After three lackluster years, gold prices finally seem to have found solid ground in 2016. So far, worries over the global economy, Brexit-induced volatile equity markets, the Fed’s stance to maintain steady interest rates and the introduction of negative interest rates by several central banks escalated the safe haven appeal of gold. Moreover, gold prices are seasonally stronger in the back half of the year aided by retail demand, due to festival and wedding related buying activities in countries like India and China.
Lately, the speculation regarding a Fed rate hike this year has been stirred up as there has been an increase in economic data. Further, a stronger U.S. dollar has put pressure on gold prices of late, dragging the prices below the psychological level of $1,300 an ounce. Nevertheless, the yellow metal has gained 18% year to date.
The gold mining industry is grouped under the Basic Materials sector which is among seven of the 16 Zacks sectors that are expected to see negative earnings growth in the third quarter, per the latest Earnings Trends report.
Of the 20% companies that reported in the Basic Material sector, earnings growth of 29.4% has been put up on the scoreboard. However, it is too early to rejoice as the overall growth portrayal for the Basic Materials sector looks drab with the sector expected to see an earnings decline of 1.3% due to 3.1% lower sales.
Let’s see what’s in store for the gold miners that are set to report quarterly numbers on Oct 27.
Yamana Gold, Inc. explores for gold, silver and copper in Brazil, Argentina, Chile, Mexico and Canada. The company is set to report third-quarter 2016 results after the market closes.
In the last reported quarter, Yamana’s adjusted earnings of a penny per share was an improvement from the loss of a penny per share in the prior-year quarter. Earnings however missed the Zacks Consensus Estimate of 2 cents, a negative earnings surprise of 50.00%. Average surprise came in at +0.00% over the last four quarters.
YAMANA GOLD INC Price and EPS Surprise
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
After three lackluster years, gold prices finally seem to have found solid ground in 2016. So far, worries over the global economy, Brexit-induced volatile equity markets, the Fed’s stance to maintain steady interest rates and the introduction of negative interest rates by several central banks escalated the safe haven appeal of gold. Moreover, gold prices are seasonally stronger in the back half of the year aided by retail demand, due to festival and wedding related buying activities in countries like India and China.
Lately, the speculation regarding a Fed rate hike this year has been stirred up as there has been an increase in economic data. Further, a stronger U.S. dollar has put pressure on gold prices of late, dragging the prices below the psychological level of $1,300 an ounce. Nevertheless, the yellow metal has gained 18% year to date.
The gold mining industry is grouped under the Basic Materials sector which is among seven of the 16 Zacks sectors that are expected to see negative earnings growth in the third quarter, per the latest Earnings Trends report.
Of the 20% companies that reported in the Basic Material sector, earnings growth of 29.4% has been put up on the scoreboard. However, it is too early to rejoice as the overall growth portrayal for the Basic Materials sector looks drab with the sector expected to see an earnings decline of 1.3% due to 3.1% lower sales.
Let’s see what’s in store for the gold miners that are set to report quarterly numbers on Oct 27.
Yamana Gold, Inc. explores for gold, silver and copper in Brazil, Argentina, Chile, Mexico and Canada. The company is set to report third-quarter 2016 results after the market closes.
In the last reported quarter, Yamana’s adjusted earnings of a penny per share was an improvement from the loss of a penny per share in the prior-year quarter. Earnings however missed the Zacks Consensus Estimate of 2 cents, a negative earnings surprise of 50.00%. Average surprise came in at +0.00% over the last four quarters.
YAMANA GOLD INC Price and EPS Surprise
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on NGD - FREE
Get the latest research report on EGO - FREE