IAMGOLD Soars 144% in 6 Months: Here's How to Play the Stock

IAMGOLD Corporation IAG has gained 144.2% over the past six months compared with the Zacks Mining-Gold industry’s 69.4% increase and the S&P 500’s modest 13.8% rise. The performance was underpinned by successful ramp-up and improved production of its Côté Gold mine, alongside higher realized gold prices and expanding free cash flow expectations. 

Among its peers, Agnico Eagle Mines Ltd. AEM and Kinross Gold Corp. KGC are up 55.5% and 100%, respectively.

Price Performance of IAG vs. Industry, S&P 500, KGC and & AEM

Technical indicators show that IAG has been trading above the 50-day and 200-day simple moving average (SMA). The 50-day SMA is reading higher than the 200-day SMA, indicating a bullish trend. 

Let’s look at the IAG’s fundamentals to analyze the stock. 

IAMGOLD Production Rises on Côté Gold Ramp-Up

IAMGOLD’s production and revenue performance showed notable year-over-year shifts across its key assets, reflecting both the positive impact of the ramp-up at Côté Gold and operational headwinds at Westwood and Essakane. On an attributable basis, total gold production climbed to 190,000 ounces in the third quarter of 2025, marking a 9.8% increase year over year. The standout was Côté Gold, which produced 75,000 attributable ounces (106,000 ounces on a 100% basis) in the quarter, up about 83% from 41,000 ounces in the third quarter of 2024 as the operation continued to ramp toward design capacity. 

In contrast, Westwood’s production fell 28% to 23,000 ounces from the year-ago quarter due to lower grades and transitional mining activity. Essakane’s attributable output was 92,000 ounces, an 8% year-over-year decrease amid grade variability. 

Despite uneven performance across individual assets, IAMGOLD’s revenues surged 61% year over year to $706.7 million in the third quarter of 2025 from $438.9 million, driven by higher realized gold prices of around $3,492 per ounce and stronger sales volumes, with the ramp-up at Côté Gold making a meaningful contribution. 

Improved Liquidity Supports Debt Reduction Efforts

At the end of the third quarter of 2025, IAMGOLD reported a solid financial position supported by strong operating cash flows, improved liquidity and active capital management, even as the company continues to manage significant debt related to project financing.  

As of Sept.  30, 2025, IAMGOLD had $314.3 million in cash and cash equivalents and approximately $391.9 million available under its revolving credit facility, giving it total liquidity of about $707.2 million to support operations, capital commitments and debt obligations. Net debt was $813.2 million, reflecting a reduction of about $201.7 million during the quarter as the company accelerated its debt repayment strategy. 

IAMGOLD maintained disciplined capital spending with total capital expenditures of $51.5 million on a 100% basis. This included $39.7 million in sustaining capital and $11.8 million in expansion spending, primarily for additional crushing capacity. 

IAMGOLD generated strong cash flow in the third quarter of 2025, with net cash from operating activities of about $280.8 million, nearly doubling year over year, supported by higher realized gold prices and increased sales volumes. 

IAMGOLD Advances Flagship and Exploration Assets

IAMGOLD recently advanced several key projects and strategic initiatives that strengthen its growth outlook and asset base. The company achieved a major operational milestone in June 2025 at Côté Gold mine, with the processing plant operating at sustained nameplate capacity, supporting higher production, improved costs and further optimization through incremental investments such as additional crushing capacity.  

IAMGOLD expanded its exploration pipeline in Quebec by completing the acquisition of Northern Superior Resources, consolidating the Philibert, Chevrier and Croteau deposits into the newly formed Nelligan Mining Complex, and by acquiring Mines d’Or Orbec, which added the Muus Project adjacent to its existing land package.  

Ongoing drilling at Nelligan and Monster Lake has continued to extend mineralization and enhance resource potential in a tier-one jurisdiction. Alongside these project developments, IAMGOLD has actively strengthened its balance sheet through debt repayment and received approval for a share buyback program, underscoring improved financial flexibility as it transitions into a higher-production phase. 

IAG’s Rising Earnings Estimates Reflect Positive Sentiments

The Zacks Consensus Estimate for 2025 and 2026 earnings for IAG has been revised higher over the past 90 days.

The Zacks Consensus Estimate for IAG’s fiscal 2025 earnings is currently pegged at 88 cents per share, suggesting year-over-year growth of 60%. The same for 2026 is $1.62 per share, implying 84% growth. 

IAMGOLD Trading Above Industry

IAMGOLD is currently trading at a forward 12-month price-to-sales multiple of 3.83X, above the industry's average of 3.76X and its five-year median.

The forward 12-month price-to-sales multiples for Agnico Eagle and Kinross Gold are 7.11X and 4.75X, respectively. IAG and KGC currently have a Value Score of B, while AEM has a score of D.  

Final Thought: Hold IAG for Now

IAMGOLD offers a balanced investment profile, supported by strong production growth and cash flow from the Côté Gold ramp-up, improving liquidity and disciplined capital management. However, ongoing operational challenges at Westwood and Essakane, elevated project-related debt and exposure to gold price volatility temper the near-term outlook. With recent gains reflecting much of the operational improvement, the stock appears fairly positioned, supporting a hold view at current levels. 

IAG carries a Zacks Rank of #3 (Hold). You can see the complete list of today’s Zacks #1  Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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