Newmont Advances Modestly as High Profitability Backs A Grade

• Our read: EasyAlpha grades Newmont Goldcorp Corp A, placing it among the strongest companies in its industry within the S&P 500, driven by profitability while volume behavior remains the main watch item.
• The day: Shares closed +3.4% at $127.26 on Tuesday, September 22 as materials stocks led the broader market.
• Watching: Third-quarter earnings scheduled for Thursday, October 22.

On Tuesday, September 22, shares of Newmont Goldcorp Corp closed +3.4% to $127.26, tracking a modest advance that saw materials stocks lead the broader market. The company did not release any corporate announcements during the session. Meanwhile, gold prices edged lower as markets priced in more restrictive interest-rate policy.

Newmont carried an A grade into Tuesday's session, ranking it among the highest-quality companies in its industry within the S&P 500. In EasyAlpha's historical research, companies graded A or B have shown stronger fundamentals and lower risk of severe drawdowns than those in the lower tiers. Newmont's rating is led by profitability, highlighted by a profit margin of 33.4% and a return on equity of 25.9%. Recent operational momentum has been steady, with quarterly revenue growth reaching +15.1% year over year.

The business trades at 15.5 times trailing earnings and 11.3 times forward estimates, supported by a market capitalization of $129.7 billion. The stock is +27.5% so far this year, leaving it 5.7% below its 52-week high. Wall Street maintains broad agreement with the company's trajectory, with brokers raising price targets: 87.0% of analysts covering the stock carry buy ratings, with a consensus target that sits 7.3% above Tuesday's close.

The main counterweight in Newmont's file is volume behavior. Tuesday's modest rise took place on volume that reached 0.7x its 20-session average, showing muted turnover despite the price gain. In addition, the shares remain -3.3% over the past month.