Newmont (NYSE:NEM) Reaches New 1-Year High Following Analyst Upgrade

Key Points

• Newmont Corporation's stock hit a new 52-week high at $89.37 after an upgrade from a hold to a strong-buy rating by Cibc World Mkts, accompanied by a trading volume of over 6 million shares.
• Multiple research firms have raised their price targets for Newmont, with estimates ranging between $73.00 and $95.00, reflecting a generally positive outlook from analysts.
• The company recently announced a quarterly dividend of $0.25, amounting to an annualized yield of 1.1%, indicating a stable return for investors despite a low ownership percentage by insiders.

Newmont Corporation (NYSE:NEM - Get Free Report)'s share price reached a new 52-week high during mid-day trading on Monday after Cibc World Mkts upgraded the stock from a hold rating to a strong-buy rating. The company traded as high as $89.37 and last traded at $89.11, with a volume of 6368014 shares changing hands. The stock had previously closed at $85.14.

Several other research firms have also commented on NEM. BNP Paribas Exane upped their price target on shares of Newmont from $66.00 to $92.00 and gave the stock an "outperform" rating in a research report on Monday, September 15th. Zacks Research lowered shares of Newmont from a "strong-buy" rating to a "hold" rating in a research report on Thursday, September 4th. Royal Bank Of Canada upgraded shares of Newmont from a "sector perform" rating to an "outperform" rating and upped their price target for the stock from $66.00 to $95.00 in a research report on Wednesday, September 10th. Stifel Nicolaus began coverage on shares of Newmont in a research report on Wednesday, July 9th. They set a "buy" rating and a $73.00 price target for the company. Finally, National Bankshares reaffirmed an "outperform" rating on shares of Newmont in a report on Monday, September 22nd. Four equities research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Newmont presently has a consensus rating of "Moderate Buy" and a consensus price target of $83.18.

Insider Buying and Selling

In other Newmont news, CAO Brian Tabolt sold 7,015 shares of the company's stock in a transaction that occurred 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 completion of the sale, 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 document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Bruce R. Brook sold 2,080 shares of the company's stock in a transaction that occurred on Wednesday, October 1st. The stock was sold at an average price of $84.99, for a total value of $176,779.20. Following the sale, the director directly owned 36,869 shares of the company's stock, valued at $3,133,496.31. The trade was a 5.34% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 16,249 shares of company stock worth $1,132,065. Insiders own 0.05% of the company's stock.

Institutional Investors Weigh In On Newmont

A number of large investors have recently added to or reduced their stakes in NEM. Concord Wealth Partners boosted its position in shares of Newmont by 534.7% in the second quarter. Concord Wealth Partners now owns 457 shares of the basic materials company's stock valued at $27,000 after acquiring an additional 385 shares during the period. Evermay Wealth Management LLC boosted its position in shares of Newmont by 408.2% in the second quarter. Evermay Wealth Management LLC now owns 498 shares of the basic materials company's stock valued at $29,000 after acquiring an additional 400 shares during the period. Capital A Wealth Management LLC boosted its position in shares of Newmont by 1,648.3% in the second quarter. Capital A Wealth Management LLC now owns 507 shares of the basic materials company's stock valued at $30,000 after acquiring an additional 478 shares during the period. Caldwell Trust Co bought a new stake in shares of Newmont in the second quarter valued at approximately $31,000. Finally, CoreFirst Bank & Trust bought a new stake in shares of Newmont in the second quarter valued at approximately $32,000. Institutional investors own 68.85% of the company's stock.

Newmont Stock Up 4.4%

The company has a quick ratio of 1.91, a current ratio of 2.23 and a debt-to-equity ratio of 0.23. The company has a market capitalization of $97.67 billion, a P/E ratio of 15.98, a PEG ratio of 0.94 and a beta of 0.34. The firm has a 50-day moving average price of $76.77 and a two-hundred day moving average price of $62.65.

Newmont (NYSE:NEM - Get Free Report) last issued its earnings results on Thursday, July 24th. The basic materials company reported $1.43 EPS for the quarter, topping the consensus estimate of $0.95 by $0.48. The firm had revenue of $5.32 billion during the quarter, compared to analysts' expectations of $4.70 billion. Newmont had a return on equity of 17.86% and a net margin of 30.50%.Newmont's quarterly revenue was up 20.8% compared to the same quarter last year. During the same period last year, the business earned $0.72 earnings per share. Equities research analysts anticipate that Newmont Corporation will post 3.45 EPS for the current fiscal year.

Newmont Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, September 29th. Stockholders of record on Thursday, September 4th were paid a $0.25 dividend. The ex-dividend date was Thursday, September 4th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.1%. Newmont's dividend payout ratio (DPR) is 17.95%.

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.

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