BMO Capital analyst Matt Murphy maintained a Buy rating on Newmont Mining yesterday and set a price target of $69.00.
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Matt Murphy has given his Buy rating due to a combination of factors that highlight Newmont Mining’s strong financial performance and strategic initiatives. The company reported a significant free cash flow beat for the second consecutive quarter, driven by better-than-expected production, sales, pricing, and lower unit costs. This consistent performance suggests potential for a re-rating of the stock.
Additionally, Newmont Mining has announced a substantial $3 billion share buyback program, which is likely to enhance shareholder value. Despite slightly higher anticipated costs in the second half of the year, the company’s full-year guidance remains unchanged, indicating stability. The strong financial results, including earnings and cash flow that exceeded both the firm’s and consensus estimates, further support the Buy rating. Newmont’s diversified operations and conservative strategy make it an attractive option for investors seeking stability in the mining sector.
According to TipRanks, Murphy is a 5-star analyst with an average return of 22.4% and a 70.04% success rate. Murphy covers the Basic Materials sector, focusing on stocks such as Kinross Gold, Newmont Mining, and Royal Gold.
In another report released on July 17, Jefferies also maintained a Buy rating on the stock with a $68.00 price target.