Hennessy Advisors Inc. Makes New $889,000 Investment in Newmont Corporation $NEM

Key Points

• Hennessy Advisors initiated an approximately $889,000 position in Newmont during the second quarter by purchasing 42,528 shares. Institutional investors collectively own 68.85% of the company.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $132.73, although recent targets ranged from $111.40 to $140.00.
• Newmont exceeded quarterly earnings expectations with $2.10 in EPS versus $2.05 forecast, while reporting $6.12 billion in revenue. The company also declared a quarterly dividend of $0.26 per share, representing a 0.8% yield.

Hennessy Advisors Inc. bought a new stake in Newmont Corporation (NYSE:NEM - Free Report) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor bought 42,528 shares of the basic materials company's stock, valued at approximately $889,000.

Other hedge funds have also made changes to their positions in the company. Pinnacle Bancorp Inc. acquired a new position in shares of Newmont during the 1st quarter valued at about $25,000. Cedar Mountain Advisors LLC acquired a new stake in Newmont in the 1st quarter worth approximately $25,000. Clearstead Trust LLC bought a new stake in Newmont during the second quarter worth approximately $25,000. Kilter Group LLC bought a new stake in Newmont during the second quarter worth approximately $26,000. Finally, Swiss RE Ltd. acquired a new position in Newmont during the fourth quarter valued at approximately $26,000. 68.85% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several brokerages have recently issued reports on NEM. TD raised their price objective on shares of Newmont from $127.00 to $133.00 and gave the stock a "buy" rating in a research note on Wednesday, August 12th. Zacks Research downgraded shares of Newmont from a "strong-buy" rating to a "hold" rating in a report on Tuesday, July 14th. The Goldman Sachs Group reduced their price target on shares of Newmont from $122.50 to $111.40 and set a "buy" rating for the company in a report on Wednesday, July 1st. Raymond James Financial restated an "outperform" rating and set a $140.00 price objective on shares of Newmont in a report on Monday, August 24th. Finally, Canaccord Genuity Group cut their price objective on shares of Newmont from $160.00 to $130.00 and set a "buy" rating for the company in a research report on Thursday, July 23rd. Two analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $132.73.

Insiders Place Their Bets

In other Newmont news, CFO Brian Tabolt sold 11,445 shares of the business's stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $105.09, for a total value of $1,202,755.05. Following the completion of the transaction, the chief financial officer directly owned 29,324 shares of the company's stock, valued at approximately $3,081,659.16. The trade was a 28.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Natascha Viljoen sold 7,764 shares of the company's stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $104.00, for a total transaction of $807,456.00. Following the transaction, the chief executive officer owned 135,235 shares in the company, valued at $14,064,440. The trade was a 5.43% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 25,209 shares of company stock valued at $2,567,701. Insiders own 0.06% of the company's stock.

Newmont Price Performance

Newmont stock opened at $127.84 on Monday. The business's fifty day moving average is $104.23 and its two-hundred day moving average is $109.49. The company has a debt-to-equity ratio of 0.15, a quick ratio of 2.26 and a current ratio of 2.55. The firm has a market cap of $134.70 billion, a P/E ratio of 16.14, a P/E/G ratio of 1.32 and a beta of 0.47. Newmont Corporation has a 52 week low of $72.78 and a 52 week high of $135.29.

Newmont (NYSE:NEM - Get Free Report) last announced its earnings results on Thursday, July 23rd. The basic materials company reported $2.10 earnings per share for the quarter, beating analysts' consensus estimates of $2.05 by $0.05. Newmont had a return on equity of 29.10% and a net margin of 33.36%.The company had revenue of $6.12 billion during the quarter, compared to analyst estimates of $6.35 billion. During the same period last year, the company posted $1.43 earnings per share. Equities research analysts forecast that Newmont Corporation will post 9.01 earnings per share for the current fiscal year.

Newmont Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 28th. Shareholders of record on Thursday, September 3rd will be given a $0.26 dividend. This represents a $1.04 annualized dividend and a yield of 0.8%. The ex-dividend date is Thursday, September 3rd. Newmont's dividend payout ratio (DPR) is presently 13.13%.

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.

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