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Harmony Gold (HMY) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, Harmony Gold (HMY - Free Report) closed at $5.72, marking a -0.35% move from the previous day. This move lagged the S&P 500's daily gain of 1.4%. At the same time, the Dow added 1.05%, and the tech-heavy Nasdaq gained 2.13%.

Heading into today, shares of the gold miner had lost 4.97% over the past month, lagging the Basic Materials sector's gain of 5.43% and the S&P 500's gain of 4.78% in that time.

HMY will be looking to display strength as it nears its next earnings release.

Investors might also notice recent changes to analyst estimates for HMY. 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.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 71.57% higher. HMY currently has a Zacks Rank of #3 (Hold).

Digging into valuation, HMY currently has a Forward P/E ratio of 6.56. Its industry sports an average Forward P/E of 24.79, so we one might conclude that HMY is trading at a discount comparatively.

It is also worth noting that HMY currently has a PEG ratio of 0.19. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Mining - Gold stocks are, on average, holding a PEG ratio of 2 based on yesterday's closing prices.

The Mining - Gold industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 51, which puts it in the top 21% 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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