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Newmont Corporation (NEM) Rises As Market Takes a Dip: Key Facts

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In the latest market close, Newmont Corporation (NEM - Free Report) reached $41.65, with a +0.68% movement compared to the previous day. This change outpaced the S&P 500's 0.21% loss on the day. Elsewhere, the Dow saw a downswing of 0.16%, while the tech-heavy Nasdaq depreciated by 0.89%.

The gold and copper miner's stock has climbed by 9.91% in the past month, exceeding the Basic Materials sector's loss of 5.13% and the S&P 500's loss of 1.56%.

The investment community will be paying close attention to the earnings performance of Newmont Corporation in its upcoming release. The company is slated to reveal its earnings on February 20, 2025. It is anticipated that the company will report an EPS of $0.94, marking an 88% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $4.88 billion, indicating a 23.35% increase compared to the same quarter of the previous year.

Investors should also take note of any recent adjustments to analyst estimates for Newmont Corporation. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming 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.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.33% fall in the Zacks Consensus EPS estimate. Newmont Corporation is holding a Zacks Rank of #3 (Hold) right now.

In the context of valuation, Newmont Corporation is at present trading with a Forward P/E ratio of 11.89. This valuation marks a premium compared to its industry's average Forward P/E of 9.66.

We can additionally observe that NEM currently boasts a PEG ratio of 0.33. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. NEM's industry had an average PEG ratio of 0.51 as of yesterday's close.

The Mining - Gold industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 76, putting it in the top 31% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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