The stock of Newmont Corporation (NYSE:NEM) increased by $0.73 on Monday to finish at $39.04, up 1.91 percent. The last five days have seen an average of 6,335,940 shares of common stock traded. 6 times new highs were reached in the current year, with a fall of -$8.16. The average number of shares traded over the last 20 days was 6,811,930, while the average volume over the last 50 days totaled 7,163,634.
NEM stock dropped -7.97% since last month. On 08/22/23, the company’s shares reached a one-month low of $37.84. The stock touched a high of $55.41 on 01/24/23, after rallying from a low of $37.45 in 52 weeks. The price of NEM stock has declined by -17.29% or -$8.16 this year, reaching a new high 6 times. Still, the stock price is down -29.54% from the 52-week high.
Insider Transactions
NEM stock investors should be aware that Newmont Corporation (NEM) stock had its last reported insider trading activity 28 days ago on Aug 01. On Aug 01, President & CEO Palmer Thomas Ronald sold 11,000 shares at $42.16 each. This transaction resulted in the insider making $463,760. On Jul 03, Palmer Thomas Ronald sold 11,000 shares at a price of US$42.85. After the transaction, the insider now owns 278,039 shares. President & CEO Palmer Thomas Ronald had earlier sold 11,000 shares on Jun 01 for $40.84 a share. The transaction was completed for $449,240.
Valuation Metrics
Beta for the stock is 0.41. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.83, the price-to-book (PB) ratio of 1.61, and the price-to-cash flow ratio of 102.04.
Company paid $0.40 per share in dividends, remained unchanged from $0.40 last year. A $0.15 dividend decrease was reported on Thursday February 23 2023.
Financial Health
For the three months ended June 29, Newmont Corporation’s quick ratio was 1.50, while its current ratio was 2.30, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.31, and the total debt to equity ratio is 0.32. As far as profitability goes, gross margin for the trailing twelve months is 43.30% percent. Newmont Corporation’s EBITDA margin for the year ended June 29 was 39.56%, whereas its operating margin stood at -2.40% for the same period. Based on annual data, it had gross profit of $5.45 billion and revenue of $11.91 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. NEM’s return on assets (ROA) during the last 12 months has been -2.00%. There was a -1.00% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -3.80%.
Earnings Surprise
According to Newmont Corporation’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $2.68 billion, while revenues fell by -13.98% to $2.68 billion. It was predicted that Newmont Corporation’s quarterly earnings would be $0.45, but it ended up being $0.59, beating the consensus by -23.70%. EBITDA was $852.0 million for the quarter. At the end of Newmont Corporation’s most recent quarter ended June 29, its liabilities totaled 18.72 billion, while its total debt was $6.11 billion. Equity owned by shareholders amounts to $794.73 million.
Technical Picture
Here’s a quick look at Newmont Corporation’s (NEM) price momentum from a technical perspective. As of 28 August, the RSI 9-day stood at 45.12%, suggesting the stock is Neutral, with a 18.97% historical volatility rate.
The stochastic %K and %D were 34.22% and 34.71% respectively, while the average true range (ATR) was 0.85. Based on the 14-day stochastic reading of 43.96%, the RSI (14) reading is 42.16%. On the 9-day MACD Oscillator, the stock is at 0.18, and the 14-day reading is at -0.16.
Analyst Ratings
Newmont Corporation (NYSE: NEM) was downgraded by CIBC to a a Neutral rating in its latest research report. The stock was previously rated as a a Sector outperform. Analysts have assigned Newmont Corporation (NEM) an Overweight rating. NEM is a stock that is recommended for selling by 0 brokerage firms, while 7 companies recommend holding. The stock is underweighted by 2 analysts. Among the analysts who rate the stock, 3 rates it overweight and 8 others recommend it as a buy.
What is NEM’s price target for the next 12 months?
The current consensus forecast for the stock is between $39.80 and $68.31, with a median target price of $55.00. In analyzing these forecasts, the average price target given by analysts for Newmont Corporation (NEM) is $54.95.
