Newmont Corporation Stock Declines Amid Falling Gold Prices
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 11 2026
0mins
Source: Fool
- Gold Price Decline: Gold prices fell 1.2% to $5,178 per ounce and silver prices dropped 5.1% to $85 per ounce today, driven by rising global oil prices due to ongoing Middle Eastern conflicts, reflecting investor concerns over inflation.
- Inflation Data Impact: The U.S. Bureau of Labor Statistics reported a 2.4% rise in the Consumer Price Index (CPI) for February, marking the second consecutive month above the Fed's 2% target, intensifying market worries ahead of the March data release, which could further affect gold demand.
- Newmont Stock Reaction: Newmont Corporation (NEM) saw its stock decline by 3.2% to $115.25 as of Wednesday morning, with a market cap of $129 billion, indicating that the drop in gold and silver prices is directly impacting the company's short-term performance.
- Long-Term Outlook Positive: Despite short-term pressures, analysts expect Newmont's earnings to continue climbing, with 2029 profits projected to be more than double last year's figures, and the current trailing P/E ratio below 19 and forward P/E at 16, indicating long-term investment value.
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Analyst Views on NEM
Wall Street analysts forecast NEM stock price to rise
14 Analyst Rating
11 Buy
3 Hold
0 Sell
Strong Buy
Current: 94.510
Low
89.00
Averages
110.85
High
125.00
Current: 94.510
Low
89.00
Averages
110.85
High
125.00
About NEM
Newmont Corporation is a gold company and a producer of copper, zinc, lead, and silver with operations and/or assets in the Africa, Australia, Latin America & Caribbean, North America, and Papua New Guinea regions. The Company's operations include Brucejack, Red Chris, Penasquito, Merian, Cerro Negro, Yanacocha, Boddington, Tanami, Cadia, Lihir, Ahafo, and NGM. The Brucejack operation includes four mining leases and six core mineral claims which cover 8,169 acres (3,306 hectares) and 337 mineral claims covering 298,795 acres (120,918 hectares). The Red Chris operation includes five mining leases which cover 12,703 acres and 199 mineral claims, encompassing an area of 164,903 acres (66,734 hectares). Penasquito includes 20 mining concessions for operations comprising 113,231 acres (45,823 hectares) and 60 mining concessions for exploration of 107,456 acres (43,486 hectares). The Merian operation includes one right of exploitation encompassing an area of 41,687 acres (16,870 hectares).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Newmont Gold Corp Maintains Strong Financial Position
- Surge in Gold Prices: Gold prices have skyrocketed from around $1,800 per ounce to nearly $4,000, peaking over $5,200, significantly boosting Newmont's revenue and cash flow, thereby enhancing its debt repayment capacity and financial stability.
- Capital Allocation Strategy: Newmont prioritizes an annual dividend of $1.1 billion while planning to sustain capital spending at $1.95 billion in 2026, ensuring high income for investors while continuing to invest in core assets, thus enhancing long-term investment appeal.
- Focus on Core Assets: The company divested six non-core assets in 2025 to concentrate on top-tier mines in Australia and Ghana, aiming to lower cash costs per ounce through production concentration, thereby improving operational efficiency and profitability.
- Optimistic Long-Term Outlook: Despite short-term pressures causing a dip in gold prices, the fundamentals supporting gold as a hedge against rising debt and geopolitical uncertainty remain strong, indicating structural growth potential over the coming years.
See More
Newmont Corporation Investment Outlook Analysis
- Surge in Gold Prices: Gold prices have surged significantly in recent years, rising from around $1,800 per ounce five years ago to nearly $4,000 today, which has substantially boosted Newmont's revenue and cash flow, thereby enhancing its financial stability.
- Disciplined Capital Allocation: Newmont prioritizes its $1.1 billion annual dividend and plans to sustain $1.95 billion in capital spending in 2026, ensuring high income security for investors while continuing to invest in core assets to manage future market volatility.
- Asset Focus Strategy: The company divested six non-core assets in 2025 to concentrate on top-tier mines in Australia and Ghana, aiming to lower cash costs per ounce and improve production efficiency, thereby enhancing overall competitiveness.
- Long-Term Bullish Outlook: Despite potential short-term corrections in investment demand, gold's appeal as a hedge against rising debt levels and geopolitical uncertainty remains strong, indicating a structural multi-year shift in market dynamics.
See More
U.S. Stocks Close Mixed as Chipmakers Weigh on Market
- Mixed Market Performance: The S&P 500 index fell by 0.10% and the Nasdaq 100 index dropped by 0.43%, while the Dow Jones Industrial Average rose by 0.35%, indicating a divergence in market sentiment, particularly under pressure from chipmakers.
- Chip Sector Pressure: Ahead of Micron Technology's earnings report, chipmakers saw declines, reflecting market concerns over AI infrastructure demand, despite Micron's stock rising over 260% this year, highlighting the volatility in tech stocks.
- Oil Price Impact: WTI crude oil prices sank to a 3.5-month low, leading to a drop in bond yields, with the 10-year Treasury yield falling to 4.40%, benefiting sectors like homebuilders and airlines by enhancing profit outlooks amid lower fuel costs.
- Decline in New Home Sales: U.S. May new home sales unexpectedly fell by 7.3% to 580,000 units, below the expected 640,000, indicating weakness in the housing market that could affect future economic growth expectations.
See More
US Stocks Rebound as Tech Shares Benefit from AI Demand
- Market Rebound: The S&P 500 Index rose by 0.72%, the Dow Jones Industrial Average increased by 0.82%, and the Nasdaq 100 Index climbed by 0.50%, indicating a recovery from Tuesday's sharp selloff as investors look to Micron Technology's earnings report to assess AI market performance.
- Micron Technology Gains: Micron's stock has surged over 260% this year, positioning the company as a major beneficiary of the soaring demand for AI infrastructure, which has attracted significant investor interest and reflects its strong market position.
- Housing Bill Impact: The passage of the 21st Century Road to Housing Act by Congress has led to gains for homebuilders and building suppliers, with KB Home and Builders Firstsource rising over 16% and 11% respectively, highlighting the positive impact of policy support on the industry.
- Crude Oil Price Drop: WTI crude oil prices fell more than 4% to a 3.5-month low, lowering inflation expectations and boosting stock markets, particularly benefiting airline and cruise line stocks due to reduced fuel costs, demonstrating the influence of energy market fluctuations on the broader economy.
See More
U.S. Stocks Edge Up as Tech Earnings Awaited
- Market Recovery: The S&P 500 Index rose by 0.12%, the Dow Jones Industrial Average increased by 0.21%, and the Nasdaq 100 Index gained 0.06%, indicating a gradual recovery from Tuesday's sharp selloff, with investors keenly awaiting Micron Technology's earnings report to assess AI market performance.
- Micron Technology's Gains: Micron's stock has surged over 260% this year, making it a key beneficiary of the soaring demand for AI infrastructure, with expectations of substantial profits from billions in investments, further boosting its stock price and market confidence.
- Housing Sector Boost: Following the passage of the 21st Century Road to Housing Act, homebuilders and building suppliers saw significant stock increases, with KB Home up over 16% and Builders Firstsource up over 9%, reflecting the potential for industry recovery driven by policy support.
- Crude Oil Price Decline: WTI crude prices fell more than 3% to a 3.5-month low, which lowered inflation expectations and pushed the 10-year Treasury yield down by 7 basis points to 4.42%, providing positive support for the stock market, particularly improving the profitability outlook for airlines and cruise operators.
See More
Silver Prices May Consolidate Before Gradual Rally
- Silver Price Decline: Spot silver prices fell to $59.3 per ounce, down 3.7% from their lowest point since December 9, 2025, indicating extremely weak market sentiment that may lead to a consolidation phase before a potential rebound in the coming weeks.
- Analyst Optimism: Rashad Hajiyev, founder of RM Capital Consulting, stated that despite the decline, the downside appears limited, and he expects silver prices to gradually rise after a significant drop, reflecting a long-term bullish outlook on the metal.
- Gold Market Dynamics: Spot gold prices have dropped to $4,019 per ounce, with Peter Schiff suggesting that while gold may briefly dip below $4,000, the potential downside is limited, as market expectations for interest rate hikes may not materialize, providing support for gold prices.
- Retail Sentiment Shift: Despite the sharp drop in silver prices, retail sentiment around iShares Silver Trust (SLV) on Stocktwits shifted from neutral to bullish, indicating a resurgence of investor interest in silver, which reflects expectations for a future rebound.
See More
Newmont Gold Corp Maintains Strong Financial Position
- Surge in Gold Prices: Gold prices have skyrocketed from around $1,800 per ounce to nearly $4,000, peaking over $5,200, significantly boosting Newmont's revenue and cash flow, thereby enhancing its debt repayment capacity and financial stability.
- Capital Allocation Strategy: Newmont prioritizes an annual dividend of $1.1 billion while planning to sustain capital spending at $1.95 billion in 2026, ensuring high income for investors while continuing to invest in core assets, thus enhancing long-term investment appeal.
- Focus on Core Assets: The company divested six non-core assets in 2025 to concentrate on top-tier mines in Australia and Ghana, aiming to lower cash costs per ounce through production concentration, thereby improving operational efficiency and profitability.
- Optimistic Long-Term Outlook: Despite short-term pressures causing a dip in gold prices, the fundamentals supporting gold as a hedge against rising debt and geopolitical uncertainty remain strong, indicating structural growth potential over the coming years.
See More
Newmont Corporation Investment Outlook Analysis
- Surge in Gold Prices: Gold prices have surged significantly in recent years, rising from around $1,800 per ounce five years ago to nearly $4,000 today, which has substantially boosted Newmont's revenue and cash flow, thereby enhancing its financial stability.
- Disciplined Capital Allocation: Newmont prioritizes its $1.1 billion annual dividend and plans to sustain $1.95 billion in capital spending in 2026, ensuring high income security for investors while continuing to invest in core assets to manage future market volatility.
- Asset Focus Strategy: The company divested six non-core assets in 2025 to concentrate on top-tier mines in Australia and Ghana, aiming to lower cash costs per ounce and improve production efficiency, thereby enhancing overall competitiveness.
- Long-Term Bullish Outlook: Despite potential short-term corrections in investment demand, gold's appeal as a hedge against rising debt levels and geopolitical uncertainty remains strong, indicating a structural multi-year shift in market dynamics.
See More
U.S. Stocks Close Mixed as Chipmakers Weigh on Market
- Mixed Market Performance: The S&P 500 index fell by 0.10% and the Nasdaq 100 index dropped by 0.43%, while the Dow Jones Industrial Average rose by 0.35%, indicating a divergence in market sentiment, particularly under pressure from chipmakers.
- Chip Sector Pressure: Ahead of Micron Technology's earnings report, chipmakers saw declines, reflecting market concerns over AI infrastructure demand, despite Micron's stock rising over 260% this year, highlighting the volatility in tech stocks.
- Oil Price Impact: WTI crude oil prices sank to a 3.5-month low, leading to a drop in bond yields, with the 10-year Treasury yield falling to 4.40%, benefiting sectors like homebuilders and airlines by enhancing profit outlooks amid lower fuel costs.
- Decline in New Home Sales: U.S. May new home sales unexpectedly fell by 7.3% to 580,000 units, below the expected 640,000, indicating weakness in the housing market that could affect future economic growth expectations.
See More
US Stocks Rebound as Tech Shares Benefit from AI Demand
- Market Rebound: The S&P 500 Index rose by 0.72%, the Dow Jones Industrial Average increased by 0.82%, and the Nasdaq 100 Index climbed by 0.50%, indicating a recovery from Tuesday's sharp selloff as investors look to Micron Technology's earnings report to assess AI market performance.
- Micron Technology Gains: Micron's stock has surged over 260% this year, positioning the company as a major beneficiary of the soaring demand for AI infrastructure, which has attracted significant investor interest and reflects its strong market position.
- Housing Bill Impact: The passage of the 21st Century Road to Housing Act by Congress has led to gains for homebuilders and building suppliers, with KB Home and Builders Firstsource rising over 16% and 11% respectively, highlighting the positive impact of policy support on the industry.
- Crude Oil Price Drop: WTI crude oil prices fell more than 4% to a 3.5-month low, lowering inflation expectations and boosting stock markets, particularly benefiting airline and cruise line stocks due to reduced fuel costs, demonstrating the influence of energy market fluctuations on the broader economy.
See More
U.S. Stocks Edge Up as Tech Earnings Awaited
- Market Recovery: The S&P 500 Index rose by 0.12%, the Dow Jones Industrial Average increased by 0.21%, and the Nasdaq 100 Index gained 0.06%, indicating a gradual recovery from Tuesday's sharp selloff, with investors keenly awaiting Micron Technology's earnings report to assess AI market performance.
- Micron Technology's Gains: Micron's stock has surged over 260% this year, making it a key beneficiary of the soaring demand for AI infrastructure, with expectations of substantial profits from billions in investments, further boosting its stock price and market confidence.
- Housing Sector Boost: Following the passage of the 21st Century Road to Housing Act, homebuilders and building suppliers saw significant stock increases, with KB Home up over 16% and Builders Firstsource up over 9%, reflecting the potential for industry recovery driven by policy support.
- Crude Oil Price Decline: WTI crude prices fell more than 3% to a 3.5-month low, which lowered inflation expectations and pushed the 10-year Treasury yield down by 7 basis points to 4.42%, providing positive support for the stock market, particularly improving the profitability outlook for airlines and cruise operators.
See More
Silver Prices May Consolidate Before Gradual Rally
- Silver Price Decline: Spot silver prices fell to $59.3 per ounce, down 3.7% from their lowest point since December 9, 2025, indicating extremely weak market sentiment that may lead to a consolidation phase before a potential rebound in the coming weeks.
- Analyst Optimism: Rashad Hajiyev, founder of RM Capital Consulting, stated that despite the decline, the downside appears limited, and he expects silver prices to gradually rise after a significant drop, reflecting a long-term bullish outlook on the metal.
- Gold Market Dynamics: Spot gold prices have dropped to $4,019 per ounce, with Peter Schiff suggesting that while gold may briefly dip below $4,000, the potential downside is limited, as market expectations for interest rate hikes may not materialize, providing support for gold prices.
- Retail Sentiment Shift: Despite the sharp drop in silver prices, retail sentiment around iShares Silver Trust (SLV) on Stocktwits shifted from neutral to bullish, indicating a resurgence of investor interest in silver, which reflects expectations for a future rebound.
See More
