Newmont (NEM) Loses -28% in 4 Weeks, Here's Why a Trend Reversal May be Around the Corner

Core Viewpoint - Newmont Corporation (NEM) has experienced a significant decline of 28% over the past four weeks, but it is now positioned for a potential trend reversal as it enters oversold territory, with analysts predicting better earnings than previously expected [1]. Group 1: Technical Analysis - The Relative Strength Index (RSI) for NEM is currently at 23.28, indicating that the heavy selling pressure may be exhausting, suggesting a possible rebound towards the previous equilibrium of supply and demand [5]. - The stock's price as of October 25, 2024, is $48.42, with a volume of 2826.96, and the RSI 14 is at 31.428, further supporting the potential for a price recovery [5]. Group 2: Fundamental Indicators - There is a strong consensus among sell-side analysts that earnings estimates for NEM have increased by 2.9% over the last 30 days, which typically correlates with price appreciation in the near term [5]. - NEM holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a favorable outlook for a turnaround [6].