NEWMONT CORP (NGT.CA) Stock Fundamental Analysis
TSX:NGT - Toronto Stock Exchange - US6516391066 - Common Stock - Currency: CAD
We assign a fundamental rating of 7 out of 10 to NGT. NGT was compared to 801 industry peers in the Metals & Mining industry. NGT scores excellent points on both the profitability and health parts. This is a solid base for a good stock. NGT scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes NGT very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
NGT had positive earnings in the past year.
In the past year NGT had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: NGT reported negative net income in multiple years.
Each year in the past 5 years NGT had a positive operating cash flow.
1.2 Ratios
NGT has a Return On Assets of 9.13%. This is amongst the best in the industry. NGT outperforms 93.38% of its industry peers.
Looking at the Return On Equity, with a value of 16.22%, NGT belongs to the top of the industry, outperforming 94.63% of the companies in the same industry.
The Return On Invested Capital of NGT (9.63%) is better than 95.26% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NGT is significantly below the industry average of 24.98%.
The 3 year average ROIC (4.19%) for NGT is below the current ROIC(9.63%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.13% | ||
| ROE | 16.22% | ||
| ROIC | 9.63% |
ROA(3y)0.11%
ROA(5y)2.01%
ROE(3y)0.13%
ROE(5y)3.59%
ROIC(3y)4.19%
ROIC(5y)4.42%
1.3 Margins
With an excellent Profit Margin value of 25.77%, NGT belongs to the best of the industry, outperforming 96.50% of the companies in the same industry.
In the last couple of years the Profit Margin of NGT has declined.
NGT has a Operating Margin of 35.28%. This is amongst the best in the industry. NGT outperforms 96.63% of its industry peers.
NGT's Operating Margin has improved in the last couple of years.
NGT's Gross Margin of 54.43% is amongst the best of the industry. NGT outperforms 96.50% of its industry peers.
NGT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.28% | ||
| PM (TTM) | 25.77% | ||
| GM | 54.43% |
OM growth 3Y24.65%
OM growth 5Y14.78%
PM growth 3Y23.39%
PM growth 5Y-9.05%
GM growth 3Y-2.15%
GM growth 5Y2.2%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NGT is destroying value.
Compared to 1 year ago, NGT has less shares outstanding
The number of shares outstanding for NGT has been increased compared to 5 years ago.
Compared to 1 year ago, NGT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.33 indicates that NGT is not a great score, but indicates only limited risk for bankruptcy at the moment.
NGT's Altman-Z score of 2.33 is in line compared to the rest of the industry. NGT outperforms 57.80% of its industry peers.
NGT has a debt to FCF ratio of 1.78. This is a very positive value and a sign of high solvency as it would only need 1.78 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.78, NGT belongs to the best of the industry, outperforming 93.88% of the companies in the same industry.
NGT has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.25, NGT is not doing good in the industry: 67.54% of the companies in the same industry are doing better.
Although NGT does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.78 | ||
| Altman-Z | 2.33 |
ROIC/WACC0.99
WACC9.69%
2.3 Liquidity
A Current Ratio of 1.98 indicates that NGT should not have too much problems paying its short term obligations.
NGT has a Current ratio (1.98) which is comparable to the rest of the industry.
A Quick Ratio of 1.56 indicates that NGT should not have too much problems paying its short term obligations.
NGT has a Quick ratio (1.56) which is comparable to the rest of the industry.
NGT does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 140.23% over the past year.
The Earnings Per Share has been growing by 21.58% on average over the past years. This is a very strong growth
The Revenue has grown by 49.51% in the past year. This is a very strong growth!
NGT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.91% yearly.
EPS 1Y (TTM)140.23%
EPS 3Y5.66%
EPS 5Y21.58%
EPS Q2Q%127.27%
Revenue 1Y (TTM)49.51%
Revenue growth 3Y15.19%
Revenue growth 5Y13.91%
Sales Q2Q%24.53%
3.2 Future
Based on estimates for the next years, NGT will show a small growth in Earnings Per Share. The EPS will grow by 3.54% on average per year.
Based on estimates for the next years, NGT will show a decrease in Revenue. The Revenue will decrease by -5.25% on average per year.
EPS Next Y28.42%
EPS Next 2Y12.86%
EPS Next 3Y8.07%
EPS Next 5Y3.54%
Revenue Next Year5.51%
Revenue Next 2Y1.5%
Revenue Next 3Y0.86%
Revenue Next 5Y-5.25%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.69 indicates a correct valuation of NGT.
Based on the Price/Earnings ratio, NGT is valued cheaper than 93.26% of the companies in the same industry.
When comparing the Price/Earnings ratio of NGT to the average of the S&P500 Index (25.82), we can say NGT is valued rather cheaply.
A Price/Forward Earnings ratio of 11.98 indicates a reasonable valuation of NGT.
Based on the Price/Forward Earnings ratio, NGT is valued cheaper than 91.64% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.76. NGT is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 11.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NGT is valued cheaply inside the industry as 93.63% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, NGT is valued cheaper than 94.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.2 | ||
| EV/EBITDA | 6.54 |
4.3 Compensation for Growth
NGT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of NGT may justify a higher PE ratio.
PEG (NY)0.45
PEG (5Y)0.59
EPS Next 2Y12.86%
EPS Next 3Y8.07%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.01%, NGT has a reasonable but not impressive dividend return.
NGT's Dividend Yield is rather good when compared to the industry average which is at 2.83. NGT pays more dividend than 97.38% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.36, NGT has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
5.2 History
The dividend of NGT decreases each year by -5.40%.
NGT has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-5.4%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
22.47% of the earnings are spent on dividend by NGT. This is a low number and sustainable payout ratio.
DP22.47%
EPS Next 2Y12.86%
EPS Next 3Y8.07%
TSX:NGT (5/23/2025, 7:00:00 PM)
73.61
+0.61 (+0.84%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners73.84%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap81.93B
Analysts80
Price Target91.07 (23.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
Yearly Dividend1.4
Dividend Growth(5Y)-5.4%
DP22.47%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.24%
Min EPS beat(2)28.27%
Max EPS beat(2)38.22%
EPS beat(4)3
Avg EPS beat(4)18.75%
Min EPS beat(4)-6.75%
Max EPS beat(4)38.22%
EPS beat(8)5
Avg EPS beat(8)11.51%
EPS beat(12)6
Avg EPS beat(12)4.48%
EPS beat(16)8
Avg EPS beat(16)2.25%
Revenue beat(2)2
Avg Revenue beat(2)7.29%
Min Revenue beat(2)6.03%
Max Revenue beat(2)8.55%
Revenue beat(4)3
Avg Revenue beat(4)4.51%
Min Revenue beat(4)-2.42%
Max Revenue beat(4)8.55%
Revenue beat(8)5
Avg Revenue beat(8)2.04%
Revenue beat(12)6
Avg Revenue beat(12)0.46%
Revenue beat(16)7
Avg Revenue beat(16)-0.56%
PT rev (1m)13.79%
PT rev (3m)13.9%
EPS NQ rev (1m)-5.92%
EPS NQ rev (3m)-0.15%
EPS NY rev (1m)10.79%
EPS NY rev (3m)12.99%
Revenue NQ rev (1m)1.13%
Revenue NQ rev (3m)4.21%
Revenue NY rev (1m)5.07%
Revenue NY rev (3m)-0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 11.98 | ||
| P/S | 3 | ||
| P/FCF | 13.2 | ||
| P/OCF | 7.52 | ||
| P/B | 1.89 | ||
| P/tB | 2.07 | ||
| EV/EBITDA | 6.54 |
EPS(TTM)5.8
EY7.88%
EPS(NY)6.15
Fwd EY8.35%
FCF(TTM)5.57
FCFY7.57%
OCF(TTM)9.78
OCFY13.29%
SpS24.5
BVpS38.93
TBVpS35.62
PEG (NY)0.45
PEG (5Y)0.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.13% | ||
| ROE | 16.22% | ||
| ROCE | 13.85% | ||
| ROIC | 9.63% | ||
| ROICexc | 10.63% | ||
| ROICexgc | 11.29% | ||
| OM | 35.28% | ||
| PM (TTM) | 25.77% | ||
| GM | 54.43% | ||
| FCFM | 22.75% |
ROA(3y)0.11%
ROA(5y)2.01%
ROE(3y)0.13%
ROE(5y)3.59%
ROIC(3y)4.19%
ROIC(5y)4.42%
ROICexc(3y)4.56%
ROICexc(5y)4.97%
ROICexgc(3y)4.86%
ROICexgc(5y)5.36%
ROCE(3y)6.03%
ROCE(5y)6.37%
ROICexcg growth 3Y27.94%
ROICexcg growth 5Y23.87%
ROICexc growth 3Y29.12%
ROICexc growth 5Y24.33%
OM growth 3Y24.65%
OM growth 5Y14.78%
PM growth 3Y23.39%
PM growth 5Y-9.05%
GM growth 3Y-2.15%
GM growth 5Y2.2%
F-Score7
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.78 | ||
| Debt/EBITDA | 0.83 | ||
| Cap/Depr | 134.31% | ||
| Cap/Sales | 17.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.06% | ||
| Profit Quality | 88.28% | ||
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 2.33 |
F-Score7
WACC9.69%
ROIC/WACC0.99
Cap/Depr(3y)118.69%
Cap/Depr(5y)96.77%
Cap/Sales(3y)19.56%
Cap/Sales(5y)16.7%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)140.23%
EPS 3Y5.66%
EPS 5Y21.58%
EPS Q2Q%127.27%
EPS Next Y28.42%
EPS Next 2Y12.86%
EPS Next 3Y8.07%
EPS Next 5Y3.54%
Revenue 1Y (TTM)49.51%
Revenue growth 3Y15.19%
Revenue growth 5Y13.91%
Sales Q2Q%24.53%
Revenue Next Year5.51%
Revenue Next 2Y1.5%
Revenue Next 3Y0.86%
Revenue Next 5Y-5.25%
EBIT growth 1Y506.64%
EBIT growth 3Y43.59%
EBIT growth 5Y30.75%
EBIT Next Year68.24%
EBIT Next 3Y19.81%
EBIT Next 5Y6.02%
FCF growth 1Y468.62%
FCF growth 3Y2.44%
FCF growth 5Y15.01%
OCF growth 1Y161.16%
OCF growth 3Y13.31%
OCF growth 5Y16.78%