Core Viewpoint - Spot gold has surpassed $4,730 per ounce, leading to a pre-market rally in U.S. gold mining stocks [1] Group 1: Gold Mining Stocks Performance - Harmony Gold increased by 5.8% [1] - Gold Fields rose by 5% [1] - Barrick Gold saw a rise of 3.9% [1] - Newmont's stock price increased by 3.4% [1] - AngloGold Ashanti grew by 2.6% [1] - Sibanye Stillwater experienced a 3.3% increase [1] - SPDR Gold ETF rose by 3.2% [1]

Newmont Corporation (NEM), headquartered in Denver, Colorado, acquires, explores, and develops mineral properties. Valued at $124.5 billion by market cap, the company produces and markets gold, copper, silver, zinc, and lead. The world’s leading gold company is expected to announce its fiscal fourth-quarter earnings for 2025 after the market closes on Thursday, Feb. 19. Ahead of the event, analysts expect NEM to report a profit of $1.81 per share on a diluted basis, up 29.3% from $1.40 per share in the y ...

Core Insights - Gold prices have surged from under $2,000 per ounce in 2021 to $4,647 today, more than doubling in value [1] - Newmont (NYSE: NEM) has outperformed gold with a 182% increase over the last 12 months, while Wheaton Precious Metals (NYSE: WPM) has achieved a 132% gain, making it a compelling alternative for investors seeking gold exposure [2][6] Company Analysis - Newmont operates in a capital-intensive gold mining industry, requiring significant investment for projects, typically ranging from $100 million to $150 million to start [4][5] - Newmont's current financials show a net income margin of 33% and a three-year revenue compound annual growth rate (CAGR) of 21%, with debt at $5.65 billion, nearly equal to its cash reserves of $5.97 billion [7] - Wheaton Precious Metals employs a streaming model, purchasing gold and silver from other mining operations at set prices, allowing it to benefit from rising gold prices without the associated risks of mining [8]

Group 1: Stock Market Trends - Approximately 18% of S&P 500 stocks have seen a year-to-date increase of 10% or more, doubling the average of 9.4% from the past five years [1] - The technology, financial, and metals mining sectors have seen dozens of stocks rise over 50% in the past year, with the total market capitalization of this "surging stock" group exceeding $4 trillion [1] - Notable examples include Micron Technology, Western Digital, and SanDisk, which have benefited from strong storage demand driven by the AI wave, with related storage stocks rising over 200% in the past year [1] Group 2: Semiconductor and Data Center Demand - The demand for computing power has surged as companies integrate AI agents into software systems, leading to an expansion of data centers and a direct increase in semiconductor demand [2] - Connector manufacturer Amphenol has seen its revenue from data centers rise significantly, with its stock price doubling in the past year [2] - Corning, a materials giant, has experienced an 88% increase in stock price due to rising demand from data center expansions [2] Group 3: Commodity Market Impact - Copper prices have risen approximately 30% in the past year, driven by increased demand from data centers, benefiting mining companies like Southern Copper, whose stock has increased by about 91% [2] - Gold mining stocks have also rebounded strongly, with Newmont Mining and Barrick Mining both doubling in stock price, coinciding with a 66% increase in gold prices [2] Group 4: Financial Sector Performance - Major U.S. investment banks, including Citigroup and Goldman Sachs, have seen stock prices rise over 50% in the past year, driven by expectations of a Fed rate cut and increased credit demand [3] - Regulatory changes, such as relaxed capital and reserve requirements, have boosted bank valuations and facilitated more lending and mergers [3] - The acceleration of merger review processes by the FTC and DOJ has reduced transaction costs and increased certainty in deal completions [3]

Core Viewpoint - Newmont Corporation (NYSE:NEM) is highlighted as a top metal stock to invest in, with analysts at Raymond James raising the price target to $111 from $99, maintaining an Outperform rating [1][2]. Group 1: Financial Performance and Stability - The price target increase is attributed to Newmont's low-jurisdictional-risk global portfolio, which allows the company to generate solid cash flow amid rising gold prices, affirming its financial stability [2]. - Newmont's strong dividend framework enables it to share excess capital with shareholders, further enhancing its attractiveness as an investment [3]. Group 2: Market Position and Strategic Moves - Newmont Corporation is recognized as the world's leading gold mining company, also producing significant amounts of copper, silver, zinc, and lead, focusing on sustainable practices and strong ESG standards [4]. - The company recently agreed to sell 6.77 million shares of Fuertes Metals Corporation for $22 million, reducing its ownership stake from 24% to 19.5% [3]. Group 3: Analyst Sentiment - RBC Capital analyst Josh Wolfson maintains a bullish stance on Newmont, setting a price target of $120, indicating positive sentiment in the market [3].

Core Viewpoint - Newmont Corporation's shares have increased by 26.2% over the past three months, driven by record-high gold prices and strong earnings performance [1][7]. Group 1: Stock Performance - NEM stock has outperformed the Zacks Mining – Gold industry's 17.5% rise and the S&P 500's increase of 6% [2]. - Among gold mining peers, Barrick Mining Corporation, Agnico Eagle Mines Limited, and Kinross Gold Corporation have gained 46.7%, 12.9%, and 29.1%, respectively, over the same period [2]. Group 2: Technical Indicators - NEM has been trading above its 200-day simple moving average (SMA) since April 9, 2025, indicating a long-term uptrend [5]. - The 50-day SMA is higher than the 200-day SMA, following a golden crossover on April 16, 2025, suggesting a bullish trend [5]. Group 3: Growth Projects and Divestitures - Newmont is investing in growth projects, including the Ahafo North expansion in Ghana and the Cadia Panel Caves and Tanami Expansion 2 in Australia, aimed at expanding production capacity [10]. - Ahafo North is expected to produce between 275,000 and 325,000 ounces of gold annually over an estimated mine life of 13 years, with production ramping up to full capacity in 2026 [11]. - The company completed its non-core divestiture program in April 2025, generating around $470 million from the sale of non-core assets [12]. - Newmont anticipates generating $3 billion in after-tax cash proceeds from its 2025 divestiture program to support its capital allocation strategy [13]. Group 4: Financial Health - Newmont has a strong liquidity position of $9.6 billion, including cash and cash equivalents of around $5.6 billion [14]. - Free cash flow more than doubled year over year to a record $1.6 billion, with net cash from operating activities increasing by 40% to $2.3 billion [14]. - The company has distributed over $5.7 billion to shareholders through dividends and share repurchases over the past two years [15]. Group 5: Gold Price Dynamics - Gold prices surged about 65% last year, currently trading above $4,600 per ounce, supported by central bank buying and expectations of rate cuts [18][19]. - Increased geopolitical tensions and macroeconomic uncertainty are expected to sustain favorable conditions for gold prices [19]. Group 6: Production Outlook - Newmont reported a 15% year-over-year and 4% sequential decline in gold production for Q3 2025, reaching 1.42 million ounces [21]. - The company expects fourth-quarter production of 1.415 million ounces, indicating a roughly 25% year-over-year decline [22]. Group 7: Earnings Estimates - Newmont's earnings estimates for 2025 have been revised higher, with the Zacks Consensus Estimate currently pegged at $6.32, suggesting year-over-year growth of 81.6% [23]. Group 8: Valuation - Newmont is currently trading at a forward price/earnings of 15.42X, a premium to the industry's average of 14.66X [25]. Group 9: Investment Recommendation - Newmont presents an attractive investment case backed by a robust portfolio of growth projects and solid financial health, despite challenges from lower production [26].

Core Insights - Newmont Corporation (NEM) achieved record free cash flow of $1.6 billion in Q3 2025, more than doubling year-over-year, driven by lower capital expenditures and increased net cash from operating activities [2][8] - The company reduced its total capital expenditures by approximately 17% year-over-year to $727 million, and lowered its capital guidance for 2025 by $200 million [1][3] Financial Performance - NEM's free cash flow exceeded $1 billion for the fourth consecutive quarter, reflecting strong operational performance [2] - The reduction in sustaining capital by $150 million to $1,725 million and development capital by $50 million to $1,280 million contributed to the overall decrease in capital spending [3] Future Outlook - Despite lower capital expenditures, NEM cautioned that free cash flow in Q4 may be impacted by increased spending on Yanacocha's water treatment construction and planned severance payments [4][8] - The Zacks Consensus Estimate indicates a projected earnings increase of 81.9% for 2025 and 15.1% for 2026, with EPS estimates trending higher over the past 60 days [10] Industry Comparison - In contrast, Barrick Mining Corporation's capital expenditures increased by 30% year-over-year in Q3, with expectations for further increases in 2025 [5] - Agnico Eagle Mines Limited also anticipates high capital spending levels in 2025, with expenditures projected between $1.75 billion and $1.95 billion [6] Stock Performance - NEM shares have risen 88.5% over the past six months, outperforming the Zacks Mining – Gold industry, which increased by 79.6% [7]

Core Insights - Newmont Corporation's shares have increased by 26.2% over the past three months, driven by record-high gold prices and strong earnings performance [1][7][26] - The company's stock performance has outpaced the Zacks Mining – Gold industry's 17.5% rise and the S&P 500's 6% increase [2][7] Stock Performance - NEM's stock has shown bullish momentum, trading above its 200-day and 50-day simple moving averages, indicating a long-term uptrend [5][6] - Compared to peers, Barrick Mining Corporation, Agnico Eagle Mines Limited, and Kinross Gold Corporation have seen gains of 46.7%, 12.9%, and 29.1%, respectively [2] Production and Divestitures - Newmont reported a 15% year-over-year decline in gold production for Q3 2025, reaching 1.42 million ounces, attributed to strategic divestments and reduced grades [21] - The company anticipates maintaining gold production for 2025 at approximately 5.9 million ounces, with Q4 production expected to be around 1.415 million ounces, reflecting a 25% year-over-year decline [22] Financial Health - Newmont has a strong liquidity position of $9.6 billion, including $5.6 billion in cash and cash equivalents, and a record free cash flow of $1.6 billion [14] - The company has returned over $5.7 billion to shareholders through dividends and share repurchases in the past two years, while also reducing debt by approximately $2 billion [15][20] Growth Projects - Newmont is investing in growth projects such as the Ahafo North expansion in Ghana and the Cadia Panel Caves in Australia, which are expected to enhance production capacity and extend mine life [10][11] - The Ahafo North project is projected to produce between 275,000 and 325,000 ounces of gold annually over a 13-year mine life, with an expected ramp-up to full capacity in 2026 [11] Earnings Estimates - Earnings estimates for Newmont have been revised upward, with the Zacks Consensus Estimate for 2025 earnings at $6.32, indicating an 81.6% year-over-year growth [23] - The company is trading at a forward price/earnings ratio of 15.42X, which is a premium to the industry average of 14.66X [25] Investment Outlook - Newmont presents an attractive investment case due to its robust growth projects, strong Tier 1 asset performance, and solid financial health [26] - Despite challenges from lower production and strategic divestments, the strength in gold prices is expected to enhance profitability and cash flow generation [16][26]

Core Viewpoint - Newmont Corporation is recognized as a leading gold mining company with significant operational efficiency and scale, positioning it favorably in the competitive landscape against other mining giants [1] Group 1: Investment Ratings and Price Targets - Citigroup has maintained a "Buy" rating for Newmont, raising its price target from $104 to $118, reflecting confidence in the company's growth potential [2][6] - Newmont is identified as a top gold pick for 2026, trading at a 20-25% discount compared to its peers, indicating its undervaluation despite strong growth prospects [3][6] Group 2: Market Performance and Financial Metrics - As of the latest data, Newmont's stock price is $112.96, showing an increase of approximately 3.64% or $3.97, with a market capitalization of approximately $123.27 billion [5] - The projected price-to-earnings ratio for Newmont in 2026 is 14.1x, with a price/earnings to growth ratio of 0.30x, suggesting it is well-positioned to outperform the sector [4][6] Group 3: Market Outlook - The bullish outlook for gold, driven by demand from central banks and geopolitical uncertainty, is expected to support Newmont's earnings growth [4]

Group 1: Precious Metals Market - The precious metals market experienced significant volatility, with gold prices dropping below $4580 per ounce and silver prices falling below $84 per ounce on January 13 [1][2][14] - On January 12, both gold and silver prices reached historical highs, with gold peaking at $4630.24 per ounce and silver rising over 6% to $86.237 per ounce [5][17] - Analysts suggest that the recent price movements in precious metals are influenced by increased criticism of the Federal Reserve by the Trump administration, leading to reduced investment in U.S. assets [5][17] Group 2: U.S. Stock Market Performance - The U.S. stock market saw all three major indices close higher on January 12, with the Dow Jones Industrial Average and S&P 500 reaching new highs [6][19] - The Dow Jones rose by 86.13 points (0.17%) to close at 49,590.20 points, while the Nasdaq increased by 62.56 points (0.26%) to 23,733.90 points, and the S&P 500 gained 10.99 points (0.16%) to finish at 6,977.27 points [7][19] - Notable gains were observed in popular Chinese stocks, with the Nasdaq China Golden Dragon Index rising by 4.26%, and Alibaba's stock increasing by over 10%, marking its largest single-day gain since August 29, 2025 [1][21] Group 3: Federal Reserve and Economic Outlook - Market expectations are leaning towards the Federal Reserve maintaining interest rates in January, with a 95% probability of no change and only a 5% chance of a 25 basis point cut [21] - The potential for a 25 basis point cut by March is estimated at 26%, while the probability of maintaining rates is 72.8% [21] - Trump is set to interview Rick Riedel for the position of Federal Reserve Chair, indicating ongoing political influence over monetary policy [22]