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Iamgold (IAG) Advances While Market Declines: Some Information for Investors

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In the latest market close, Iamgold (IAG - Free Report) reached $3.62, with a +1.97% movement compared to the previous day. The stock's change was more than the S&P 500's daily loss of 0.04%. Meanwhile, the Dow lost 0.15%, and the Nasdaq, a tech-heavy index, added 0.12%.

Shares of the gold and niobium mining company have depreciated by 19.32% over the course of the past month, underperforming the Basic Materials sector's loss of 3.61% and the S&P 500's gain of 4.15%.

Market participants will be closely following the financial results of Iamgold in its upcoming release. The company's earnings per share (EPS) are projected to be $0.06, reflecting a 700% increase from the same quarter last year.

IAG's full-year Zacks Consensus Estimates are calling for earnings of $0.28 per share and revenue of $1.36 billion. These results would represent year-over-year changes of +211.11% and +37.78%, respectively.

It is also important to note the recent changes to analyst estimates for Iamgold. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 12.19% rise in the Zacks Consensus EPS estimate. Currently, Iamgold is carrying a Zacks Rank of #3 (Hold).

Looking at valuation, Iamgold is presently trading at a Forward P/E ratio of 12.86. This valuation marks a discount compared to its industry's average Forward P/E of 14.72.

The Mining - Gold industry is part of the Basic Materials sector. Currently, this industry holds a Zacks Industry Rank of 28, positioning it in the top 12% of all 250+ industries.

The Zacks Industry Rank is ordered 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.

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