Newmont Goldcorp acquires, develops, explores for, and produces gold, copper, and silver deposits in the United States, Australia, Peru, Indonesia, Ghana, and New Zealand. The company was founded in 1916 and is based in Greenwood Village, Colorado.
NEM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for NEWMONT Corp. To summarize, we found that NEWMONT Corp ranked in the 83th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 903.67% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for NEM, they are:
NEM's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 33.69% of tickers in our DCF set.
Relative to other stocks in its sector (Basic Materials), NEWMONT Corp has a reliance on debt greater than merely 19.66% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Basic Materials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as NEM, try PGTI, NX, BXC, SUM, and BLDR.
Newmont (NEM) expects gold prices will remain "elevated" as governments continue pandemic stimulus spending, but CEO Tom Palmer says the company's focus on fiscal discipline will not change any time soon.Despite high gold prices and strong cash flow for miners, Palmer tells Bloomberg that Newmont will stay focused on improving margins,...
(Bloomberg) -- The world’s biggest gold producer sees the price of the precious metal remaining “elevated” as governments continue pandemic stimulus spending, but don’t expect that to change Newmont Corp.’s focus on fiscal “discipline” any time soon.Gold skyrocketed to record heights above $2,000 an ounce in August, helping lift miners’ cash flow, stock prices and likely the hopes of shareholders expecting higher returns. Spot gold has since dipped a bit, but the haven metal is still trading in record territory above $1,900.“There are a lot of signals that point to gold staying at these elevated levels -- with I think a lot of volatility around it -- for some time to come,” Newmont Chief Executive Officer Tom Palmer said by phone.Despite the high prices and cash flow those generate for ...