Why Newmont Corporation (NEM) is a Top Growth Stock for the Long-Term

Newmont Corporation (NEM), a leading gold producer, is highlighted as a compelling growth prospect despite its Zacks Rank #3 (Hold), underpinned by strong Zacks VGM and Growth Style Scores of 'A'. The company is projected to achieve 57.2% year-over-year earnings growth for the current fiscal year, supported by recent upward revisions to its FY2025 consensus estimate to $5.47 per share and a historical average earnings surprise of +32.8%. This combination of strong growth metrics and positive analyst sentiment suggests NEM warrants consideration for growth-oriented portfolios.

Analysis

Newmont Corporation (NEM) exhibits a compelling growth outlook despite its neutral Zacks #3 (Hold) rating, supported by top-tier 'A' scores for both Growth and overall VGM (Value, Growth, Momentum). The company's earnings are projected to grow 57.2% year-over-year in the current fiscal year, a forecast bolstered by positive sentiment from analysts. Specifically, four analysts have revised their fiscal 2025 earnings estimates upward in the last 60 days, pushing the Zacks Consensus Estimate to $5.47 per share. This forward-looking optimism is complemented by a strong track record of execution, as evidenced by an average earnings surprise of +32.8%. While the 'Hold' rating suggests a lack of immediate catalysts according to the Zacks model, the strong underlying growth metrics indicate significant potential that may not be fully reflected in the current rank. This financial profile is grounded in its position as a leading gold producer with 134.1 million ounces in reserves and 6.8 million ounces of attributable production in 2024.

Key Decisions for Investors

• Growth-focused investors should consider Newmont's strong forward-looking indicators, such as its 57.2% projected earnings growth and positive analyst revisions, as a basis for evaluating the stock despite its neutral 'Hold' rating.
• The divergence between the neutral Zacks Rank #3 and the bullish 'A' rated Growth score suggests investors should monitor for a potential rank upgrade, which could act as a key positive catalyst for the stock.
• Given the company's historical +32.8% average earnings surprise, upcoming earnings announcements are critical events that could either validate the strong growth thesis or signal a change in outlook.