Kirkland Lake Gold (KL) closed the most recent trading day at $45.86, moving -1.71% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.86%. At the same time, the Dow lost 2.3%, and the tech-heavy Nasdaq lost 1.64%.
Prior to today's trading, shares of the gold producer had lost 3.95% over the past month. This has lagged the Basic Materials sector's gain of 6.97% and the S&P 500's gain of 7.63% in that time.
KL will be looking to display strength as it nears its next earnings release, which is expected to be November 5, 2020. The company is expected to report EPS of $0.92, up 9.52% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.39 per share and revenue of $2.37 billion. These totals would mark changes of +23.72% and +71.81%, respectively, from last year.
Investors might also notice 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.
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 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 has moved 1.2% higher. KL currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that KL has a Forward P/E ratio of 13.78 right now. Its industry sports an average Forward P/E of 17.47, so we one might conclude that KL is trading at a discount comparatively.
Meanwhile, KL's PEG ratio is currently 4.59. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Mining - Gold industry currently had an average PEG ratio of 2.15 as of yesterday's close.
The Mining - Gold industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 123, which puts it in the top 49% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Kirkland Lake Gold Ltd. (KL) : Free Stock Analysis Report
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