Shares of New Gold (NGD) have surged nearly 15% over the past month, hitting a 52-week high of \$4.97 in the most recent session. Year-to-date, the stock has soared 93.6%, far outperforming the Zacks Basic Materials sector’s 9% gain and the Zacks Mining – Gold industry’s 49% rise.
This strong performance is backed by consistent positive earnings surprises. New Gold has exceeded earnings estimates in each of the last four quarters, most recently reporting an EPS of \$0.02 versus the \$0.01 consensus on April 29, 2025.
Looking ahead, the company projects earnings of \$0.39 per share on \$1.31 billion in revenue for the current fiscal year, reflecting a 95% jump in EPS and a 41% increase in revenue. For the next fiscal year, earnings are expected to rise 80% to \$0.70 per share on revenues climbing 43% to \$1.87 billion.
Valuation-wise, New Gold trades at a forward price-to-earnings ratio of 12.3, slightly below the industry average of 12.9. Its price-to-cash-flow ratio stands at 9.5 compared to peers’ 11. The company holds a Zacks Value Score of B, Growth Score of C, and Momentum Score of F, resulting in an overall VGM Score of B.
The stock’s Zacks Rank is #2 (Buy), reflecting positive earnings estimate revisions. Given this and its solid value metrics, New Gold appears positioned for further gains.
Comparing peers, B2Gold Corp (BTG) also presents a strong case, with a Zacks Rank of #2 and top-tier Value (A), Growth (A), and Momentum (B) scores. BTG beat earnings estimates by 12.5% last quarter and is forecasted to earn \$0.52 per share on \$2.97 billion in revenue this fiscal year. Its shares have climbed 16.9% over the past month, trading at a forward P/E of 7.06 and P/CF of 8.43.
The gold mining industry ranks in the top 13% of all sectors tracked by Zacks, signaling favorable conditions that could continue to support both New Gold and B2Gold’s strong fundamentals.
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