AngloGold Ashanti (AU) ended the recent trading session at $47.46, demonstrating a -1.06% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.4%. Elsewhere, the Dow lost 0.98%, while the tech-heavy Nasdaq added 0.18%.
Shares of the gold miner witnessed a loss of 3.44% over the previous month, trailing the performance of the Basic Materials sector with its gain of 2.16%, and the S&P 500's gain of 4.97%.
The investment community will be paying close attention to the earnings performance of AngloGold Ashanti in its upcoming release. On that day, AngloGold Ashanti is projected to report earnings of $1.31 per share, which would represent year-over-year growth of 118.33%. Simultaneously, our latest consensus estimate expects the revenue to be $2.32 billion, showing a 67.73% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.99 per share and revenue of $8.85 billion, indicating changes of +125.79% and +52.81%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for AngloGold Ashanti. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, 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. Over the past month, the Zacks Consensus EPS estimate has shifted 1.56% upward. As of now, AngloGold Ashanti holds a Zacks Rank of #1 (Strong Buy).
In terms of valuation, AngloGold Ashanti is presently being traded at a Forward P/E ratio of 9.62. This expresses a discount compared to the average Forward P/E of 13.31 of its industry.
The Mining – Gold industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 15, which puts it in the top 7% 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.
