Newmont Corporation (NYSE:NEM) previous close was $70.31 while the outstanding shares total 801.00M. The firm has a beta of 0.31, a 12-month trailing P/E ratio of 23.74, and a growth ratio of 2.90. NEM’s shares traded lower over the last trading session, losing -0.68% on 06/14/21. The shares fell to a low of $69.071 before closing at $69.83. Intraday shares traded counted 5.64 million, which was 18.66% higher than its 30-day average trading volume of 6.93M. The stock’s Relative Strength Index (RSI) is 47.31, with weekly volatility at 1.63% and ATR at 1.46. The NEM stock’s 52-week price range has touched low of $53.16 and a $75.31 high.
Investors have identified the Gold company Newmont Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $56.54 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Newmont Corporation (NEM) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For NEM, the company has in raw cash 5.52 billion on their books with 1.04 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 8.36 billion total, with 3.48 billion as their total liabilities.
NEM were able to record 442.0 million as free cash flow during the 07/29/2021 quarter of the year, this saw their quarterly net cash flow reduce by -22.0 million. In cash movements, the company had a total of 841.0 million as operating cash flow.
Potential earnings growth for Newmont Corporation (NEM)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/29/2021 quarter of the year, Newmont Corporation recorded a total of 2.87 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 10.13% coming in sequential stages and their sales for the 07/29/2021 quarter reducing by -17.72%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.25 billion trying to sell their products during the last quarter, with the result yielding a gross income of 1.63 billion. This allows shareholders to hold on to 801.00M with the recently reported earning now reading 0.70 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (0.74 cents a share).
Having a look at the company’s valuation, the company is expected to record 3.65 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on NEM sounds very interesting.
Is the stock of NEM attractive?
In related news, EVP and Chief S&EA Officer, Gottesfeld Stephen P sold 4,000 shares of the company’s stock in a transaction that recorded on Jun 09. The sale was performed at an average price of 70.02, for a total value of 280,080. As the sale deal closes, the EVP & COO, Atkinson Robert D now sold 2,024 shares of the company’s stock, valued at 148,966. Also, President & CEO, Palmer Thomas Ronald sold 5,150 shares of the company’s stock in a deal that was recorded on Jun 01. The shares were price at an average price of 73.60 per share, with a total market value of 379,040. Following this completion of acquisition, the SVP, Strategic Development, Rhodes Blake now holds 500 shares of the company’s stock, valued at 36,800. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.10%.
12 out of 20 analysts covering the stock have rated it a Buy, while 5 have maintained a Hold recommendation on Newmont Corporation. 0 analysts has assigned a Sell rating on the NEM stock. The 12-month mean consensus price target for the company’s shares has been set at $75.53.