Newmont Target of Unusually High Options Trading (NYSE:NEM)

Newmont Co. (NYSE:NEM) was the recipient of some unusual options trading activity on Monday. Stock traders bought 51,593 call options on the stock. This is an increase of approximately 46% compared to the typical daily volume of 35,327 call options.

Newmont Trading Up 2.5 %

Shares of Newmont stock opened at $55.85 on Wednesday. The company has a fifty day simple moving average of $50.40 and a 200-day simple moving average of $43.91. Newmont has a 12-month low of $29.42 and a 12-month high of $56.09. The company has a current ratio of 2.11, a quick ratio of 1.85 and a debt-to-equity ratio of 0.31. The stock has a market cap of $64.40 billion, a price-to-earnings ratio of -20.92, a PEG ratio of 0.37 and a beta of 0.49.

Newmont (NYSE:NEM) last issued its quarterly earnings data on Wednesday, July 24th. The basic materials company reported $0.72 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.10. Newmont had a positive return on equity of 8.35% and a negative net margin of 13.16%. The company had revenue of $4.40 billion for the quarter, compared to analyst estimates of $4.13 billion. During the same quarter last year, the company posted $0.33 earnings per share. The business’s quarterly revenue was up 64.1% compared to the same quarter last year. On average, equities analysts forecast that Newmont will post 2.82 EPS for the current fiscal year.

Newmont Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 30th. Shareholders of record on Thursday, September 5th will be paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 1.79%. The ex-dividend date is Thursday, September 5th. Newmont’s dividend payout ratio is currently -37.45%.

Wall Street Analyst Weigh In

NEM has been the subject of several recent research reports. CIBC raised shares of Newmont from a “neutral” rating to a “sector outperform” rating and raised their price objective for the company from $46.00 to $61.00 in a research note on Wednesday, July 10th. BMO Capital Markets boosted their price target on shares of Newmont from $56.00 to $57.00 and gave the stock an “outperform” rating in a research note on Thursday, July 25th. Bank of America increased their price objective on Newmont from $49.00 to $50.00 and gave the company a “buy” rating in a research note on Wednesday, June 26th. Scotiabank raised Newmont from a “sector perform” rating to a “sector outperform” rating and boosted their target price for the stock from $48.00 to $59.00 in a research note on Monday, August 19th. Finally, Jefferies Financial Group lifted their price objective on Newmont from $50.00 to $54.00 and gave the company a “buy” rating in a research note on Friday, July 12th. Five investment analysts have rated the stock with a hold rating, ten have given a buy rating and two have issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $52.62.

Insider Activity

In other news, CEO Thomas Ronald Palmer sold 20,000 shares of the stock in a transaction on Thursday, August 1st. The stock was sold at an average price of $49.51, for a total transaction of $990,200.00. Following the completion of the transaction, the chief executive officer now directly owns 311,469 shares in the company, valued at approximately $15,420,830.19. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. In other news, CEO Thomas Ronald Palmer sold 20,000 shares of the company’s stock in a transaction that occurred on Thursday, August 1st. The shares were sold at an average price of $49.51, for a total value of $990,200.00. Following the transaction, the chief executive officer now directly owns 311,469 shares in the company, valued at approximately $15,420,830.19. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Peter Toth sold 3,000 shares of Newmont stock in a transaction that occurred on Tuesday, September 3rd. The shares were sold at an average price of $52.47, for a total transaction of $157,410.00. Following the completion of the sale, the executive vice president now owns 94,596 shares of the company’s stock, valued at approximately $4,963,452.12. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 56,000 shares of company stock valued at $2,744,700. 0.06% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Newmont

Several large investors have recently modified their holdings of the company. Healthcare of Ontario Pension Plan Trust Fund raised its holdings in shares of Newmont by 117.2% in the second quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 629,800 shares of the basic materials company’s stock valued at $26,370,000 after buying an additional 339,800 shares during the last quarter. Point72 Asia Singapore Pte. Ltd. acquired a new stake in Newmont during the 2nd quarter worth approximately $91,000. Heritage Wealth Management Inc. purchased a new position in shares of Newmont in the 2nd quarter valued at approximately $239,000. Sanctuary Advisors LLC acquired a new position in shares of Newmont in the second quarter valued at approximately $682,000. Finally, Gordian Capital Singapore Pte Ltd purchased a new stake in shares of Newmont during the second quarter worth approximately $754,000. 68.85% of the stock is owned by institutional investors and hedge funds.

Newmont Company Profile

Newmont Corporation engages in the production and exploration of gold. It also explores for copper, silver, zinc, and lead. The company has operations and/or assets in the United States, Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia, Papua New Guinea, Ecuador, Fiji, and Ghana.