Newmont Mining Corp. (NEM) Lowered to “Hold” at Zacks Investment Research
According to Zacks, “Estimates for Newmont have been stable of late. Newmont is making notable progress with its growth projects that are expected to boost its production performance. We are also impressed with its cost management initiatives and efforts to reduce debts. Moreover, the acquisition of CC&V represents a significant opportunity for the company. However, Newmont is exposed to a volatile price environment and challenges in the copper market. Oversupply in the market poses a threat on copper prices. Moreover, the decision to divest stake in Indonesian assets could affect the company's production and bottom line in 2016. The company's production may also be affected by lower grades across specific mines and geopolitical issues. “
Several other analysts have also issued reports on the stock. Citigroup Inc. restated a buy rating on shares of Newmont Mining Corp. in a research report on Thursday, August 18th. HSBC restated a buy rating on shares of Newmont Mining Corp. in a research report on Thursday, July 7th. Vetr upgraded shares of Newmont Mining Corp. from a buy rating to a strong-buy rating and set a $45.64 price target on the stock in a research report on Monday, September 12th. Barclays PLC raised their price target on shares of Newmont Mining Corp. from $38.00 to $45.00 and gave the stock an equal weight rating in a research report on Monday, August 8th. Finally, FBR & Co raised their price target on shares of Newmont Mining Corp. from $31.00 to $39.00 and gave the stock a market perform rating in a research report on Wednesday, July 20th. Eight investment analysts have rated the stock with a hold rating, ten have issued a buy rating and one has assigned a strong buy rating to the company. The stock presently has an average rating of Buy and a consensus target price of C$37.47.
Shares of Newmont Mining Corp. (NYSE:NEM) opened at 36.37 on Monday. The firm has a 50 day moving average of $40.50 and a 200 day moving average of $36.59. Newmont Mining Corp. has a 52 week low of $16.05 and a 52 week high of $46.07. The firm has a market cap of $19.30 billion, a price-to-earnings ratio of 491.49 and a beta of 0.25.
Newmont Mining Corp. (NYSE:NEM) last posted its earnings results on Wednesday, July 20th. The company reported $0.44 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.30 by $0.14. Newmont Mining Corp. had a net margin of 0.51% and a return on equity of 3.89%. The business had revenue of $2 billion for the quarter, compared to analyst estimates of $1.94 billion. During the same period last year, the business posted $0.26 EPS. Newmont Mining Corp.’s revenue was up 6.8% compared to the same quarter last year. Equities analysts predict that Newmont Mining Corp. will post $1.81 earnings per share for the current fiscal year.
The business also recently announced a quarterly dividend, which was paid on Thursday, September 29th. Shareholders of record on Thursday, September 15th were paid a $0.025 dividend. This represents a $0.10 dividend on an annualized basis and a dividend yield of 0.26%. The ex-dividend date of this dividend was Tuesday, September 13th. Newmont Mining Corp.’s dividend payout ratio is presently 166.69%.
In related news, EVP Scott P. Lawson sold 4,700 shares of the business’s stock in a transaction that occurred on Tuesday, July 26th. The shares were sold at an average price of C$40.35, for a total transaction of C$189,645.00. Following the completion of the sale, the executive vice president now directly owns 46,295 shares of the company’s stock, valued at C$1,868,003.25. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Stephen P. Gottesfeld sold 10,000 shares of the business’s stock in a transaction that occurred on Wednesday, July 27th. The stock was sold at an average price of C$41.59, for a total transaction of C$415,900.00. Following the sale, the executive vice president now directly owns 122,857 shares of the company’s stock, valued at C$5,109,622.63. The disclosure for this sale can be found here. 0.22% of the stock is currently owned by company insiders.
Large investors have recently bought and sold shares of the company. Norges Bank acquired a new stake in Newmont Mining Corp. during the fourth quarter worth $43,180,000. Aperio Group LLC increased its stake in Newmont Mining Corp. by 20.9% in the first quarter. Aperio Group LLC now owns 164,887 shares of the company’s stock worth $4,383,000 after buying an additional 28,479 shares during the period. Teachers Advisors Inc. increased its stake in Newmont Mining Corp. by 18.8% in the first quarter. Teachers Advisors Inc. now owns 938,482 shares of the company’s stock worth $24,945,000 after buying an additional 148,448 shares during the period. Franklin Resources Inc. increased its stake in Newmont Mining Corp. by 1.1% in the first quarter. Franklin Resources Inc. now owns 135,018 shares of the company’s stock worth $3,588,000 after buying an additional 1,529 shares during the period. Finally, BlackRock Group LTD increased its stake in Newmont Mining Corp. by 19.4% in the first quarter. BlackRock Group LTD now owns 21,285,164 shares of the company’s stock worth $565,760,000 after buying an additional 3,464,169 shares during the period. 79.71% of the stock is owned by institutional investors and hedge funds.
About Newmont Mining Corp.
Newmont Mining Corporation is a global mining company, which is focused on the production of and exploration for gold and copper. The Company is primarily a gold producer with operations and/or assets in the United States, Australia, Peru, Indonesia, Ghana and Suriname. Its segments are North America, South America, Asia Pacific and Africa.
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