Newmont (NYSE:NEM) Stock Price Expected to Rise, Canaccord Genuity Group Analyst Says

Key Points

• Canaccord Genuity raised its price target on Newmont to $160 from $150 and kept a "buy" rating, implying roughly a 46% upside from the current share price.
• Analyst coverage is largely positive—one Strong Buy, 17 Buy and five Hold—resulting in a consensus rating of "Moderate Buy" with an average price target of $142.51.
• Newmont beat expectations in the latest quarter, reporting EPS of $2.90 versus $2.07 expected and revenue of $7.31 billion (up 45.8% year-over-year), with a net margin of 33.87% and ROE of 27.84%.

Newmont (NYSE:NEM - Get Free Report) had its target price upped by research analysts at Canaccord Genuity Group from $150.00 to $160.00 in a research note issued to investors on Wednesday,MarketScreener reports. The firm currently has a "buy" rating on the basic materials company's stock. Canaccord Genuity Group's price objective points to a potential upside of 46.02% from the stock's current price.

A number of other brokerages also recently weighed in on NEM. DZ Bank upgraded Newmont to a "strong-buy" rating in a report on Monday, January 19th. Stifel Nicolaus increased their price objective on Newmont from $120.00 to $175.00 and gave the stock a "buy" rating in a research note on Tuesday, February 10th. UBS Group decreased their price objective on Newmont from $150.00 to $140.00 and set a "buy" rating for the company in a research report on Friday, March 27th. Wall Street Zen upgraded Newmont from a "hold" rating to a "buy" rating in a report on Saturday, April 25th. Finally, TD Cowen reissued a "buy" rating on shares of Newmont in a research report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $142.51.

Newmont Stock Up 1.8%

Shares of NYSE:NEM opened at $109.58 on Wednesday. The firm has a 50 day simple moving average of $113.85 and a 200 day simple moving average of $105.31. Newmont has a 52 week low of $48.27 and a 52 week high of $134.88. The company has a debt-to-equity ratio of 0.15, a quick ratio of 2.17 and a current ratio of 2.44. The company has a market cap of $116.98 billion, a PE ratio of 14.24, a price-to-earnings-growth ratio of 0.88 and a beta of 0.46.

Newmont (NYSE:NEM - Get Free Report) last posted its quarterly earnings data on Thursday, April 23rd. The basic materials company reported $2.90 earnings per share for the quarter, topping the consensus estimate of $2.07 by $0.83. Newmont had a net margin of 33.87% and a return on equity of 27.84%. The firm had revenue of $7.31 billion for the quarter, compared to analysts' expectations of $6.83 billion. During the same period in the previous year, the company posted $1.25 EPS. The company's quarterly revenue was up 45.8% compared to the same quarter last year. As a group, research analysts expect that Newmont will post 8.97 earnings per share for the current year.

Insider Activity

In other Newmont news, EVP Peter Toth sold 3,000 shares of the business's stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $113.09, for a total value of $339,270.00. Following the completion of the sale, the executive vice president directly owned 52,315 shares of the company's stock, valued at $5,916,303.35. The trade was a 5.42% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider David James Fry sold 18,394 shares of the stock in a transaction on Monday, March 16th. The stock was sold at an average price of $111.45, for a total transaction of $2,050,011.30. Following the transaction, the insider owned 17,147 shares in the company, valued at approximately $1,911,033.15. This trade represents a 51.75% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 24,394 shares of company stock valued at $2,713,281. 0.06% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Newmont

A number of large investors have recently bought and sold shares of NEM. GoalVest Advisory LLC bought a new stake in shares of Newmont during the 4th quarter worth about $25,000. Pinnacle Bancorp Inc. acquired a new position in shares of Newmont during the 1st quarter valued at about $25,000. Physician Wealth Advisors Inc. raised its stake in shares of Newmont by 327.8% in the 3rd quarter. Physician Wealth Advisors Inc. now owns 308 shares of the basic materials company's stock valued at $26,000 after acquiring an additional 236 shares in the last quarter. Swiss RE Ltd. acquired a new stake in Newmont in the 4th quarter worth approximately $26,000. Finally, Cornerstone Planning Group LLC boosted its position in Newmont by 312.1% during the fourth quarter. Cornerstone Planning Group LLC now owns 272 shares of the basic materials company's stock worth $27,000 after purchasing an additional 206 shares during the period. 68.85% of the stock is currently owned by institutional investors.

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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