Advertisement
UK markets open in 4 hours 51 minutes
  • NIKKEI 225

    38,861.90
    +244.80 (+0.63%)
     
  • HANG SENG

    18,918.02
    -277.58 (-1.45%)
     
  • CRUDE OIL

    76.91
    -0.66 (-0.85%)
     
  • GOLD FUTURES

    2,375.30
    -17.60 (-0.74%)
     
  • DOW

    39,671.04
    -201.95 (-0.51%)
     
  • Bitcoin GBP

    54,623.02
    -579.21 (-1.05%)
     
  • CMC Crypto 200

    1,511.53
    -14.89 (-0.98%)
     
  • NASDAQ Composite

    16,801.54
    -31.08 (-0.18%)
     
  • UK FTSE All Share

    4,560.55
    -23.85 (-0.52%)
     

Why Earnings Season Could Be Great for Centerra Gold (CGAU)

Investors are always looking for stocks that are poised to beat at earnings season and Centerra Gold Inc. CGAU may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.

That is because Centerra Gold is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good indicator of some favorable trends underneath the surface for CGAU in this report.

In fact, the Most Accurate Estimate for the current quarter is currently at 17 cents per share for CGAU, compared to a broader Zacks Consensus Estimate of 15 cents per share. This suggests that analysts have very recently bumped up their estimates for CGAU, giving the stock a Zacks Earnings ESP of +7.14% heading into earnings season.

Centerra Gold Inc. Price and EPS Surprise

Centerra Gold Inc. Price and EPS Surprise
Centerra Gold Inc. Price and EPS Surprise

Centerra Gold Inc. price-eps-surprise | Centerra Gold Inc. Quote

Why is this Important?

A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10-year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here).

Given that CGAU has a Zacks Rank #3 and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Clearly, recent earnings estimate revisions suggest that good things are ahead for Centerra Gold, and that a beat might be in the cards for the upcoming report.

ADVERTISEMENT

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Centerra Gold Inc. (CGAU) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research