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Newmont Corporation (NEM) Dips More Than Broader Markets: What You Should Know

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Newmont Corporation (NEM - Free Report) closed the most recent trading day at $41.82, moving -1.09% from the previous trading session. This change lagged the S&P 500's daily loss of 0.65%. At the same time, the Dow added 0.12%, and the tech-heavy Nasdaq gained 0.03%.

Coming into today, shares of the gold and copper miner had lost 3.8% in the past month. In that same time, the Basic Materials sector lost 8.56%, while the S&P 500 lost 11.07%.

Investors will be hoping for strength from Newmont Corporation as it approaches its next earnings release. In that report, analysts expect Newmont Corporation to post earnings of $0.50 per share. This would mark a year-over-year decline of 16.67%. Our most recent consensus estimate is calling for quarterly revenue of $3.16 billion, up 9.31% from the year-ago period.

NEM's full-year Zacks Consensus Estimates are calling for earnings of $2.47 per share and revenue of $12.4 billion. These results would represent year-over-year changes of -16.55% and +1.44%, respectively.

Any recent changes to analyst estimates for Newmont Corporation should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 5.36% lower. Newmont Corporation currently has a Zacks Rank of #3 (Hold).

Investors should also note Newmont Corporation's current valuation metrics, including its Forward P/E ratio of 17.12. For comparison, its industry has an average Forward P/E of 8.26, which means Newmont Corporation is trading at a premium to the group.

The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 89, which puts it in the top 36% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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