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Amerigo Resources (ARREF) closed at $1.13 in the latest trading session, marking a -1.74% move from the prior day. The stock's change was less than the S&P 500's daily loss of 0.76%. Elsewhere, the Dow saw a downswing of 0.28%, while the tech-heavy Nasdaq depreciated by 1.2%.
The copper and molybdenum mining company's stock has climbed by 3.6% in the past month, falling short of the Basic Materials sector's gain of 5.86% and outpacing the S&P 500's gain of 2.71%.
Market participants will be closely following the financial results of Amerigo Resources in its upcoming release. The company is predicted to post an EPS of $0.04, indicating a 100% growth compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $49.52 million, reflecting a 16.65% rise from the equivalent quarter last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Amerigo Resources. Recent revisions tend to reflect the latest near-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 capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Amerigo Resources presently features a Zacks Rank of #3 (Hold).
From a valuation perspective, Amerigo Resources is currently exchanging hands at a Forward P/E ratio of 5.48. This valuation marks a discount compared to its industry's average Forward P/E of 19.11.
Meanwhile, ARREF's PEG ratio is currently 0.27. 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 industry currently had an average PEG ratio of 0.85 as of yesterday's close.
The Mining - Non Ferrous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 162, which puts it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.