Amerigo Resources (ARREF) Flat As Market Sinks: What You Should Know
In the latest market close, Amerigo Resources (ARREF) reached $1.13, with no movement compared to the previous day. The stock outperformed the S&P 500, which registered a daily loss of 0.41%. Meanwhile, the Dow experienced a drop of 0.12%, and the technology-dominated Nasdaq saw a decrease of 0.71%.
Heading into today, shares of the copper and molybdenum mining company had lost 13.54% over the past month, lagging the Basic Materials sector's loss of 4.9% and the S&P 500's gain of 3.53% in that time.
The investment community will be closely monitoring the performance of Amerigo Resources in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.05, reflecting a 350% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $46.79 million, indicating a 46.04% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.16 per share and revenue of $190.35 million, which would represent changes of +700% and +20.89%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Amerigo Resources. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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, there's been no change in the Zacks Consensus EPS estimate. At present, Amerigo Resources boasts a Zacks Rank of #1 (Strong Buy).
With respect to valuation, Amerigo Resources is currently being traded at a Forward P/E ratio of 7.06. For comparison, its industry has an average Forward P/E of 15.23, which means Amerigo Resources is trading at a discount to the group.
We can additionally observe that ARREF currently boasts a PEG ratio of 0.35. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Mining - Non Ferrous industry had an average PEG ratio of 0.72 as trading concluded yesterday.
The Mining - Non Ferrous industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 65, putting it in the top 26% 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Amerigo Resources Ltd. (ARREF) : Free Stock Analysis Report
