UBS Reaffirms "Buy" on Newmont (NEM), Lifts Price Target to $68 Amid Gold Surge

Newmont Corporation (NYSE:NEM) is one of the top 10 materials stocks to buy according to analysts. On July 3, the company’s “Buy” rating was reaffirmed at UBS. UBS also raised the price target for Newmont’s stock to $68 from $60.

According to UBS, gold prices have “repeatedly reached new highs this year.” They stated that, at one point, the prices surpassed $3,500 per ounce, marking an almost 30% increase since the beginning of the year. This surge in gold prices, amidst an “uncertain trade war outlook and escalating concerns about an economic recession,” is noted as a significant opportunity for investors in gold mining stocks like Newmont.

UBS analysts also touched on Newmont’s financial performance. They noted that the company reported strong Q1 FY2025 earnings, with earnings per share (EPS) of $1.25, significantly exceeding analysts’ consensus estimates of $0.71. The analysts also noted that the company is on track to meet its 2025 guidance, with the first-quarter results aligning with the indications provided in February 2025.

Newmont Corporation (NYSE:NEM), one of the world’s largest gold mining companies, operates across five continents and is a producer of copper, silver, zinc, and lead. Its flagship assets include Boddington in Australia and Yanacocha in Peru. The company plays a vital role in supplying metals essential for global electrification and infrastructure. Some of Newmont’s standout aspects include its large-scale operations, strong cash generation, and strategic diversification across multiple geographies and commodities.

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