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New Gold (NGD) Upgraded to Buy: Here's Why
New GoldNew Gold(US:NGD) ZACKSยท2025-06-24 17:01

Core Viewpoint - New Gold (NGD) has received a Zacks Rank 2 (Buy) upgrade, indicating a positive trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system emphasizes the correlation between changes in earnings estimates and stock price movements, particularly influenced by institutional investors [4]. - Rising earnings estimates for New Gold suggest an improvement in the company's underlying business, which could lead to higher stock prices as investors respond positively [5]. Zacks Rank System - The Zacks Rank system classifies stocks based on earnings estimate revisions, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [7]. - New Gold's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10]. Earnings Estimate Revisions for New Gold - For the fiscal year ending December 2025, New Gold is expected to earn $0.42 per share, consistent with the previous year's figure [8]. - Over the past three months, the Zacks Consensus Estimate for New Gold has increased by 83.7%, reflecting a significant upward revision in earnings expectations [8].