McEwen (MUX) Stock Jumps 7.3%: Will It Continue to Soar?

McEwen (MUX) shares soared 7.3% in the last trading session to close at $24.49. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 16.2% gain over the past four weeks.

Shares of McEwen gained since the company announced that the Mineral Resource Estimate at Grey Fox totals 1.9 million Indicated gold ounces and 436,000 Inferred gold ounces at the end of 2025. The Indicated Resource marks a 23% year-over-year increase. 

This gold and silver mining company is expected to post quarterly earnings of $0.24 per share in its upcoming report, which represents a year-over-year change of +260%. Revenues are expected to be $67.5 million, up 101.4% 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 McEwen, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on MUX going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

McEwen is a member of the Zacks Mining - Miscellaneous industry. One other stock in the same industry, Ivanhoe Electric (IE), finished the last trading session 2.7% higher at $17.98. IE has returned 8.2% over the past month.

Ivanhoe Electric's consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.21. Compared to the company's year-ago EPS, this represents a change of -10.5%. Ivanhoe Electric currently boasts a Zacks Rank of #3 (Hold).

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

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