Investors Buy High Volume of Call Options on Newmont (NYSE:NEM)

Newmont Corporation (NYSE:NEM) was the recipient of unusually large options trading on Tuesday. Investors purchased 63,760 call options on the stock. This is an increase of approximately 127% compared to the typical volume of 28,060 call options.

Analysts Set New Price Targets

Several research firms have recently issued reports on NEM. TD lifted their target price on shares of Newmont from $116.00 to $129.00 and gave the company a “hold” rating in a report on Monday, April 27th. The Goldman Sachs Group lifted their price objective on Newmont from $123.20 to $125.10 and gave the company a “buy” rating in a research note on Tuesday, April 28th. Barclays started coverage on Newmont in a research note on Thursday. They issued an “overweight” rating and a $133.00 target price on the stock. Scotiabank dropped their price target on shares of Newmont from $152.00 to $151.00 and set a “sector outperform” rating on the stock in a research note on Friday, March 20th. Finally, TD Cowen reissued a “buy” rating on shares of Newmont in a research report on Monday, April 27th. Two equities research analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $142.05.

Insider Transactions at Newmont

In other news, EVP Peter Toth sold 3,000 shares of the business’s stock in a transaction on Friday, May 1st. The shares were sold at an average price of $110.11, for a total transaction of $330,330.00. Following the sale, the executive vice president owned 49,315 shares in the company, valued at approximately $5,430,074.65. The trade was a 5.73% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Peter Wexler sold 13,378 shares of the stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $110.11, for a total transaction of $1,473,051.58. Following the completion of the transaction, the executive vice president owned 67,865 shares of the company’s stock, valued at approximately $7,472,615.15. The trade was a 16.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 43,068 shares of company stock worth $4,769,475. 0.06% of the stock is owned by company insiders.

Institutional Investors Weigh In On Newmont

Hedge funds have recently added to or reduced their stakes in the stock. GoalVest Advisory LLC purchased a new position in shares of Newmont in the 4th quarter worth $25,000. Pinnacle Bancorp Inc. purchased a new stake in Newmont during the first quarter valued at $25,000. Cedar Mountain Advisors LLC bought a new position in Newmont in the first quarter valued at about $25,000. Physician Wealth Advisors Inc. boosted its position in Newmont by 327.8% in the third quarter. Physician Wealth Advisors Inc. now owns 308 shares of the basic materials company’s stock worth $26,000 after purchasing an additional 236 shares during the last quarter. Finally, Swiss RE Ltd. bought a new stake in shares of Newmont during the 4th quarter valued at about $26,000. 68.85% of the stock is currently owned by hedge funds and other institutional investors.

Newmont Stock Up 3.2%

Shares of NEM stock traded up $3.46 during mid-day trading on Tuesday, hitting $111.10. The company’s stock had a trading volume of 3,489,550 shares, compared to its average volume of 9,465,099. The stock has a market cap of $118.60 billion, a price-to-earnings ratio of 14.41, a PEG ratio of 1.54 and a beta of 0.43. The company has a debt-to-equity ratio of 0.15, a quick ratio of 2.17 and a current ratio of 2.44. Newmont has a 52-week low of $51.80 and a 52-week high of $134.88. The business has a 50-day moving average price of $110.90 and a 200 day moving average price of $108.39.

Newmont (NYSE:NEM) last released its quarterly earnings data on Thursday, April 23rd. The basic materials company reported $2.90 EPS for the quarter, beating the consensus estimate of $2.07 by $0.83. Newmont had a return on equity of 27.84% and a net margin of 33.87%.The company had revenue of $7.31 billion for the quarter, compared to analysts’ expectations of $6.83 billion. During the same period last year, the firm posted $1.25 earnings per share. Newmont’s revenue was up 45.8% compared to the same quarter last year. Research analysts predict that Newmont will post 9.47 EPS for the current fiscal year.

Newmont Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 22nd. Investors of record on Wednesday, May 27th will be given a dividend of $0.26 per share. The ex-dividend date is Wednesday, May 27th. This represents a $1.04 dividend on an annualized basis and a yield of 0.9%. Newmont’s dividend payout ratio is 13.49%.

Newmont Company Profile

Newmont Corporation (NYSE: NEM) is a leading global gold mining company engaged in the exploration, development, processing and reclamation of gold properties. The company’s core business centers on the production of gold, with additional byproduct metals produced from its operations. Newmont operates a portfolio of long‑lived mines and development projects, and its activities span the full mine life cycle from early-stage exploration through to mining, milling and closure.

Founded in 1921 and headquartered in Greenwood Village, Colorado, Newmont has grown through organic development and strategic acquisitions.