Should Coeur Mining Stock Be in Your Portfolio Pre-Q4 Earnings?

Core Insights - Coeur Mining, Inc. (CDE) is expected to report fourth-quarter 2025 results on February 18, with anticipated earnings of 42 cents per share, reflecting a 282% year-over-year increase [1][2][8] - The company's performance is driven by operational momentum from the Las Chispas and Rochester mines, disciplined cost control, and higher realized gold and silver prices [1][8] Earnings Expectations - The Zacks Consensus Estimate for fourth-quarter earnings has increased over the past 30 days, with the current estimate at 42 cents per share [2] - CDE has beaten the Zacks Consensus Estimate for earnings in two of the last four quarters, with an average earnings surprise of approximately 107% [4] Operational Performance - CDE's production is expected to benefit from record output across key assets, including Las Chispas, Palmarejo, Rochester, Kensington, and Wharf, contributing to robust volumes of gold and silver [10] - The company has implemented several operational improvements, such as smoother mine sequencing and better mill throughput, which are likely to enhance margins and cash flow [11][12] Financial Metrics - CDE's adjusted costs applicable to sales were reported at $1,215 per ounce for gold and $14.95 per ounce for silver, supporting healthy spreads relative to realized prices [12] - The company is currently trading at a forward 12-month sales multiple of 5.00, which is approximately a 6% discount compared to the industry average of 5.03X [17] Stock Performance - CDE's shares have increased by 216.8% over the past year, significantly outperforming the Zacks Mining – Non Ferrous industry's increase of 76.6% and the S&P 500's rise of 14% [14] - The stock's performance is also favorable compared to peers such as Lundin Mining Corporation, Southern Copper Corporation, and Freeport-McMoRan, which have seen increases of 196.5%, 103.4%, and 57.2%, respectively [14] Investment Thesis - Coeur Mining is positioned for stronger earnings momentum in Q4 2025 due to consistent production, higher precious metal prices, and improved operational efficiency [20][22] - The successful ramp-up of key projects and improved scale efficiencies are expected to lower unit costs and expand margins, enhancing financial flexibility [22]