Core Insights - Newmont Mining shares are experiencing a decline after reaching an all-time high, following a significant rally of over 60% in the past year [1][5] - Gold prices have also surged, hitting a new all-time high of nearly 4,400, following a previous milestone of 4,000 just ten days prior [1][7] Company Performance - Newmont Mining has shown a strong correlation with gold prices, with a typical correlation coefficient around one, indicating they move in tandem [5][6] - The stock has increased by 61% over the past year, outperforming the broader basic materials sector [5][10] Market Dynamics - The recent rise in gold prices is attributed to increased central bank buying and retail interest, as investors seek to diversify away from the dollar amid government shutdowns and trade tensions [3][4] - The market is currently experiencing a pullback, which may be a result of profit-taking after the significant upward movement in gold prices [15][16] Technical Analysis - Support levels for Newmont Mining are identified around 88, with additional support at 82, indicating potential areas for price stabilization [9][10] - The 21-day exponential moving average is close to the 88 level, suggesting a supportive zone between 87 and 90 [11] Options Activity - Options trading activity has been elevated, with approximately 71,000 contracts changing hands, indicating heightened interest in the stock [12][14] - The highest open interest for options is at the 75 level, which aligns with key technical indicators such as the 63-day EMA and linear regression line [14]

Core Insights - American Express shares increased after the company reported strong quarterly results that exceeded analysts' expectations and raised its outlook due to increased customer usage of its high-end credit cards [2][6]. Group 1: Market Performance - Major U.S. equity indexes rose at midday on Friday, with regional bank stocks recovering from previous losses following a series of corporate earnings reports [1][6]. - Kenvue was the top performer in the S&P 500 as investors capitalized on a dip in its stock price after a lawsuit in the U.K. claimed its baby powder caused cancer [2]. - Truist Financial also reported better-than-expected results, driven by higher wealth management fees and interest income, leading to a rise in its share price [3]. Group 2: Sector Movements - Shares of Newmont and other gold miners declined as the price of gold, which had been reaching record highs, experienced a pullback [3]. - U.S.-listed shares of Novo Nordisk and Eli Lilly fell after comments from President Trump regarding potential price reductions for popular weight-loss drugs [3][6]. Group 3: Economic Indicators - The yield on the 10-year Treasury note and oil futures saw slight increases, while the U.S. dollar strengthened against the euro and pound but weakened against the yen [4].

Group 1 - The core viewpoint of the article indicates a significant decline in gold stocks, with Harmony Gold (HMY.US) dropping over 9%, Kinross Gold (KGC.US) and Gold Fields (GFI.US) falling over 7%, and Newmont Corporation (NEM.US) decreasing over 6% [1] - Spot gold prices have experienced a substantial drop, falling by 2% and dropping below $4250 [1]

Summary of North American Metals & Mining Conference Call Industry Overview - **Industry**: North American Precious Metals - **Key Commodities**: Gold and Silver Core Insights and Arguments 1. **Price Forecasts**: - Gold is projected to reach **$5,000/oz** and silver to **$65/oz** in the next 12-18 months, with 2026 average forecasts for gold raised by **18%** to **$4,329/oz** and silver by **29%** to **$54.88/oz** [1][10][11] - Investment demand for gold is expected to increase by **14%** in 2026, similar to the current year [2] 2. **Market Dynamics**: - Key conditions supporting gold price strength include: - US structural deficit - Inflationary pressures from deglobalization - Threats to the independence of the US central bank - Ongoing global geopolitical tensions [1] 3. **Investment Trends**: - ETF purchases of gold surged by **880% YoY** in September, reaching an all-time high of **$14 billion** [2] - Total physical and paper gold investment has nearly doubled, exceeding **5%** of global equity and fixed income markets [2] 4. **Risks to Monitor**: - Supreme Court ruling on President Trump's tariffs - Potential hawkish pivot from the Federal Reserve if economic data improves - Outcomes of the US mid-term elections affecting economic policy implementation [2] Company-Specific Updates 1. **Net Asset Value (NAV) and Price Objectives (PO)**: - NAV estimates for North American Precious Metals coverage increased by **10%**, with average POs raised by **16%** [3][19] - IAMGOLD (IAG) saw the largest PO increase of **49%** to **$16.75** per share, reflecting improved jurisdictional risk [3][15] - SSR Mining (SSRM) PO raised by **41%** to **$18.00** per share, despite an Underperform rating due to uncertainties regarding Çöpler mine [3][15] 2. **Top Picks**: - Agnico Eagle Mines (AEM) is highlighted as the top pick due to its strong track record and growth projects [4] - Pan American Silver (PAAS) is favored for balanced exposure to silver and gold [4] 3. **EBITDA Revisions**: - Average EBITDA estimates for 2026 and 2027 increased by **25%** and **18%**, respectively, driven by revised commodity price forecasts [20] 4. **Valuation Multiples**: - Target multiples for IAMGOLD and SSR Mining adjusted to **1.60x** and **1.00x**, respectively, reflecting improved performance and market conditions [15][16] Additional Important Information - The report indicates potential conflicts of interest due to BofA Securities' business relationships with covered issuers [6] - The document includes various disclosures and certifications relevant to the research [5][6] This summary encapsulates the key points from the conference call, focusing on industry trends, company-specific updates, and potential investment opportunities and risks.

Group 1 - Gold stocks experienced a significant increase, with Silvercorp Metal (SVM.US) rising over 4%, Gold Fields (GFI.US) increasing more than 3%, and Harmony Gold (HMY.US) and Newmont Mining (NEM.US) both gaining over 2% [1] - Spot gold surged by 1.25%, reaching a new historical high of $4,260 [1]

Core Insights - Newmont Corporation (NEM) achieved record free cash flows in Q2 2025, with total capital expenditures decreasing to $674 million [1][2] Financial Performance - Free cash flow surged nearly threefold year over year and increased by 42% from the prior quarter to $1.7 billion, driven by higher net cash from operating activities and lower capital investment [2][8] - The Zacks Consensus Estimate for NEM's earnings in 2025 and 2026 indicates a year-over-year rise of 60.1% and 8.2%, respectively, with EPS estimates trending higher over the past 60 days [10] Capital Expenditure Trends - Newmont anticipates higher capital spending in Q3 2025, influenced by increased cash tax payments and ongoing construction of the Yanacocha water treatment facilities [3][4] - Sustaining capital spending is expected to ramp up in the second half of 2025, particularly for projects at Tanami, Cadia, Lihir, and Red Chris [4] Industry Comparison - Barrick Mining Corporation's total attributable capital expenditures rose 14% sequentially and 3% year over year in Q2, with expectations for 2025 expenditures between $3,100 million and $3,600 million [5] - Agnico Eagle Mines Limited forecasts capital expenditures to be between $1.75 billion and $1.95 billion for 2025, up from approximately $1.66 billion in 2024 [6] Stock Performance - NEM shares have increased by 151.4% year to date, outperforming the Zacks Mining – Gold industry's rise of 123.5%, largely due to a rally in gold prices [7][8] - NEM is currently trading at a forward 12-month earnings multiple of 16.57, which is a 3.6% premium to the industry average of 16.17X [11]

Group 1: Gold Market Overview - Gold prices have surged over 50% this year, reaching an all-time high of $4,179.48 per ounce on October 14, driven by political turmoil and expectations of Federal Reserve rate cuts [1][9] - The increase in gold prices reflects cautious sentiment among institutional and retail investors regarding economic growth, particularly due to rising tensions between the U.S. and China [2][3] - Expectations of a Federal Reserve rate cut by 25 basis points in October and November have weakened the U.S. dollar, further boosting gold prices as investors seek stability [4][6] Group 2: Central Bank Activity - Central banks globally are increasing their gold holdings to diversify reserves and reduce risks, which is expected to sustain the upward trend in gold prices over the next 12 months [5] - The U.S. dollar has experienced its worst decline in 50 years during the first half of the year, making gold more cost-effective for investors [6] Group 3: Company Performance - Newmont Corporation is a major gold producer with a projected earnings growth rate of 58.1% for the current year, driven by higher gold prices and successful growth projects [8] - Kinross Gold is also advancing its projects with an expected earnings growth rate of 111.8% for the current year, benefiting from the rising gold prices [11] - Both Newmont and Kinross Gold are positioned to see significant profit margins as gold prices continue to rise, with Goldman Sachs predicting gold could reach $4,900 per ounce by 2026 [7][9] Group 4: Investment Vehicles - The SPDR Gold Shares ETF (GLD) has gained over 50% in the past year and is designed to mimic the price of gold, offering storage and liquidity advantages [13] - Newmont and Kinross Gold currently hold a Zacks Rank 2 (Buy), while GLD has a Zacks Rank 3 (Hold) [14]

Core Insights - Newmont Corporation's shares have increased by 61.8% over the past six months, driven by record-high gold prices and strong earnings performance [1][7] - The stock has outperformed the Zacks Mining – Gold industry's rise of 44.7% and the S&P 500's increase of 28% [2] Financial Performance - Newmont reported robust liquidity of $10.2 billion, including approximately $6.2 billion in cash and cash equivalents [15] - Free cash flow surged nearly threefold year-over-year to $1.7 billion, with net cash from operating activities increasing by 17% from the prior quarter to $2.4 billion [15] - The company has distributed around $2 billion to shareholders through dividends and share repurchases, while reducing debt by $1.4 billion since the beginning of 2025 [15] Growth Projects - Newmont is pursuing several growth projects, including the Ahafo North expansion in Ghana, which is expected to produce between 275,000 and 325,000 ounces of gold annually over an estimated mine life of 13 years [10][11] - The acquisition of Newcrest Mining Limited has created a leading portfolio with a multi-decade production profile in favorable mining jurisdictions, achieving $500 million in annual run-rate synergies [12] Market Conditions - Gold prices have increased by approximately 58% this year, driven by global trade tensions and central banks accumulating gold reserves [16][17] - Current gold prices are hovering near $4,200 per ounce, influenced by factors such as U.S.-China trade tensions and expectations of interest rate cuts [17] Valuation and Earnings Outlook - Newmont's forward price/earnings ratio is 16.21X, slightly below the industry's average of 16.56X [20] - Earnings estimates for 2025 have been revised upward, with a Zacks Consensus Estimate of $5.50, indicating a year-over-year growth of 58.1% [19] Investment Case - Newmont presents a compelling investment opportunity, supported by a strong portfolio of growth projects, solid financial health, and rising earnings estimates [23] - The company's focus on high-return, long-life assets underpins its long-term sustainability, making it a prudent choice for investors looking to capitalize on favorable gold market conditions [23]

Core Insights - The S&P 500 has seen five stocks double in value this year, indicating a broadening rally beyond just AI-related stocks [1][2] - Robinhood Markets has more than tripled in value, becoming the top performer among S&P 500 stocks [3] - Seagate Technology and Newmont have also shown significant gains, with increases of 145% and 143% respectively [4][5] Company Performance - **Robinhood Markets (HOOD)**: Stock has increased by 262.2% this year, with analysts projecting a 59% profit rise this year and 19% in 2026. The app is evolving to include sports wagering [3][6] - **Seagate Technology (STX)**: Stock is up 145.2% this year, driven by strong PC demand due to the retirement of Windows 10. Analysts expect a 32% rise in EPS this fiscal year [4][6] - **Newmont (NEM)**: Stock has risen by 143.3% this year, benefiting from higher gold and silver prices. Profit is projected to increase by 71% this year [5][6] - **Palantir Technologies (PLTR)**: Stock has increased by 137.7% this year, showcasing the potential of AI-related companies [6] - **Micron Technology (MU)**: Stock has risen by 122.3% this year, contributing to the overall performance of the S&P 500 [6] Market Context - The overall S&P 500 index is up 13% this year, highlighting the exceptional performance of the doubling stocks [5] - The need for the remaining 493 stocks in the S&P 500 to contribute more to sustain the bull market is emphasized [2]

Core Viewpoint - The pre-market trading of gold stocks in the US saw a collective rise, driven by expectations of further interest rate cuts and ongoing trade tensions, leading to a significant increase in gold prices, which surpassed $4,210, marking a new historical high and a year-to-date increase of over 60% [1]. Group 1: Market Performance - Gold stocks such as Harmony Gold and Kinross Gold rose over 4%, while companies like Coeur Mining, DRDGOLD, and AngloGold Ashanti saw increases exceeding 3% [1]. - The pre-market performance of various gold stocks included notable gains: Harmony Gold at 4.97%, Kinross Gold at 2.20%, and AngloGold Ashanti at 3.20% [2]. Group 2: Gold Price Movement - Spot gold prices broke the $4,210 mark, achieving a new all-time high [1]. - Year-to-date, spot gold has increased by more than 60%, reflecting strong market demand and investor sentiment [1].