Assenagon Asset Management S.A. significantly reduced its stake in Newmont Corporation (NYSE:NEM) by 83.8% during the third quarter of 2023, according to their latest filing with the Securities and Exchange Commission. The institutional investor now holds 761,115 shares after selling off 3,931,491 shares, leaving it with approximately 0.07% of the company, valued at around $64.17 million.
This decision comes as several other large investors also adjusted their holdings in Newmont. For instance, Colonial Trust Advisors increased its position by 315.4% in the first quarter, acquiring an additional 429 shares to reach a total of 565 shares valued at $27,000. Similarly, Concord Wealth Partners raised its stake in Newmont by 534.7% in the second quarter, now owning 457 shares worth $27,000 after purchasing 385 additional shares.
Other notable changes include Evermay Wealth Management LLC, which boosted its holdings by 408.2%, and Capital A Wealth Management LLC, which increased its position by an impressive 1,648.3%, now owning 507 shares valued at $30,000. Additionally, Caldwell Trust Co. established a new position in Newmont valued at about $31,000. Currently, institutional investors and hedge funds collectively own 68.85% of Newmont’s stock.
Analyst Ratings and Market Performance
Analysts have recently provided mixed assessments regarding Newmont’s stock. Citigroup raised its price target from $74.00 to $104.00, assigning a “buy” rating in a report dated October 15. Conversely, BNP Paribas Exane downgraded its rating from “outperform” to “neutral,” setting a price objective of $97.00 on December 5. Other research firms, including Bank of America, have also increased price targets, with Bank of America raising its estimate from $105.00 to $115.00.
As of now, five analysts have classified Newmont as a Strong Buy, while thirteen rate it as a Buy, and four give it a Hold rating. The consensus price target stands at approximately $96.37.
Shares of Newmont opened at $99.28 on Thursday, reflecting a market capitalization of $108.34 billion and a price-to-earnings (P/E) ratio of 15.42. The stock has experienced a 12-month low of $36.86 and a high of $102.13.
The company recently announced a quarterly earnings report for the third quarter, revealing earnings per share (EPS) of $1.71, surpassing analysts’ expectations of $1.27 by $0.44. Revenue for the quarter reached $5.52 billion, exceeding predictions of $5.14 billion, and representing a 20% increase from the same period last year.
Dividend Announcement and Insider Transactions
Newmont also declared a quarterly dividend of $0.25 per share, set to be paid on December 22. Shareholders on record as of November 26 will receive this dividend, which results in an annualized dividend of $1.00 and a yield of 1.0%. The payout ratio currently stands at 15.53%.
In recent insider trading activities, Director Bruce R. Brook sold 2,080 shares on December 1 at an average price of $92.36, totaling approximately $192,108.80. Following this transaction, Brook holds 32,709 shares valued at approximately $3.02 million. Additionally, CEO Thomas Ronald Palmer sold 5,000 shares on November 3 for around $406,700, resulting in a 1.75% reduction in his ownership stake.
In total, insiders have sold 11,240 shares valued at approximately $943,985 over the past three months, with only 0.05% of the stock currently owned by insiders.
About Newmont Corporation
Newmont Corporation is a global leader in gold production and exploration, also engaged in the exploration of copper, silver, zinc, and lead. The company operates in various countries, including the United States, Canada, Mexico, and Australia, among others.
The recent adjustments by institutional investors and the mixed signals from analysts reflect the evolving landscape for Newmont as it navigates market dynamics and investor sentiment.
