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New Gold (NGD) Beats Stock Market Upswing: What Investors Need to Know

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New Gold (NGD - Free Report) closed at $6.49 in the latest trading session, marking a +2.37% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.3%. Elsewhere, the Dow saw a downswing of 0.48%, while the tech-heavy Nasdaq appreciated by 0.03%.

Shares of the gold mining company have appreciated by 27.82% over the course of the past month, outperforming the Basic Materials sector's gain of 4.31%, and the S&P 500's gain of 2.09%.

The investment community will be closely monitoring the performance of New Gold in its forthcoming earnings report. The company's upcoming EPS is projected at $0.17, signifying a 112.50% increase compared to the same quarter of the previous year.

For the full year, the Zacks Consensus Estimates project earnings of $0.48 per share and a revenue of $1.41 billion, demonstrating changes of +140% and +52.62%, respectively, from the preceding year.

Investors should also take note of any recent adjustments to analyst estimates for New Gold. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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.

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. Over the past month, the Zacks Consensus EPS estimate has shifted 2.69% upward. New Gold is currently sporting a Zacks Rank of #3 (Hold).

Looking at valuation, New Gold is presently trading at a Forward P/E ratio of 13.28. This valuation marks a discount compared to its industry average Forward P/E of 13.91.

The Mining - Gold industry is part of the Basic Materials sector. Currently, this industry holds a Zacks Industry Rank of 95, positioning it in the top 39% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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