Newmont Corp (NEM) Surges 4.1% After Q2 Profit Beats Expectations

Newmont Corp (NEM) reported a 4.1% rise in after-hours trading following a 9% Q2 profit increase, surpassing analyst expectations. Wall Street analysts project an average share price target of $71.67, indicating a 9% upside from current levels. However, GuruFocus estimates suggest a 22.1% downside based on the GF Value metric. The company attributes its success to recent bullion price gains.

Newmont Corp (NEM) reported a 4.1% rise in after-hours trading following a 9% Q2 profit increase, surpassing analyst expectations. The company's earnings for the second quarter of 2025 were driven by recent bullion price gains. The stock's performance is expected to continue, with Wall Street analysts projecting an average share price target of $71.67, indicating a 9% upside from current levels. However, GuruFocus estimates suggest a 22.1% downside based on the GF Value metric [3].

Newmont Corp's Q2 2025 results included a 9% increase in profit compared to the same period last year. The company reported a strong operational performance, with gold production reaching 1.5 million ounces and copper production at 36,000 tonnes. Cash flow from operations was $2.4 billion, and free cash flow reached a record of $1.7 billion for the quarter [4].

The company's share repurchase program was also expanded, with an additional $3 billion approved, doubling the total authorization to $6 billion. This move reflects Newmont's commitment to returning value to shareholders. Additionally, Newmont's board approved an interim CFO appointment following the unexpected departure of Chief Financial Officer Karyn Ovelmen [4].

Despite the positive results, Newmont faces challenges, such as production decreases at several sites due to transitioning to new mining areas and higher sustaining capital expenditures in the second half of the year. The company also experienced two fall of ground incidents at the Red Chris operation in British Columbia, which suspended operations and impacted underground communication systems [4].

Analysts remain cautiously optimistic about Newmont Corp's prospects. While the share price targets suggest a potential upside, GuruFocus' GF Value metric indicates a significant downside risk. Investors should closely monitor Newmont's operational challenges and the impact of recent bullion price gains on future performance [3].

References:
[1] https://www.newmont.com/investors/news-release/news-details/2025/Newmont-Reports-Second-Quarter-2025-Results/default.aspx
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_FWN3TM23W:0-jordan-investment-trust-q2-profit-74-893-dinars/
[3] https://finance.yahoo.com/news/expect-newmont-corp-asx-nem-132139744.html
[4] https://ca.finance.yahoo.com/news/newmont-corp-nem-q2-2025-072431198.html