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Newmont Corporation Registered Shs CHESS (AU:NEM)
:NEM
Australian Market
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Newmont Corporation CHESS (NEM) AI Stock Analysis

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AU:NEM

Newmont Corporation CHESS

(Sydney:NEM)

Rating:80Outperform
Price Target:
AU$115.00
▲(18.39% Upside)
Newmont Corporation's score is driven by strong financial performance and a positive earnings call, reflecting robust cash flow and strategic asset management. Technical analysis further supports a positive outlook, although historical income volatility and operational challenges present risks.

Newmont Corporation CHESS (NEM) vs. iShares MSCI Australia ETF (EWA)

Newmont Corporation CHESS Business Overview & Revenue Model

Company DescriptionNewmont Corporation engages in the production and exploration of gold. It also explores for copper, silver, zinc, and lead. The company has operations and/or assets in the United States, Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia, Papua New Guinea, Ecuador, Fiji, and Ghana. The company was founded in 1916 and is headquartered in Denver, Colorado.
How the Company Makes MoneyNewmont Corporation generates revenue primarily through the sale of gold. The company extracts gold ore and processes it into dore bars, which are then sold to gold refiners or directly to the market. In addition to gold, Newmont earns revenue from the sale of by-products such as copper, silver, zinc, and lead that are extracted alongside gold from its mining operations. Newmont's earnings are significantly influenced by the global prices of these metals, with fluctuations in the market impacting its revenue. The company also benefits from strategic partnerships and joint ventures, which enhance its operational capabilities and market reach. Furthermore, Newmont invests in exploration activities to discover new mineral reserves, ensuring long-term sustainability of its operations.

Newmont Corporation CHESS Earnings Call Summary

Earnings Call Date:Jul 24, 2025
(Q2-2025)
|
% Change Since: 5.72%|
Next Earnings Date:Oct 23, 2025
Earnings Call Sentiment Positive
Newmont's earnings call reflected strong operational and financial performance with record free cash flow, robust production, and effective cost management. However, the mining incident at Red Chris and expected future production adjustments at some operations pose challenges. The sentiment remains buoyant with strategic asset divestments and increased shareholder returns.
Q2-2025 Updates
Positive Updates
Record Free Cash Flow
Newmont achieved an all-time record for quarterly free cash flow of $1.7 billion, with $2.4 billion of cash flow from operations after working capital, supporting robust financial results.
Strong Operational Performance
The company produced 1.5 million ounces of gold and 36,000 tonnes of copper, remaining in line with full-year guidance.
Successful Noncore Asset Divestment
Newmont completed its noncore asset divestment program, expecting $3 billion in after-tax cash proceeds, which will support capital returns to shareholders.
Increased Share Repurchase Program
The Board approved an additional $3 billion share repurchase program, doubling the total authorization to $6 billion, with $2.8 billion already executed.
Cost Management Success
Gold all-in sustaining costs were below guidance for the full year at $1,593 an ounce on a co-product basis, demonstrating effective cost management.
Negative Updates
Mining Incident at Red Chris
Two fall of ground incidents occurred at the Red Chris operation, impacting underground communication systems and suspending operations.
Potential Future Production Declines
Production at Cadia is expected to decrease due to transitioning to a new panel cave, and Peñasquito's production will shift to lower gold grade areas.
Temporary CFO Departure
The unexpected departure of CFO Karyn Ovelmen could impact strategic financial planning, although an interim CFO is in place.
Company Guidance
During Newmont's Second Quarter 2025 Earnings Conference Call, CEO Tom Palmer reported strong operational performance, affirming the company's trajectory to meet its 2025 guidance. Key highlights included producing 1.5 million ounces of gold and 36,000 tonnes of copper, aligning with annual forecasts. Financially, Newmont achieved $2.4 billion in cash flow from operations and a record quarterly free cash flow of $1.7 billion, with 90% generated from core managed operations. The company's divestment program is expected to generate $3 billion in after-tax cash proceeds this year, facilitating capital returns to shareholders. Recent efforts resulted in retiring $372 million of debt and returning over $1 billion through dividends and share repurchases. An additional $3 billion share repurchase program was approved, doubling total authorization to $6 billion. Despite a recent incident at Red Chris, where two fall of ground events occurred, Newmont remains committed to its safety culture, operational stabilization, and capital returns.

Newmont Corporation CHESS Financial Statement Overview

Summary
Newmont Corporation demonstrates strong financial health with steady revenue growth, improved profitability, and solid cash generation. Despite historical income volatility and limited asset growth, the company exhibits robust operational efficiency and cash flow management.
Income Statement
78
Positive
The income statement reveals a robust performance with notable growth in revenue and profitability. The TTM (Trailing-Twelve-Months) gross profit margin stands at approximately 41.6%, indicating efficient cost management in the production process. The net profit margin has improved significantly to 25.8% in the TTM, reflecting strong bottom-line growth compared to previous periods. Revenue growth rate over the past year is approximately 5.3%, showcasing steady top-line expansion. The EBIT and EBITDA margins are solid at 35.6% and 49.5% respectively, highlighting strong operational leverage. However, historical volatility in net income, including a loss in 2023, suggests potential risks in maintaining consistent profitability.
Balance Sheet
72
Positive
The balance sheet shows a relatively strong financial position. The debt-to-equity ratio is 0.26, indicating a conservative approach to leveraging. Return on equity (ROE) is an impressive 16.2% in the TTM, showcasing effective use of equity to generate profits. The equity ratio is 56.3%, reflecting a high level of financial stability and reliance on equity financing. Despite the overall strength, the company's assets have shown little growth, and there was a notable decrease in cash reserves from 2020 to 2023, which could limit financial flexibility.
Cash Flow
75
Positive
The cash flow statement indicates healthy cash generation, with a significant operating cash flow to net income ratio of approximately 1.50, highlighting robust cash conversion. The free cash flow has grown impressively by 43.2% in the TTM, indicating effective cash management and potential for reinvestment or shareholder returns. The free cash flow to net income ratio is 0.84, reflecting a strong capacity to generate cash relative to earnings. However, the company faces high capital expenditures, which could constrain liquidity if not managed carefully.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue20.58B18.68B11.81B11.91B12.22B11.50B
Gross Profit9.24B7.14B3.00B3.26B4.46B4.18B
EBITDA11.56B7.53B320.00M3.88B4.33B5.40B
Net Income6.28B3.35B-2.49B-429.00M1.17B2.83B
Balance Sheet
Total Assets55.16B56.35B55.51B38.48B40.56B41.37B
Cash, Cash Equivalents and Short-Term Investments6.65B3.64B3.02B3.76B5.07B5.83B
Total Debt7.61B8.97B9.44B6.13B6.30B6.70B
Total Liabilities22.88B26.24B26.30B18.95B18.70B17.49B
Stockholders Equity32.11B29.93B29.03B19.35B22.02B23.01B
Cash Flow
Free Cash Flow5.32B2.96B97.00M1.09B2.63B3.58B
Operating Cash Flow8.57B6.36B2.76B3.22B4.28B4.88B
Investing Cash Flow154.00M-2.70B-1.00B-2.98B-1.87B91.00M
Financing Cash Flow-5.40B-2.95B-1.60B-2.36B-2.96B-1.68B

Newmont Corporation CHESS Technical Analysis

Technical Analysis Sentiment
Positive
Last Price97.14
Price Trends
50DMA
89.42
Positive
100DMA
84.32
Positive
200DMA
75.61
Positive
Market Momentum
MACD
2.77
Negative
RSI
67.42
Neutral
STOCH
73.42
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:NEM, the sentiment is Positive. The current price of 97.14 is above the 20-day moving average (MA) of 93.46, above the 50-day MA of 89.42, and above the 200-day MA of 75.61, indicating a bullish trend. The MACD of 2.77 indicates Negative momentum. The RSI at 67.42 is Neutral, neither overbought nor oversold. The STOCH value of 73.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:NEM.

Newmont Corporation CHESS Risk Analysis

Newmont Corporation CHESS disclosed 52 risk factors in its most recent earnings report. Newmont Corporation CHESS reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Newmont Corporation CHESS Peers Comparison

Overall Rating
UnderperformOutperform
Sector (44)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
AU$114.01B11.2220.82%1.58%40.80%
44
Neutral
AU$1.46B-5.91-41.10%4.24%-3.35%-41.14%
C$4.13B8.7022.80%1.90%
$15.09B19.3611.01%3.24%
$9.51B20.4716.97%1.65%
$3.80B-0.68%
70
Outperform
$4.09B31.8713.01%125.45%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:NEM
Newmont Corporation CHESS
101.14
31.42
45.07%
TSE:PRU
Perseus Mining
3.10
0.99
46.92%
NESRF
Northern Star Resources Ltd
10.64
1.81
20.50%
CAHPF
Evolution Mining
4.70
2.46
109.82%
DGMLF
De Grey Mining Ltd
1.60
0.86
116.22%
AU:GMD
Genesis Minerals Limited
3.87
1.89
95.45%

Newmont Corporation CHESS Corporate Events

Newmont Corporation Reports Changes in CDIs and Common Stock Holdings
Aug 5, 2025

Newmont Corporation announced a net decrease in the number of CHESS Depositary Interests (CDIs) issued over quoted securities, with a reduction of 3,798,963 CDIs from the previous month. This change is attributed to net transfers of securities between CDIs and common stock listed on the NYSE and TSX. The company has also seen an increase in the total number of common stock securities, primarily due to the transfer of CDIs to common stock and stock compensation plan distributions. This adjustment in securities could impact the company’s market positioning and stakeholder interests.

The most recent analyst rating on (AU:NEM) stock is a Buy with a A$94.00 price target. To see the full list of analyst forecasts on Newmont Corporation CHESS stock, see the AU:NEM Stock Forecast page.

Newmont Announces Equity Monetization from Divestiture Program
Jul 16, 2025

Newmont Corporation announced the monetization of equity obtained through a successful divestiture program. This strategic move is expected to impact the company’s operations positively, enhancing its financial flexibility and potentially improving its market positioning. Stakeholders may view this as a proactive step in optimizing the company’s asset portfolio.

The most recent analyst rating on (AU:NEM) stock is a Buy with a A$94.00 price target. To see the full list of analyst forecasts on Newmont Corporation CHESS stock, see the AU:NEM Stock Forecast page.

Newmont Corporation Reports Changes in CDI and Common Stock Issuance
Jul 3, 2025

Newmont Corporation announced a decrease in the total number of CHESS Depositary Interests (CDIs) issued over quoted securities for June 2025, reflecting a net transfer of securities between CDIs and common stock. This adjustment, involving a reduction of 471,133 CDIs, is part of the company’s ongoing management of its securities across the NYSE and TSX. The change also includes a decrease in the total number of common stock, influenced by transfers to CDIs and stock compensation plan distributions.

The most recent analyst rating on (AU:NEM) stock is a Buy with a A$106.00 price target. To see the full list of analyst forecasts on Newmont Corporation CHESS stock, see the AU:NEM Stock Forecast page.

Newmont Corporation to Announce Q2 2025 Financial Results
Jul 2, 2025

Newmont Corporation announced it will release its second quarter 2025 financial results on July 24, 2025, followed by a conference call to discuss the results. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and operational strategies, potentially impacting its market positioning and investor relations.

The most recent analyst rating on (AU:NEM) stock is a Buy with a A$106.00 price target. To see the full list of analyst forecasts on Newmont Corporation CHESS stock, see the AU:NEM Stock Forecast page.

Newmont Corporation Updates Dividend Distribution Details
Jun 12, 2025

Newmont Corporation has updated its previous announcement regarding its dividend distribution to include the currency exchange rate. The company will deduct a non-resident withholding tax as required by U.S. tax law, with a default rate of 30% unless a tax treaty benefit is claimed. Payments will be withheld for holders without valid banking details in Australia, New Zealand, or the United States, and those outside these regions will receive payments by cheque unless they provide valid instructions.

The most recent analyst rating on (AU:NEM) stock is a Buy with a A$95.00 price target. To see the full list of analyst forecasts on Newmont Corporation CHESS stock, see the AU:NEM Stock Forecast page.

Newmont Corporation Reports Decrease in CDIs for May 2025
Jun 5, 2025

Newmont Corporation announced a decrease in the number of CHESS Depositary Interests (CDIs) issued over quoted securities for May 2025, with a net reduction of 1,639,028 CDIs. This change is attributed to net transfers between CDIs and common stock, as well as stock compensation plan distributions. The adjustment in CDIs reflects the company’s ongoing management of its securities and may have implications for its market positioning and stakeholder interests.

The most recent analyst rating on (AU:NEM) stock is a Buy with a A$95.00 price target. To see the full list of analyst forecasts on Newmont Corporation CHESS stock, see the AU:NEM Stock Forecast page.

Newmont Corporation Files 2024 ESTMA Report with SEC
Jun 5, 2025

Newmont Corporation has filed its 2024 Annual ESTMA Report with the SEC, complying with Canada’s Extractive Sector Transparency Measures Act. This filing underscores Newmont’s commitment to transparency and regulatory compliance, potentially enhancing its reputation and stakeholder trust in the mining industry.

The most recent analyst rating on (AU:NEM) stock is a Buy with a A$95.00 price target. To see the full list of analyst forecasts on Newmont Corporation CHESS stock, see the AU:NEM Stock Forecast page.

Newmont Corporation Reports April 2025 CDI Adjustments
May 7, 2025

Newmont Corporation announced a decrease in the number of CHESS Depositary Interests (CDIs) issued over quoted securities for April 2025, with a net reduction of 2,022,802 CDIs. This change is attributed to the net transfers of securities between CDIs and common stock, impacting their listings on the NYSE and TSX. The announcement reflects Newmont’s ongoing adjustments in its securities distribution, which may influence its market positioning and stakeholder interests.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 29, 2025