Kirkland Lake Gold (KL - Free Report) closed the most recent trading day at $32.26, moving -1.04% from the previous trading session. This move lagged the S&P 500's daily gain of 0.46%. At the same time, the Dow added 0.15%, and the tech-heavy Nasdaq gained 0.59%.
Coming into today, shares of the gold producer had lost 5.92% in the past month. In that same time, the Basic Materials sector gained 4.15%, while the S&P 500 gained 3.24%.
Investors will be hoping for strength from KL as it approaches its next earnings release. The company is expected to report EPS of $0.55, up 120% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $312.21 million, up 57.49% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2 per share and revenue of $1.25 billion. These totals would mark changes of +47.06% and +36.87%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for KL. These recent revisions tend to reflect the evolving nature of short-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. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. KL is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that KL has a Forward P/E ratio of 16.28 right now. Its industry sports an average Forward P/E of 29.18, so we one might conclude that KL is trading at a discount comparatively.
The Mining - Gold industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 92, which puts it in the top 37% 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.
To follow KL in the coming trading sessions, be sure to utilize Zacks.com.