Newmont Corp. (NEM) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Royal Gold, Inc.

Hecla Mining Co.

Coeur Mining, Inc.

McEwen Mining, Inc.

Newmont Corp.

Caledonia Mining Corp. Plc

Perpetua Resources Corp.

Gatos Silver, Inc.

Dakota Gold Corp.

Contango ORE, Inc.

U.S. GoldMining, Inc.

Why is Newmont Corp. ?

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.49 times

Healthy long term growth as Net Sales has grown by an annual rate of 14.07%

The company has declared Positive results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Highest at USD 8,608 MM
NET SALES(9M) At USD 15,870 MM has Grown at 29.74%
ROCE(HY) Highest at 20.26%

With ROCE of 19.69%, it has a attractive valuation with a 1.80 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 135.15%, its profits have risen by 1907.6% ; the PEG ratio of the company is 0

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Newmont Corp. should be less than 10%
Overall Portfolio exposure to Gems, Jewellery And Watches should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gems, Jewellery And Watches)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Newmont Corp. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Newmont Corp.

55.1%

3.53

39.83%

S&P 500

21.51%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.12%

EBIT Growth (5y)

29.15%

EBIT to Interest (avg)

9.27

Debt to EBITDA (avg)

0.49

Net Debt to Equity (avg)

0.09

Sales to Capital Employed (avg)

0.45

Tax Ratio

26.95%

Dividend Payout Ratio

15.64%

Pledged Shares

Institutional Holding

81.41%

ROCE (avg)

10.18%

ROE (avg)

6.22%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.30

EV to EBIT

10.51

EV to EBITDA

8.29

EV to Capital Employed

3.52

EV to Sales

4.92

PEG Ratio

0.14

Dividend Yield

1.02%

ROCE (Latest)

33.52%

ROE (Latest)

20.56%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

15What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 12,628 MM

NET SALES(HY)

At USD 13,351 MM has Grown at 31.59%

NET PROFIT(HY)

At USD 5,446.78 MM has Grown at 52.99%

ROCE(HY)

Highest at 25.53%

DEBT-EQUITY RATIO (HY)

Lowest at -9.68 %

RAW MATERIAL COST(Y)

Fallen by -13.61% (YoY

CASH AND EQV(HY)

Highest at USD 17,792 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 27.88 times

-2What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 12.6%

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.36 times

Here's what is working for Newmont Corp.

Operating Cash Flow

Highest at USD 12,628 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Sales

At USD 13,351 MM has Grown at 31.59%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Net Profit

At USD 5,446.78 MM has Grown at 52.99%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Debt-Equity Ratio

Lowest at -9.68 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Cash and Eqv

Highest at USD 17,792 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 27.88 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -13.61% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Newmont Corp.

Inventory Turnover Ratio

Lowest at 4.36 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Dividend Payout Ratio

Lowest at 12.6%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)