Newmont Mining (NEM) Stock Forecast & Price Target

Newmont's recent strategic acquisitions, including the purchase of Goldcorp in 2019 and Newcrest in November 2023, have significantly expanded its operational footprint, giving the company a robust portfolio that includes 11 mines and interests in various joint ventures across multiple regions. With an expectation to produce approximately 5.6 million ounces of gold in 2025 from its core mines, paired with substantial byproduct reserves, Newmont is well-positioned to capitalize on anticipated price increases, with forecasts suggesting gold prices exceeding $4,000 per ounce in the latter half of 2026. Additionally, the company is projected to sustain free cash flow through rising investments balanced by increasing production levels, which supports its positive financial outlook.

Newmont's stock has underperformed relative to its peers, leading to concerns about its competitiveness in the gold mining sector. The company faces a downside scenario with a projected share price of $41, predicated on lower long-term gold prices of $2,500 per ounce, while keeping existing operational and financial assumptions constant. Furthermore, despite holding around two decades of gold reserves, the recent acquisition of Newcrest and the decision to divest six higher-cost mines raise questions about the sustainability of its production and profitability in the long term.