Traders Purchase Large Volume of Call Options on Newmont (NYSE:NEM)

Newmont Corporation (NYSE:NEM) saw some unusual options trading activity on Wednesday. Traders bought 310,074 call options on the company. Thisisanincreaseof757% compared to the average daily volume of 36,180 call options.

Newmont Stock Down 0.7%

NEM opened at $74.90 on Friday. Newmont has a 1-year low of $36.86 and a 1-year high of $76.52. The company has a current ratio of 2.23, a quick ratio of 1.91 and a debt-to-equity ratio of 0.23. The stock has a market capitalization of $82.28 billion, a price-to-earnings ratio of 13.45, a P/E/G ratio of 0.91 and a beta of 0.34. The business has a 50 day moving average of $65.22 and a 200-day moving average of $55.74.

Newmont (NYSE:NEM) last issued its earnings results on Thursday, July 24th. The basic materials company reported $1.43 EPS for the quarter, topping the consensus estimate of $0.95 by $0.48. The firm had revenue of $5.32 billion during the quarter, compared to analysts’ expectations of $4.70 billion. Newmont had a return on equity of 17.86% and a net margin of 30.50%.Newmont’s quarterly revenue was up 20.8% compared to the same quarter last year. During the same period last year, the business earned $0.72 earnings per share. As a group, sell-side analysts anticipate that Newmont will post 3.45 earnings per share for the current year.

Newmont Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 29th. Shareholders of record on Thursday, September 4th will be paid a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a yield of 1.3%. The ex-dividend date is Thursday, September 4th. Newmont’s dividend payout ratio is currently 17.95%.

Insider Buying and Selling at Newmont

In other news, CAO Brian Tabolt sold 7,015 shares of the company’s stock in a transaction dated Wednesday, August 6th. The stock was sold at an average price of $68.02, for a total value of $477,160.30. Following the transaction, the chief accounting officer owned 32,615 shares in the company, valued at $2,218,472.30. This represents a 17.70% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Bruce R. Brook sold 2,077 shares of the company’s stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $74.59, for a total value of $154,923.43. Following the completion of the transaction, the director owned 38,949 shares in the company, valued at $2,905,205.91. This represents a 5.06% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 19,246 shares of company stock valued at $1,253,559. 0.05% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of NEM. SOA Wealth Advisors LLC. increased its stake in shares of Newmont by 64.0% in the first quarter. SOA Wealth Advisors LLC. now owns 515 shares of the basic materials company’s stock valued at $25,000 after buying an additional 201 shares in the last quarter. Cloud Capital Management LLC acquired a new stake in shares of Newmont in the first quarter valued at $26,000. Colonial Trust Advisors increased its position in Newmont by 315.4% in the first quarter. Colonial Trust Advisors now owns 565 shares of the basic materials company’s stock worth $27,000 after purchasing an additional 429 shares during the period. Concord Wealth Partners increased its position in Newmont by 534.7% in the second quarter. Concord Wealth Partners now owns 457 shares of the basic materials company’s stock worth $27,000 after purchasing an additional 385 shares during the period. Finally, Evermay Wealth Management LLC increased its position in Newmont by 408.2% in the second quarter. Evermay Wealth Management LLC now owns 498 shares of the basic materials company’s stock worth $29,000 after purchasing an additional 400 shares during the period. 68.85% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of equities research analysts have issued reports on the company. Wall Street Zen raised Newmont from a “hold” rating to a “buy” rating in a research report on Friday, May 30th. Raymond James Financial upped their target price on Newmont from $67.00 to $69.00 and gave the stock an “outperform” rating in a research report on Monday, July 28th. The Goldman Sachs Group reaffirmed a “neutral” rating and set a $60.90 target price on shares of Newmont in a research report on Tuesday, July 8th. Stifel Nicolaus assumed coverage on Newmont in a research report on Wednesday, July 9th. They set a “buy” rating and a $73.00 target price for the company. Finally, Scotiabank upped their target price on Newmont from $69.00 to $72.00 and gave the stock a “sector perform” rating in a research report on Monday, July 28th. Four analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $65.15.

Newmont Company Profile

Newmont Corporation engages in the production and exploration of gold. It also explores for copper, silver, zinc, and lead. The company has operations and/or assets in the United States, Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia, Papua New Guinea, Ecuador, Fiji, and Ghana.