Newmont shares lift as UBS, Macquarie predict beat to FY25 guidance
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The news: Newmont Corporation was one of the best performers across the ASX 200 after analysts hiked their target prices on the gold miner following its better-than-expected Q2 result, announced Friday.
The numbers: Newmont shares were up 4% to $99.20 at 11:10am AEST, extending gains to 67% since the turn of the year.
UBS retained its 'buy' rating and increased its 12-month price target 4.8% from $105 to $110. Macquarie reiterated its 'outperform' rating and lifted its target price 3% to $109.
The context: UBS analysts noted that after a strong first quarter, Newmont delivered "another material beat" in the second quarter.
They believe the miner's full-year production guidance of 5.6 million ounces, reiterated on Friday, "looks conservative", with upside risk to production and modest downside risk to capital expenditure.
Macquarie analysts flagged that Newmont's first-half result was "ahead of its own original commentary". Like UBS, they see increased scope for a "minor beat" to full-year production guidance, with output tracking above the miner's initial plan.
The sources: UBS research, Macquarie research
