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Newmont Corporation (NEM) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Newmont Corporation (NEM - Free Report) closed at $60.42, marking a +1.89% move from the previous day. This change outpaced the S&P 500's 0.74% gain on the day. At the same time, the Dow added 0.76%, and the tech-heavy Nasdaq gained 0.95%.

Prior to today's trading, shares of the gold and copper miner had lost 8.97% over the past month. This has lagged the Basic Materials sector's loss of 1.35% and the S&P 500's gain of 4.41% in that time.

Investors will be hoping for strength from NEM as it approaches its next earnings release, which is expected to be February 18, 2021. On that day, NEM is projected to report earnings of $0.95 per share, which would represent year-over-year growth of 90%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.69 billion, up 24.23% from the year-ago period.

Investors might also notice recent changes to analyst estimates for NEM. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

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. Within the past 30 days, our consensus EPS projection has moved 5.14% lower. NEM is holding a Zacks Rank of #4 (Sell) right now.

Investors should also note NEM's current valuation metrics, including its Forward P/E ratio of 14.61. This valuation marks a premium compared to its industry's average Forward P/E of 11.93.

The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 118, which puts it in the top 47% 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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