation (NEM) : Free Stock Analysis Report
