Metal prices increased 10% in the fourth quarter, marking it the third consecutive quarter of gains. The gain chiefly came on the back of strong demand led by credit stimulus in China as well as supply constraints. Expectations of higher infrastructure investment and increased optimism for the global economy following the U.S. elections also helped the cause of metals. Consequently, the mining industry seems to have regained its ground in 2016 after a harrowing 2015 that bore the brunt of crash in the commodity prices. The turnaround can primarily be attributed to the commodity upturn that helped renew interest in the industry.
As per the Zacks Industry classification, the mining industry is grouped under the Basic Material sector – one of the 16 broad Zacks sectors. Per the latest Earnings Preview, so far 85% of the companies in the sector (87.3% of total market capitalization) have reported their fourth-quarter results, putting up a 1.8% increase in earnings on the scoreboard. Taking into account all the companies that are yet to report, a 4% increase in earnings is projected for the quarter despite a 3.2% drop in revenues. The Basic sector is one of the 12 broader Zacks sectors that are expected to log positive growth this quarter.
Let’s see what’s in store for these miners that are set to report quarterly numbers on Feb 22.
Diversified base metals mining company, Lundin Mining Corporation (LUNMF - Free Report) is scheduled to report fourth-quarter 2016 results, after the market closes. The company had reported a loss per share of 2 cents in the third quarter, narrower than the prior-year quarter. Further, its top line had improved year over year on the back of higher metal prices.
Recently the company released its 2016 production results. While it met annual production guidance for copper and nickel, zinc production was marginally below the most recent guidance.
Lundin Mining Corp. Price and EPS Surprise
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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.
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Metal prices increased 10% in the fourth quarter, marking it the third consecutive quarter of gains. The gain chiefly came on the back of strong demand led by credit stimulus in China as well as supply constraints. Expectations of higher infrastructure investment and increased optimism for the global economy following the U.S. elections also helped the cause of metals. Consequently, the mining industry seems to have regained its ground in 2016 after a harrowing 2015 that bore the brunt of crash in the commodity prices. The turnaround can primarily be attributed to the commodity upturn that helped renew interest in the industry.
As per the Zacks Industry classification, the mining industry is grouped under the Basic Material sector – one of the 16 broad Zacks sectors. Per the latest Earnings Preview, so far 85% of the companies in the sector (87.3% of total market capitalization) have reported their fourth-quarter results, putting up a 1.8% increase in earnings on the scoreboard. Taking into account all the companies that are yet to report, a 4% increase in earnings is projected for the quarter despite a 3.2% drop in revenues. The Basic sector is one of the 12 broader Zacks sectors that are expected to log positive growth this quarter.
Let’s see what’s in store for these miners that are set to report quarterly numbers on Feb 22.
Diversified base metals mining company, Lundin Mining Corporation (LUNMF - Free Report) is scheduled to report fourth-quarter 2016 results, after the market closes. The company had reported a loss per share of 2 cents in the third quarter, narrower than the prior-year quarter. Further, its top line had improved year over year on the back of higher metal prices.
Recently the company released its 2016 production results. While it met annual production guidance for copper and nickel, zinc production was marginally below the most recent guidance.
Lundin Mining Corp. 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 >>
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