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In the latest trading session, Amerigo Resources (ARREF) closed at $1.37, marking a +0.4% move from the previous day. The stock's change was more than the S&P 500's daily loss of 0.22%. At the same time, the Dow lost 0.03%, and the tech-heavy Nasdaq lost 0.33%.
Prior to today's trading, shares of the copper and molybdenum mining company had gained 7.09% over the past month. This has outpaced the Basic Materials sector's loss of 0.38% and the S&P 500's loss of 7.48% in that time.
Market participants will be closely following the financial results of Amerigo Resources in its upcoming release. On that day, Amerigo Resources is projected to report earnings of $0.04 per share, which would represent year-over-year growth of 33.33%. Meanwhile, the latest consensus estimate predicts the revenue to be $49.44 million, indicating a 10.06% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $0.21 per share and a revenue of $202 million, indicating changes of +75% and +4.79%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for Amerigo Resources. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Amerigo Resources is holding a Zacks Rank of #3 (Hold) right now.
Looking at valuation, Amerigo Resources is presently trading at a Forward P/E ratio of 6.48. This denotes a discount relative to the industry's average Forward P/E of 18.96.
Investors should also note that ARREF has a PEG ratio of 0.32 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Mining - Non Ferrous was holding an average PEG ratio of 0.89 at yesterday's closing price.