3 Gold Mining Stocks Set to Pull Off a Beat This Earnings Season
The Zacks Mining – Gold industry is housed within the broader Zacks Basic Materials sector. Basic Materials is among the Zacks sectors that are expected to see a rise in earnings for the fourth quarter. Overall earnings for the space are projected to increase 5% on 7.5% higher revenues, per the latest Earnings Preview. Gold miners’ fourth-quarter results are likely to show gains from stronger gold prices along with the ongoing efforts to improve operating efficiency and cut costs. We have handpicked three industry players, Agnico Eagle Mines Limited AEM, Kinross Gold Corporation KGC and Newmont Corporation NEM, which are set to beat earnings estimates this time.How Have Things Shaped Up for These Companies?Gold prices climbed to record highs last year as global trade tensions fueled demand for safe-haven assets. The rally was driven by heightened economic uncertainty, robust central-bank purchases and a weaker U.S. dollar, all boosting safe-haven demand.Escalating geopolitical tensions, including the unrest in Iran with the possibility of U.S. intervention, a weaker greenback, fresh tariff threats, and renewed concerns over the independence of the Federal Reserve, drove bullion to record levels recently, with prices rocketing to a fresh high of nearly $5,600 per ounce last week. While the record-breaking rally in gold has hit a speed bump lately, partly due to aggressive profit-booking and a rebound in the U.S. dollar after hitting a four-year low, prices remain elevated. These, along with policy uncertainties following President Donald Trump’s nomination of Kevin Warsh as the next Federal Reserve chair, have led to a steep fall in gold prices to below $4,900 per ounce. Notwithstanding the selloff, sustained central-bank purchases and persistent safe-haven demand tied to prevailing geopolitical tensions and broader macroeconomic uncertainties are likely to support gold prices. Prices of the yellow metal closed nearly 13% higher in the fourth quarter and surged roughly 65% in 2025. Higher prices are expected to have supported the performance of gold miners in the fourth quarter. On the flip side, higher mining costs, triggered by inflationary pressure on all aspects of input costs, particularly labor, fuel and electricity, are likely to have been a drag. Meanwhile, miners continue to focus on reducing operating and capital costs, enhancing efficiency at existing operations, lowering debt, divesting non-core assets and prioritizing their highest-grade assets. Several companies have also taken actions to reduce all-in sustaining costs — a key industry cost measure. These initiatives are expected to have helped support profit margins in the fourth quarter.How to Pick Winners?Given the large number of players operating in the gold mining space, picking the right stocks is apparently not an easy task. But our proprietary methodology makes it simple. One can trim the list with the combination of a favorable Zacks Rank — Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) — and a positive Zacks Earnings ESP. You can uncover the best stocks to buy or sell before they report with our Earnings ESP Filter.Earnings ESP — the percentage difference between the Most Accurate Estimate and the Zacks Consensus Estimate — is our proprietary methodology for determining stocks that have high chances of delivering earnings surprises in their next announcements. Our research shows that for stocks with this combination, the chance of a positive earnings surprise is as much as 70%.Our ChoicesBelow, we list three gold mining stocks that have the right combination of elements to pull off a positive surprise this earnings season:Agnico Eagle Mines has an Earnings ESP of +12.76% and a Zacks Rank #3. It is slated to report on Feb. 12. Agnico Eagle beat the Zacks Consensus Estimate for earnings in each of the last four quarters at an average of 11.6%. The Zacks Consensus Estimate for fourth-quarter earnings stands at $2.38. AEM’s results are expected to reflect the benefits of higher gold prices and strong production. Higher prices are likely to have offset headwinds from increased production costs, supporting the company’s top line and margins. Solid production at LaRonde, Macassa and Canadian Malartic on higher gold grades is expected to have aided its production. Agnico Eagle Mines Limited Price and EPS Surprise Agnico Eagle Mines Limited price-eps-surprise | Agnico Eagle Mines Limited QuoteKinross Gold has an Earnings ESP of +3.72% and a Zacks Rank #3. It is slated to report on Feb. 18. You can see the complete list of today’s Zacks #1 Rank stocks here.Kinross Gold beat the Zacks Consensus Estimate for earnings in three of the trailing four quarters. In this timeframe, it delivered an earnings surprise of 17.4%, on average. KGC posted an earnings surprise of 12.8% in the last reported quarter. The Zacks Consensus Estimate for fourth-quarter earnings stands at 56 cents. The company’s cost-control actions, coupled with continued strength in gold prices, are expected to have allowed it to maintain the strong margin performance in the fourth quarter. Tasiast and Paracatu, KGC’s two biggest assets, remain the key contributors to cash flow generation and production. Tasiast, which remains the lowest-cost asset within its portfolio, is likely to have achieved strong performance, while Paracatu is expected to have delivered steady production in the December quarter.Kinross Gold Corporation Price and EPS Surprise Kinross Gold Corporation price-eps-surprise | Kinross Gold Corporation Quote Newmont has an Earnings ESP of +12.83% and a Zacks Rank #3. It is slated to report on Feb. 19. Newmont beat the Zacks Consensus Estimate for earnings in each of the last four quarters at an average of 41.6%. NEM posted an earnings surprise of 32.6% in the last reported quarter. The Zacks Consensus Estimate for fourth-quarter earnings stands at $1.81. NEM is expected to have benefited from higher realized gold prices in the quarter amid cost and production headwinds. Higher prices are likely to have offset higher unit costs and lower expected production, partly due to reduced grades and asset divestments. 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Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>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 Newmont Corporation (NEM): Free Stock Analysis Report Kinross Gold Corporation (KGC): Free Stock Analysis Report Agnico Eagle Mines Limited (AEM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks
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