Newmont Corporation (NYSE:NEM) Plans Dividend Increase – $0.26 Per Share

Newmont Corporation (NYSE:NEM) declared a quarterly dividend on Thursday, February 19th. Shareholders of record on Tuesday, March 3rd will be given a dividend of 0.26 per share by the basic materials company on Thursday, March 26th. This represents a c) annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Tuesday, March 3rd. This is a 4.0% increase from Newmont’s previous quarterly dividend of $0.25.

Newmont has decreased its dividend by an average of 0.1%annually over the last three years. Newmont has a payout ratio of 22.1% meaning its dividend is sufficiently covered by earnings. Analysts expect Newmont to earn $3.80 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 26.3%.

Newmont Price Performance

Shares of NYSE NEM traded down $5.19 on Friday, hitting $120.21. The company’s stock had a trading volume of 4,023,623 shares, compared to its average volume of 9,784,921. The stock has a 50 day moving average of $112.64 and a 200-day moving average of $92.58. The company has a market capitalization of $131.18 billion, a price-to-earnings ratio of 18.68, a price-to-earnings-growth ratio of 1.04 and a beta of 0.40. Newmont has a 12-month low of $41.23 and a 12-month high of $134.88. The company has a debt-to-equity ratio of 0.17, a current ratio of 2.04 and a quick ratio of 1.74.

Newmont (NYSE:NEM) last posted its earnings results on Thursday, February 19th. The basic materials company reported $2.52 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.81 by $0.71. The firm had revenue of $6.82 billion for the quarter, compared to analyst estimates of $6.18 billion. Newmont had a return on equity of 20.35% and a net margin of 33.42%.Newmont’s revenue was up 20.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.40 EPS. As a group, research analysts predict that Newmont will post 3.45 EPS for the current year.

Analyst Ratings Changes

Several research analysts have recently weighed in on the stock. UBS Group reiterated a “buy” rating and set a $160.00 price objective on shares of Newmont in a report on Friday, January 30th. Stifel Nicolaus upped their target price on shares of Newmont from $120.00 to $175.00 and gave the company a “buy” rating in a research note on Tuesday, February 10th. TD Cowen lifted their price target on shares of Newmont from $89.00 to $120.00 and gave the stock a “hold” rating in a research note on Thursday, January 22nd. Canadian Imperial Bank of Commerce reissued an “outperform” rating and issued a $177.00 price objective on shares of Newmont in a research report on Wednesday, February 4th. Finally, BMO Capital Markets dropped their target price on Newmont from $145.00 to $140.00 and set an “outperform” rating on the stock in a research report on Friday. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Newmont has a consensus rating of “Moderate Buy” and an average target price of $131.66.

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.