Newmont (NYSE:NEM) Shares Gap Up – Time to Buy?

Newmont Co. (NYSE:NEM)’s share price gapped up prior to trading on Monday . The stock had previously closed at $55.08, but opened at $57.00. Newmont shares last traded at $56.06, with a volume of 2,194,609 shares changing hands.

Analysts Set New Price Targets

A number of research firms recently commented on NEM. StockNews.com upgraded Newmont from a “hold” rating to a “buy” rating in a research note on Monday, February 24th. BMO Capital Markets initiated coverage on Newmont in a report on Wednesday, April 16th. They issued an “outperform” rating and a $63.00 price target for the company. Scotiabank restated a “sector perform” rating on shares of Newmont in a research note on Monday, April 14th. Royal Bank of Canada boosted their target price on shares of Newmont from $51.00 to $52.00 and gave the company a “sector perform” rating in a research note on Friday, April 4th. Finally, The Goldman Sachs Group assumed coverage on shares of Newmont in a report on Monday, January 13th. They set a “buy” rating and a $47.20 target price on the stock. One research analyst has rated the stock with a sell rating, seven have given a hold rating, eight have issued a buy rating and three have given a strong buy rating to the company. According to MarketBeat, Newmont has a consensus rating of “Moderate Buy” and an average target price of $55.02.

Newmont Stock Down 1.0 %

The stock has a market cap of $61.49 billion, a P/E ratio of 18.62, a price-to-earnings-growth ratio of 0.41 and a beta of 0.54. The stock’s 50-day moving average is $47.14 and its 200-day moving average is $45.02. The company has a current ratio of 1.96, a quick ratio of 1.73 and a debt-to-equity ratio of 0.30.

Newmont (NYSE:NEM) last released its earnings results on Thursday, February 20th. The basic materials company reported $1.40 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.11 by $0.29. Newmont had a return on equity of 13.52% and a net margin of 17.92%. The firm had revenue of $5.65 billion for the quarter, compared to analyst estimates of $5.32 billion. As a group, research analysts anticipate that Newmont Co. will post 3.45 earnings per share for the current fiscal year.

Newmont Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, March 27th. Stockholders of record on Tuesday, March 4th were issued a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 1.83%. The ex-dividend date of this dividend was Tuesday, March 4th. Newmont’s dividend payout ratio is 34.13%.

Insider Buying and Selling

In related news, COO Natascha Viljoen sold 9,000 shares of the company’s stock in a transaction on Monday, February 3rd. The stock was sold at an average price of $42.89, for a total transaction of $386,010.00. Following the transaction, the chief operating officer now directly owns 136,967 shares of the company’s stock, valued at approximately $5,874,514.63. The trade was a 6.17 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Peter Toth sold 3,000 shares of the firm’s stock in a transaction that occurred on Monday, February 3rd. The stock was sold at an average price of $42.89, for a total transaction of $128,670.00. Following the sale, the executive vice president now owns 79,596 shares of the company’s stock, valued at approximately $3,413,872.44. This represents a 3.63 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 19,154 shares of company stock valued at $825,678. 0.05% of the stock is owned by corporate insiders.

Institutional Trading of Newmont

Several hedge funds and other institutional investors have recently modified their holdings of the company. SOA Wealth Advisors LLC. increased its holdings in Newmont by 64.0% in the first quarter. SOA Wealth Advisors LLC. now owns 515 shares of the basic materials company’s stock worth $25,000 after buying an additional 201 shares during the last quarter. Nexus Investment Management ULC acquired a new position in shares of Newmont during the 1st quarter worth $31,000. PSI Advisors LLC raised its holdings in shares of Newmont by 195.5% during the 1st quarter. PSI Advisors LLC now owns 795 shares of the basic materials company’s stock valued at $38,000 after purchasing an additional 526 shares in the last quarter. McIlrath & Eck LLC lifted its stake in shares of Newmont by 80.6% in the 3rd quarter. McIlrath & Eck LLC now owns 809 shares of the basic materials company’s stock valued at $43,000 after purchasing an additional 361 shares during the last quarter. Finally, HHM Wealth Advisors LLC boosted its holdings in Newmont by 66.0% in the fourth quarter. HHM Wealth Advisors LLC now owns 880 shares of the basic materials company’s stock worth $33,000 after purchasing an additional 350 shares in the last quarter. 68.85% of the stock is currently owned by hedge funds and other institutional investors.

Newmont Company Profile

Newmont 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.