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

According to Zacks, Newmont Corporation (NEM), a major gold producer with 134.1 million ounces in reserves as of December 2024 and 6.8 million ounces of attributable gold production in 2024, is a compelling value stock. NEM holds a Zacks Rank #1 (Strong Buy) with a VGM Score of A and a Value Style Score of B, supported by a forward P/E ratio of 12.64; furthermore, the consensus EPS estimate for fiscal year 2025 has increased by $1.05 to $4.18 per share following upward revisions from six analysts.

Analysis

Newmont Corporation (NEM), a prominent global gold producer with reported gold mineral reserves of 134.1 million ounces as of December 31, 2024, and attributable gold production of approximately 6.8 million ounces for 2024, is highlighted by Zacks Investment Research as a compelling investment opportunity. The company currently holds a Zacks Rank #1 (Strong Buy), complemented by an overall VGM Score of A and a specific Value Style Score of B, indicating strong fundamentals across multiple investment criteria. This positive assessment is supported by attractive valuation metrics, notably a forward P/E ratio of 12.64. Further reinforcing this outlook, six financial analysts have revised their earnings estimates upward for Newmont's fiscal year 2025 within the preceding 60 days. Consequently, the Zacks Consensus Estimate for fiscal 2025 earnings per share has increased by $1.05 to $4.18. Additionally, Newmont has demonstrated a consistent ability to surpass market expectations, evidenced by an average earnings surprise of 32.4%. These combined factors, along with a strongly positive sentiment score of 0.8 and a specific NEM sentiment of 0.9, underpin the classification of NEM as a top-tier value stock with significant potential for near-term market outperformance based on the Zacks analytical framework.

Key Decisions for Investors

• Investors seeking exposure to the gold sector with a value orientation should consider Newmont (NEM) due to its Zacks #1 (Strong Buy) rating, a favorable forward P/E ratio of 12.64, and recent positive analyst earnings estimate revisions for fiscal 2025.
• The combination of a top Zacks Rank, a VGM Score of A, and a Value Score of B suggests a high probability of NEM outperforming the broader market in the short term (next 30 days according to Zacks), aligning with strategies focused on value and earnings momentum.
• It is prudent to monitor ongoing analyst earnings estimate revisions for NEM, as these are a critical input to the Zacks Rank and continued upward revisions would further substantiate the positive fundamental outlook and investment thesis.