Newmont Corporation (NEM): A Bull Case Theory

We came across a bullish thesis on Newmont Corporation on X.com by Garic Moran. In this article, we will summarize the bulls’ thesis on NEM. Newmont Corporation's share was trading at $78.43 as of September 10th. NEM’s trailing and forward P/E were 14.21 and 9.85 respectively according to Yahoo Finance.

Newmont Mining Corporation ($NEM) experienced a sharp $3.40 decline, erasing approximately $3.8 billion in market capitalization, following the announcement of its CFO’s resignation just ahead of next week’s earnings. While such a move may appear concerning, it largely reflects heightened pessimism and skepticism in the gold sector, rather than an immediate red flag regarding the company’s fundamentals. Traders remain cautious, with gold-focused ETFs like $GDX near 52-week lows despite posting 53% gains, signaling continued bearish sentiment.

The resignation is further complicated by ongoing securities litigation targeting $NEM, making management’s reassurances about the departure less credible to market participants. Nonetheless, the CFO’s role is distinct from operational management, which remains under the recently promoted Chief Operating Officer, now President, who controls operating costs. Consequently, the link between the resignation and potential operational or financial issues is weak, and the recent Goldman downgrade, which cited expected pressure on All-In-Sustaining-Costs, does not directly implicate the CFO.

From a strategic perspective, Newmont’s long-term fundamentals remain compelling, with 40 years of unhedged gold resources in stable jurisdictions and projected free cash flow of $6–7 billion, making the company a cornerstone for long-term sector investment. While short-term trading around earnings introduces uncertainty, the company’s unhedged production and high-quality asset base continue to offer strong resilience and upside potential. A material long-term underperformance would be required to alter the positive thesis, but in the context of a broader monetary reset and enduring demand for gold, Newmont remains a fundamentally attractive investment in the sector.

Previously we covered a bullish thesis on Datadog, Inc. (DDOG) also sourced from X.com by @bigbullcap in May 2025, which highlighted the company’s multi-product engine, diversified ARR contributors, and strong net retention driving a high-quality growth profile. The company's stock price has appreciated approximately by 21% since our coverage. The thesis still stands as Datadog continues expanding its observability and security offerings. Garic Moran shares a similar approach but emphasizes Newmont’s long-term fundamentals, unhedged gold resources, and free cash flow resilience in the gold sector.

Newmont Corporation is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 66 hedge fund portfolios held NEM at the end of the second quarter which was 65 in the previous quarter. While we acknowledge the potential of NEM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.