NEWMONT CORP (NGT.CA) Stock Fundamental Analysis
TSX:NGT - Toronto Stock Exchange - US6516391066 - Common Stock - Currency: CAD
NGT gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 820 industry peers in the Metals & Mining industry. Both the profitability and the financial health of NGT get a neutral evaluation. Nothing too spectacular is happening here. NGT is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year NGT was profitable.
In the past year NGT had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: NGT reported negative net income in multiple years.
NGT had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
NGT has a Return On Assets of -2.16%. This is in the better half of the industry: NGT outperforms 79.86% of its industry peers.
The Return On Equity of NGT (-4.08%) is better than 74.19% of its industry peers.
NGT has a Return On Invested Capital of 4.47%. This is amongst the best in the industry. NGT outperforms 91.22% of its industry peers.
NGT had an Average Return On Invested Capital over the past 3 years of 2.71%. This is significantly below the industry average of 11.94%.
The 3 year average ROIC (2.71%) for NGT is below the current ROIC(4.47%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.16% | ||
| ROE | -4.08% | ||
| ROIC | 4.47% |
ROA(3y)-0.91%
ROA(5y)2.22%
ROE(3y)-1.84%
ROE(5y)3.98%
ROIC(3y)2.71%
ROIC(5y)3.44%
1.3 Margins
The Operating Margin of NGT (18.20%) is better than 92.30% of its industry peers.
NGT's Operating Margin has declined in the last couple of years.
The Gross Margin of NGT (47.75%) is better than 95.27% of its industry peers.
NGT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.2% | ||
| PM (TTM) | N/A | ||
| GM | 47.75% |
OM growth 3Y-40.38%
OM growth 5Y-18.23%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.44%
GM growth 5Y-0.13%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NGT is destroying value.
There is no outstanding debt for NGT. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
NGT has an Altman-Z score of 1.74. This is a bad value and indicates that NGT is not financially healthy and even has some risk of bankruptcy.
NGT has a Altman-Z score (1.74) which is comparable to the rest of the industry.
The Debt to FCF ratio of NGT is 10.33, which is on the high side as it means it would take NGT, 10.33 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 10.33, NGT belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
A Debt/Equity ratio of 0.30 indicates that NGT is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.30, NGT is not doing good in the industry: 76.08% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 10.33 | ||
| Altman-Z | 1.74 |
ROIC/WACC0.44
WACC10.1%
2.3 Liquidity
A Current Ratio of 1.96 indicates that NGT should not have too much problems paying its short term obligations.
NGT has a Current ratio (1.96) which is comparable to the rest of the industry.
A Quick Ratio of 1.62 indicates that NGT should not have too much problems paying its short term obligations.
The Quick ratio of NGT (1.62) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
NGT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 118.87%, which is quite impressive.
NGT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.58% yearly.
EPS 1Y (TTM)118.87%
EPS 3Y5.66%
EPS 5Y21.58%
EPS Q2Q%180%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%42.84%
3.2 Future
Based on estimates for the next years, NGT will show a decrease in Earnings Per Share. The EPS will decrease by -6.18% on average per year.
NGT is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.31% yearly.
EPS Next Y13.58%
EPS Next 2Y11.25%
EPS Next 3Y14.49%
EPS Next 5Y-6.18%
Revenue Next Year5.59%
Revenue Next 2Y4.07%
Revenue Next 3Y5.56%
Revenue Next 5Y-3.31%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.06, NGT is valued correctly.
92.16% of the companies in the same industry are more expensive than NGT, based on the Price/Earnings ratio.
NGT is valuated cheaply when we compare the Price/Earnings ratio to 29.63, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.50, which indicates a very decent valuation of NGT.
Based on the Price/Forward Earnings ratio, NGT is valued cheaper than 90.95% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of NGT to the average of the S&P500 Index (22.68), we can say NGT is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.06 | ||
| Fwd PE | 11.5 |
4.2 Price Multiples
91.35% of the companies in the same industry are more expensive than NGT, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NGT indicates a rather cheap valuation: NGT is cheaper than 90.81% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 58.74 | ||
| EV/EBITDA | 10.2 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NGT has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NGT's earnings are expected to grow with 14.49% in the coming years.
PEG (NY)0.96
PEG (5Y)0.61
EPS Next 2Y11.25%
EPS Next 3Y14.49%
5. Dividend
5.1 Amount
NGT has a Yearly Dividend Yield of 2.08%.
Compared to an average industry Dividend Yield of 7.55, NGT pays a better dividend. On top of this NGT pays more dividend than 97.03% of the companies listed in the same industry.
NGT's Dividend Yield is comparable with the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
5.2 History
The dividend of NGT is nicely growing with an annual growth rate of 20.84%!
NGT has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)20.84%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
NGT has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-109.15%
EPS Next 2Y11.25%
EPS Next 3Y14.49%
TSX:NGT (2/21/2025, 7:00:00 PM)
64.53
-3.61 (-5.3%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners73.84%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap73.46B
Analysts78.33
Price Target79.96 (23.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
Yearly Dividend1.46
Dividend Growth(5Y)20.84%
DP-109.15%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.25%
Min EPS beat(2)-6.75%
Max EPS beat(2)15.25%
EPS beat(4)3
Avg EPS beat(4)17.27%
Min EPS beat(4)-6.75%
Max EPS beat(4)52.77%
EPS beat(8)4
Avg EPS beat(8)5.03%
EPS beat(12)5
Avg EPS beat(12)-1.33%
EPS beat(16)7
Avg EPS beat(16)-1.6%
Revenue beat(2)1
Avg Revenue beat(2)1.74%
Min Revenue beat(2)-2.42%
Max Revenue beat(2)5.89%
Revenue beat(4)3
Avg Revenue beat(4)6.56%
Min Revenue beat(4)-2.42%
Max Revenue beat(4)13.58%
Revenue beat(8)4
Avg Revenue beat(8)-0.01%
Revenue beat(12)5
Avg Revenue beat(12)-0.91%
Revenue beat(16)5
Avg Revenue beat(16)-2.41%
PT rev (1m)-3.92%
PT rev (3m)-5.4%
EPS NQ rev (1m)-0.43%
EPS NQ rev (3m)-0.02%
EPS NY rev (1m)-0.85%
EPS NY rev (3m)-0.19%
Revenue NQ rev (1m)0.31%
Revenue NQ rev (3m)-0.15%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)-0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.06 | ||
| Fwd PE | 11.5 | ||
| P/S | 3.05 | ||
| P/FCF | 58.74 | ||
| P/OCF | 11.96 | ||
| P/B | 1.74 | ||
| P/tB | 1.92 | ||
| EV/EBITDA | 10.2 |
EPS(TTM)4.94
EY7.66%
EPS(NY)5.61
Fwd EY8.7%
FCF(TTM)1.1
FCFY1.7%
OCF(TTM)5.4
OCFY8.36%
SpS21.18
BVpS37.05
TBVpS33.66
PEG (NY)0.96
PEG (5Y)0.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.16% | ||
| ROE | -4.08% | ||
| ROCE | 6.21% | ||
| ROIC | 4.47% | ||
| ROICexc | 4.77% | ||
| ROICexgc | 5.06% | ||
| OM | 18.2% | ||
| PM (TTM) | N/A | ||
| GM | 47.75% | ||
| FCFM | 5.19% |
ROA(3y)-0.91%
ROA(5y)2.22%
ROE(3y)-1.84%
ROE(5y)3.98%
ROIC(3y)2.71%
ROIC(5y)3.44%
ROICexc(3y)3.05%
ROICexc(5y)3.91%
ROICexgc(3y)3.29%
ROICexgc(5y)4.24%
ROCE(3y)3.76%
ROCE(5y)4.77%
ROICexcg growth 3Y-47.2%
ROICexcg growth 5Y-26.67%
ROICexc growth 3Y-46.79%
ROICexc growth 5Y-27.64%
OM growth 3Y-40.38%
OM growth 5Y-18.23%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.44%
GM growth 5Y-0.13%
F-Score4
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 10.33 | ||
| Debt/EBITDA | 1.59 | ||
| Cap/Depr | 134.23% | ||
| Cap/Sales | 20.29% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.47% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 1.74 |
F-Score4
WACC10.1%
ROIC/WACC0.44
Cap/Depr(3y)98.39%
Cap/Depr(5y)85.28%
Cap/Sales(3y)17.99%
Cap/Sales(5y)16.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)118.87%
EPS 3Y5.66%
EPS 5Y21.58%
EPS Q2Q%180%
EPS Next Y13.58%
EPS Next 2Y11.25%
EPS Next 3Y14.49%
EPS Next 5Y-6.18%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%42.84%
Revenue Next Year5.59%
Revenue Next 2Y4.07%
Revenue Next 3Y5.56%
Revenue Next 5Y-3.31%
EBIT growth 1Y182.12%
EBIT growth 3Y-39.84%
EBIT growth 5Y-9.85%
EBIT Next Year299.13%
EBIT Next 3Y69.88%
EBIT Next 5Y28%
FCF growth 1Y-44.35%
FCF growth 3Y-69.96%
FCF growth 5Y-34.34%
OCF growth 1Y23.34%
OCF growth 3Y-17.28%
OCF growth 5Y8.62%