Gold Prices Hit Record Highs, Mining Stocks Poised for Growth
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 26 2026
0mins
Should l Buy NEM?
Source: Fool
- Gold Price Surge: Gold prices have surpassed $5,000 per ounce, reflecting market uncertainty and a weakening dollar, attracting investor interest in mining stocks despite high volatility.
- Newmont's Strong Performance: As the world's largest gold miner, Newmont reported gold production of 1.4 million ounces in Q3, down 28.5% year-over-year, yet achieved nearly $2,000 profit per ounce, driving revenue up nearly 20% to $5.5 billion.
- Agnico Eagle's Steady Growth: Agnico Eagle's net income rose 86% year-over-year to $1.06 billion in Q3, with a record gold production forecast of 3.5 million ounces for the year, demonstrating strong profitability in stable political environments.
- Optimistic Future Outlook: Despite potential risks from Ghana's increased mining taxes, both Newmont and Agnico Eagle are well-positioned for expansion with strong cash flows and low debt levels in a high gold price environment.
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Analyst Views on NEM
Wall Street analysts forecast NEM stock price to fall
14 Analyst Rating
11 Buy
3 Hold
0 Sell
Strong Buy
Current: 124.690
Low
89.00
Averages
110.85
High
125.00
Current: 124.690
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.
- Earnings Beat: Newmont's Q4 2025 non-GAAP EPS of $2.52 surpassed expectations by $0.49, with revenue of $6.81 billion reflecting a 20.5% year-over-year increase, exceeding forecasts by $560 million, indicating robust profitability and market demand.
- Record Cash Flow: The company generated $10.3 billion in cash from operating activities for the year, net of $210 million in working capital impacts, achieving a record annual free cash flow of $7.3 billion, including $2.8 billion in Q4, showcasing excellence in cash management and capital allocation.
- Enhanced Capital Returns: Newmont declared an increased dividend of $0.26 per share and returned $3.4 billion to shareholders through share repurchases and dividends in 2025, demonstrating a strong commitment to shareholder returns and a sustainable capital allocation strategy.
- Optimistic Outlook: For 2026, attributable gold production is expected to be approximately 5.3 million ounces, with gold by-product AISC projected at $1,680 per ounce, indicating continued competitiveness in production and cost management moving forward.
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- Gold Medal Value Surge: Since the start of the 2024 Paris Summer Olympics, spot gold prices have surged approximately 110% to about $5,000 per ounce, with the intrinsic value of gold medals now estimated between $2,300 and $2,500, highlighting their increased investment appeal.
- Silver and Bronze Medal Valuation: Silver medals carry a raw metal value of about $1,400, while bronze medals, primarily made of copper, are valued at only $5 to $6, illustrating how the metal composition directly impacts the market value of different medals and emphasizing the rarity of gold medals.
- Market Volatility and Investment Trends: Despite recent fluctuations in precious metal prices, investors continue to flock to traditional safe havens like gold amid geopolitical instability and inflation concerns, keeping gold prices near historic highs, indicating a strong demand for these assets.
- Medal Quality Issues: The Milano Cortina 2026 Organizing Committee is investigating quality issues affecting a small number of medals after several athletes reported broken ribbons or clasps, demonstrating a commitment to athlete experience as organizers work with the Italian State Mint to repair affected medals.
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- Grail Drug Trial Failure: Grail's shares plummeted 47% after the company announced that a trial for one of its drugs missed its primary endpoint, failing to demonstrate statistically significant reductions in Stage III-IV cancer, which has severely impacted investor confidence and cast doubt on future R&D prospects.
- Blue Owl Capital Loan Sale Impact: Blue Owl Capital's shares slid nearly 3% following a $1.4 billion loan sale, with the stock already down 5.9% the previous day, indicating market concerns over its asset management capabilities and overall financial health.
- Opendoor Earnings Beat Expectations: Opendoor's stock rose 19% as it reported fourth-quarter revenue of $736 million, surpassing the LSEG consensus estimate of $549 million, although it anticipates an adjusted EBITDA loss in the range of $30 million to $32 million for Q1, yet management aims for positive adjusted net income by the end of 2026.
- Akamai Disappointing Guidance: Akamai's shares dropped about 10% in after-hours trading after the company provided disappointing first-quarter guidance, projecting adjusted earnings between $1.50 and $1.67 per share, below the $1.75 consensus estimate, raising concerns about its growth trajectory.
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- Market Outlook: Stock futures are indicating potential gains on Friday.
- Investor Sentiment: Investors are overlooking rising oil prices.
- Focus on Inflation: Attention is shifting towards upcoming key inflation data.
- Economic Indicators: The market's reaction suggests optimism despite external pressures.
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- Financial Overview: Newmont Corporation's Q4 2025 earnings report indicates an annual dividend of $1.1 billion, showcasing the company's robust cash flow management and commitment to shareholder returns amidst market undervaluation.
- Gold Production Target: The company has set a target of 6 million ounces of gold output, a strategic move aimed at enhancing market competitiveness and laying the groundwork for future growth, particularly as global gold demand continues to rise.
- Capital Allocation Revision: Newmont outlined a revised capital allocation framework intended to optimize resource distribution for sustainable development, which will help improve operational efficiency and bolster long-term profitability.
- Dispute with Barrick: The company issued a default notice to Barrick over alleged mismanagement of their Nevada joint venture, a legal action that could impact their partnership and pose potential risks to future project developments.
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- Earnings Highlights: Newmont Corporation's Q4 2025 earnings report indicates an annual dividend of $1.1 billion, reflecting strong cash flow management and shareholder returns, which enhances investor confidence in the company's financial health.
- Gold Production Target: The company has set a target of 6 million ounces for gold production, which, if achieved, will bolster its competitive position and solidify its leadership in the global gold market.
- Capital Allocation Revision: Newmont outlined a revised capital allocation framework aimed at optimizing resource distribution to support sustainable growth, providing greater flexibility for future investment decisions.
- Dispute with Barrick: The company issued a default notice to Barrick over alleged mismanagement in their Nevada joint venture, which could impact their collaborative relationship and pose potential risks to future project developments.
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