Northgate Minerals Corp. (NXG) announced second-quarter earnings of 2 cents per share, missing the Zacks Consensus Estimate by 60%.
Shares of this Zacks #3 Rank (“Hold”) company have slipped more than 10% so far today.
The company said sales fell 6.2% to $130.3 million due to a decline in realized copper prices from $4.10 to $2.65 per pound, coupled with a 6% drop in copper sales, partially offset by a 12% increase in gold production.
Northgate also reduced its full-year gold production forecast to 382,500 ounces at a net cash cost of $440 an ounce, compared to the earlier production of 390,600 ounces at a cash cost of $423 an ounce.
Meanwhile, the Zacks Consensus Estimate on the company’s full-year earnings has moved down a penny, or 4%, over the past month to 23 cents per share.
NXG is trading on higher-than-usual volume of approximately 2.3 million, compared to the average daily volume of about 1.7 million.
“NXG” Free Stock Analysis: Buy? Sell? Hold?
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