Strength Seen in Coeur Mining (CDE): Can Its 7.0% jump turn into more strength?

Coeur Mining (CDE - Free Report) shares soared 7% in the last trading session to close at $17.42. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 39.5% gain over the past four weeks.

The company’s shares have gained as gold and silver prices soared to record highs, fueled by rising expectations of additional U.S. Federal Reserve rate cuts. The Fed lowered interest rates by 25 basis points last week and indicated the potential for two more reductions this year. Year to date, gold is up 40.4%, supported by safe-haven buying amid persistent geopolitical tensions, tariff concerns and strong central bank purchases. Silver is also backed by firm fundamentals, with robust demand from the solar, electric vehicle and electronics industries, while supply constraints continue to tighten the market.

Also, the company recently announced that the recent intercepts at its Las Chispas underground silver and gold mine in Sonora, Mexico and its Kensington underground gold mine in Alaska reflect some of the highest grades drilled. 

This silver mining company is expected to post quarterly earnings of $0.22 per share in its upcoming report, which represents a year-over-year change of +83.3%. Revenues are expected to be $511.2 million, up 63.1% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Coeur Mining, the consensus EPS estimate for the quarter has been revised 4.7% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on CDE going forward to see if this recent jump can turn into more strength down the road.

Coeur Mining is a member of the Zacks Mining - Non Ferrous industry. One other stock in the same industry, United States Antimony Corporation (

UAMY - Free Report) , finished the last trading session 10.2% higher at $6.49. UAMY has returned 29.7% over the past month.

For United States Antimony, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.02. This represents a change of +300% from what the company reported a year ago. United States Antimony currently has a Zacks Rank of #4 (Sell).

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