Newmont Receives A3 Rating Upgrade from Moody's
Credit Rating Upgrade: Newmont Corporation's issuer credit rating has been upgraded by Moody's from Baa1 to A3, reflecting an improved credit profile and strong financial management.
Financial Strength: The company reported $6.2 billion in consolidated cash and $10.2 billion in liquidity as of the end of Q2 2025, emphasizing its commitment to maintaining a robust balance sheet.
Capital Allocation Strategy: Newmont focuses on balancing financial strength with steady reinvestment in the business while delivering shareholder returns through dividends and share repurchases.
Company Overview: As a leading gold producer, Newmont operates globally and is recognized for its environmental, social, and governance practices, aiming to create value through sustainable mining.
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- Significant Reduction: The Michigan Municipal Employees' Retirement System reduced its position in the iShares MSCI Global Gold Miners ETF by 528,148 shares during Q4 2025, with an estimated transaction value of $35.65 million, indicating a cautious stance towards the gold market.
- Value Change in Holdings: As of the end of Q4 2025, the fund's stake in RING was 844,062 shares valued at $62.16 million, with a net position change reflecting a decrease of $26.64 million, highlighting the impact of market fluctuations on its portfolio.
- Investment Strategy Insight: This ETF focuses on global gold mining companies, achieving a total return of 129.8% over the past year, showcasing the positive effect of rising gold prices on mining stocks, although recent weeks have seen a pause in gold price increases.
- Future Outlook: Despite the reduction, holding 62% of RING shares indicates the fund's long-term bullish outlook on gold mining, suggesting potential for outsized returns as gold prices continue to fluctuate.
- Silver Price Surge: April silver futures rose 6.6% to $86 an ounce, reflecting a significant increase in market demand for silver ahead of the Lunar New Year, which boosted mining stocks.
- Gold Price Recovery: Spot gold prices increased by 1.8% to $5,113.6 per ounce, surpassing the $5,000 mark, indicating strong investor demand for gold, particularly as the Chinese New Year approaches.
- Weak Dollar Impact: The DXY index dipped 0.2% to 96.3, with the weaker dollar providing support for gold and silver prices, further enhancing the investment appeal of precious metals in the market.
- Mining Stocks Performance: Silver mining companies First Majestic and Hecla Mining gained over 4% in pre-market trading, reflecting optimistic sentiment in the precious metals sector and investors' expectations for future price increases.
- Market Optimism: While there is significant optimism surrounding NEM stock, analysis indicates that the upcoming earnings report must deliver exceptional performance to genuinely drive stock price increases, highlighting substantial risks in investor expectations for future earnings.
- Demand for Risk Protection: The smart money's perspective on NEM stock reveals concerns about downside risks, particularly as the implied volatility of puts at lower strike prices exceeds that of calls, indicating a notable increase in the market's demand for protection against potential declines.
- Price Range Forecast: According to the Black-Scholes model, NEM stock is expected to fluctuate between $109 and $123 over the next 10 weeks, with the highest probability density near $116, providing investors with crucial price expectation insights.
- Trading Strategy Recommendation: Given the market sentiment and price predictions, investors are advised to consider the 117/115 bear put spread, which could yield a maximum payout of nearly 113% if NEM stock falls below $115 at expiration, indicating a noteworthy balance of risk and reward in the current market environment.
- Market Recovery: The S&P 500 Index rose by 0.47% on Monday, with the Dow Jones Industrial Average hitting an all-time high, indicating a strong recovery in the market following rebounds in tech stocks and chipmakers, reflecting investor confidence in economic recovery.
- Precious Metals Surge: Mining stocks rallied as gold prices increased by 2% and silver surged over 6%, with Coeur Mining and Hecla Mining gaining more than 7% and 5% respectively, highlighting the positive impact of strong performance in the precious metals market on related stocks.
- Earnings Season Insights: More than half of S&P 500 companies have reported earnings, with 79% exceeding expectations, and Q4 earnings growth projected at 8.4%, which is likely to further boost market sentiment and enhance investor confidence.
- Economic Data Focus: The market will closely watch upcoming economic data releases, including the employment cost index and retail sales figures, which are expected to significantly influence future monetary policy and market trends.
- Newmont's Strong Performance: Newmont (NEM) leads with 273 days of Quant Rating coverage and a 4.92 Strong Buy rating, indicating robust performance in the gold mining sector and strong market confidence, likely continuing to attract investor interest.
- Stability in Real Estate Stocks: Realty Income (O) and Host Hotels & Resorts (HST) have maintained ratings for 237 and 225 days respectively, showcasing their stable earnings capabilities amid economic fluctuations, which may draw in capital seeking safe investments.
- Semiconductor Sector Highlight: Micron Technology (MU) stands out with 216 days of coverage and the highest Quant Rating of 4.99, reflecting strong market confidence in its future growth potential, which could drive its stock price higher in the future.
- Diverse Investment Opportunities: Other high-rated stocks, including American Electric Power (AEP) and Incyte (INCY), demonstrate strong quantitative scores, indicating that investors are seeking stable income sources across various sectors, enhancing market diversity and resilience.
- Market Recovery: The S&P 500 Index rose by 0.46%, the Dow Jones Industrial Average increased by 0.09%, and the Nasdaq 100 climbed by 0.61%, indicating a rebound in the market driven by recovering tech and chipmaker stocks, reflecting investor confidence in economic growth.
- Mining Stocks Surge: Gold prices increased by over 1% and silver prices jumped more than 6%, boosting mining stocks with Coeur Mining up over 6% and Freeport McMoRan up more than 5%, suggesting rising investor demand for precious metals amid inflation concerns.
- Positive Earnings Outlook: Over 79% of S&P 500 companies that reported earnings exceeded expectations, with Q4 earnings growth projected at 8.4%, marking the tenth consecutive quarter of year-over-year growth, indicating sustained corporate profitability that could further drive stock market gains.
- Economic Data Focus: The market is closely watching upcoming employment and inflation data, with January nonfarm payrolls expected to rise by 69,000 and the unemployment rate to remain at 4.4%, as these figures will influence investor expectations regarding future monetary policy, potentially leading to market volatility.










