Newmont (NYSE:NEM) Shares Up 1% – Here’s Why

Newmont Corporation (NYSE:NEM) shot up 1% on Friday . The stock traded as high as $106.34 and last traded at $105.7860. 3,784,386 shares changed hands during trading, a decline of 67% from the average session volume of 11,464,480 shares. The stock had previously closed at $104.73.

Analysts Set New Price Targets

NEM has been the topic of a number of analyst reports. Jefferies Financial Group reissued a “buy” rating and set a $120.00 price objective on shares of Newmont in a report on Sunday, December 7th. Macquarie raised shares of Newmont from a “hold” rating to a “strong-buy” rating in a research report on Friday, December 5th. CIBC set a $112.00 price objective on shares of Newmont and gave the stock an “outperformer” rating in a report on Friday, October 10th. Bank of America lifted their target price on shares of Newmont from $105.00 to $115.00 and gave the stock a “buy” rating in a report on Thursday, October 16th. Finally, Cibc World Mkts upgraded shares of Newmont from a “hold” rating to a “strong-buy” rating in a report on Friday, October 10th. Five analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Newmont currently has a consensus rating of “Buy” and a consensus price target of $96.37.

Newmont Price Performance

The company has a quick ratio of 1.74, a current ratio of 2.04 and a debt-to-equity ratio of 0.17. The stock’s 50-day moving average is $90.08 and its 200-day moving average is $76.95. The firm has a market cap of $115.44 billion, a P/E ratio of 16.43, a price-to-earnings-growth ratio of 0.73 and a beta of 0.41.

Newmont (NYSE:NEM) last posted its quarterly earnings results on Thursday, October 23rd. The basic materials company reported $1.71 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.27 by $0.44. Newmont had a net margin of 33.42% and a return on equity of 20.35%. The company had revenue of $5.52 billion for the quarter, compared to analyst estimates of $5.14 billion. During the same period last year, the business posted $0.81 EPS. The business’s quarterly revenue was up 20.0% on a year-over-year basis. As a group, equities analysts anticipate that Newmont Corporation will post 3.45 EPS for the current fiscal year.

Newmont Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, December 22nd. Shareholders of record on Wednesday, November 26th were issued a $0.25 dividend. The ex-dividend date of this dividend was Wednesday, November 26th. This represents a $1.00 annualized dividend and a yield of 0.9%. Newmont’s dividend payout ratio is 15.53%.

Insider Activity at Newmont

In other news, Director Bruce R. Brook sold 2,080 shares of the business’s stock in a transaction that occurred on Monday, December 1st. The stock was sold at an average price of $92.36, for a total transaction of $192,108.80. Following the sale, the director directly owned 32,709 shares in the company, valued at approximately $3,021,003.24. The trade was a 5.98% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Thomas Ronald Palmer sold 5,000 shares of the company’s stock in a transaction on Monday, November 3rd. The shares were sold at an average price of $81.34, for a total value of $406,700.00. Following the completion of the transaction, the chief executive officer owned 279,923 shares of the company’s stock, valued at $22,768,936.82. The trade was a 1.75% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 11,240 shares of company stock worth $943,985 in the last three months. 0.05% of the stock is owned by insiders.

Institutional Trading of Newmont

Several institutional investors have recently made changes to their positions in NEM. Triumph Capital Management bought a new position in Newmont during the third quarter worth about $128,000. Sherman Porfolios LLC bought a new position in shares of Newmont during the 3rd quarter worth approximately $971,000. AIA Group Ltd boosted its stake in Newmont by 38.7% in the 3rd quarter. AIA Group Ltd now owns 114,828 shares of the basic materials company’s stock valued at $9,681,000 after buying an additional 32,050 shares in the last quarter. Keel Point LLC grew its position in Newmont by 4.0% in the third quarter. Keel Point LLC now owns 14,138 shares of the basic materials company’s stock valued at $1,192,000 after acquiring an additional 548 shares during the period. Finally, Mirabella Financial Services LLP acquired a new position in Newmont during the third quarter worth $1,291,000. 68.85% of the stock is currently owned by institutional investors and hedge funds.

Newmont Company Profile

Newmont Corporation (NYSE: NEM) is a leading global gold mining company engaged in the exploration, development, processing and reclamation of gold properties. The company’s core business centers on the production of gold, with additional byproduct metals produced from its operations. Newmont operates a portfolio of long‑lived mines and development projects, and its activities span the full mine life cycle from early-stage exploration through to mining, milling and closure.

Founded in 1921 and headquartered in Greenwood Village, Colorado, Newmont has grown through organic development and strategic acquisitions.