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Newmont Corporation (NEM) Gains But Lags Market: What You Should Know

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Newmont Corporation (NEM - Free Report) closed at $42.39 in the latest trading session, marking a +0.09% move from the prior day. The stock lagged the S&P 500's daily gain of 0.66%. Meanwhile, the Dow gained 0.61%, and the Nasdaq, a tech-heavy index, lost 0.02%.

Coming into today, shares of the gold and copper miner had lost 7.41% in the past month. In that same time, the Basic Materials sector lost 1.46%, while the S&P 500 lost 3.79%.

Newmont Corporation will be looking to display strength as it nears its next earnings release. In that report, analysts expect Newmont Corporation to post earnings of $0.64 per share. This would mark year-over-year growth of 6.67%. Meanwhile, our latest consensus estimate is calling for revenue of $3.16 billion, up 9.31% from the prior-year quarter.

NEM's full-year Zacks Consensus Estimates are calling for earnings of $2.61 per share and revenue of $12.43 billion. These results would represent year-over-year changes of -11.82% and +1.72%, respectively.

It is also important to note the recent changes to analyst estimates for Newmont Corporation. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.

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. The Zacks Consensus EPS estimate remained stagnant within the past month. Newmont Corporation currently has a Zacks Rank of #5 (Strong Sell).

Looking at its valuation, Newmont Corporation is holding a Forward P/E ratio of 16.23. This valuation marks a premium compared to its industry's average Forward P/E of 7.8.

The Mining - Miscellaneous industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 165, putting it in the bottom 35% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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