Newmont (NYSE:NEM) Lowered to "Hold" Rating by BNP Paribas

Key Points

• BNP Paribas has downgraded Newmont from a "strong-buy" rating to a "hold" rating, reflecting a shift in analysts' sentiment towards the stock.
• Other analysts have varied ratings on Newmont, with four assigning a Strong Buy rating and a consensus price target of $65.15.
• Newmont's stock performance shows a strong quarterly earnings report with $1.43 EPS, exceeding estimates, and a notable revenue growth of 20.8% compared to the previous year.

Newmont (NYSE:NEM - Get Free Report) was downgraded by equities researchers at BNP Paribas from a "strong-buy" rating to a "hold" rating in a research note issued on Thursday,Zacks.com reports.

Several other equities research analysts have also recently commented on the company. UBS Group upped their price target on Newmont from $60.00 to $68.00 and gave the stock a "buy" rating in a research note on Thursday, July 3rd. National Bank Financial upgraded Newmont from a "hold" rating to a "strong-buy" rating in a research note on Friday, July 25th. Stifel Canada upgraded Newmont to a "strong-buy" rating in a research note on Tuesday, July 8th. Raymond James Financial upped their price target on Newmont from $67.00 to $69.00 and gave the stock an "outperform" rating in a research note on Monday, July 28th. Finally, Royal Bank Of Canada upped their price target on Newmont from $52.00 to $66.00 and gave the stock a "sector perform" rating in a research note on Wednesday, June 4th. Four research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $65.15.

Newmont Stock Performance

NYSE NEM traded down $0.33 on Thursday, reaching $75.84. The stock had a trading volume of 10,094,163 shares, compared to its average volume of 7,911,651. The company has a debt-to-equity ratio of 0.23, a quick ratio of 1.91 and a current ratio of 2.23. Newmont has a 12-month low of $36.86 and a 12-month high of $77.30. The business's 50-day moving average price is $65.96 and its 200 day moving average price is $56.27. The stock has a market cap of $83.30 billion, a P/E ratio of 13.62, a price-to-earnings-growth ratio of 0.92 and a beta of 0.33.

Newmont (NYSE:NEM - Get Free Report) last issued its quarterly earnings data on Thursday, July 24th. The basic materials company reported $1.43 earnings per share for the quarter, beating analysts' consensus estimates of $0.95 by $0.48. Newmont had a return on equity of 17.86% and a net margin of 30.50%.The company had revenue of $5.32 billion during the quarter, compared to analysts' expectations of $4.70 billion. During the same quarter in the previous year, the business earned $0.72 earnings per share. The firm's revenue for the quarter was up 20.8% on a year-over-year basis. As a group, equities analysts expect that Newmont will post 3.45 earnings per share for the current year.

Insider Buying and Selling

In related news, CAO Brian Tabolt sold 7,015 shares of the company's stock in a transaction on Wednesday, August 6th. The stock was sold at an average price of $68.02, for a total transaction of $477,160.30. Following the transaction, the chief accounting officer owned 32,615 shares of the company's stock, valued at $2,218,472.30. This represents a 17.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Bruce R. Brook sold 2,077 shares of the company's stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $74.59, for a total value of $154,923.43. Following the completion of the sale, the director directly owned 38,949 shares in the company, valued at $2,905,205.91. This trade represents a 5.06% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 19,246 shares of company stock valued at $1,253,559 over the last quarter. Company insiders own 0.05% of the company's stock.

Institutional Trading of Newmont

Several large investors have recently bought and sold shares of the company. Bank of New York Mellon Corp grew its holdings in Newmont by 8.9% in the first quarter. Bank of New York Mellon Corp now owns 16,014,066 shares of the basic materials company's stock valued at $773,159,000 after purchasing an additional 1,306,783 shares during the last quarter. Norges Bank acquired a new stake in Newmont in the second quarter valued at $919,170,000. Invesco Ltd. grew its holdings in Newmont by 45.0% in the second quarter. Invesco Ltd. now owns 15,587,917 shares of the basic materials company's stock valued at $908,152,000 after purchasing an additional 4,839,447 shares during the last quarter. Northern Trust Corp grew its holdings in Newmont by 1.5% in the first quarter. Northern Trust Corp now owns 12,934,095 shares of the basic materials company's stock valued at $624,458,000 after purchasing an additional 191,940 shares during the last quarter. Finally, Amundi boosted its stake in shares of Newmont by 2.8% during the first quarter. Amundi now owns 12,646,114 shares of the basic materials company's stock valued at $611,187,000 after acquiring an additional 343,535 shares during the last quarter. Institutional investors and hedge funds own 68.85% of the company's stock.

Newmont Company Profile

Newmont Corporation engages in the production and exploration of gold. It also explores for copper, silver, zinc, and lead. The company has operations and/or assets in the United States, Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia, Papua New Guinea, Ecuador, Fiji, and Ghana.