About NEWMONT Corp
Newmont Corporation engages in the production and exploration of gold. It also explores for copper, silver, zinc, and lead. The company has operations and/or assets in the United States, Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia, and Ghana.
As of December 31, 2021, it had proven and probable gold reserves of 92.8 million ounces and land position of 62,800 square kilometers. The company was founded in 1916 and is headquartered in Denver, Colorado.
NEM operates in the Mining | Precious Metals | headquartered in Greenwood Village, Colorado | approximately 32,400 employees | led by CEO Thomas R. Palmer.
The $92.6B question: What happens when a company this good becomes this expensive?
In the constellation of American capitalism, certain companies shine brighter than others — not because they are inherently more valuable, but because they have positioned themselves at the nexus of forces that shape the economy. NEWMONT Corp /DE/ is one such company.
At $92.6B in market capitalization, NEWMONT Corp /DE/ (NEM) currently ranks #93 in our quantitative model, with a composite score of 78.3/100. That places it firmly in "Strong Buy" territory — our highest conviction rating.
But here's the thing about stocks priced for perfection: They leave no room for error.
The Numbers That Matter
Let's start with what's undeniably true. Our 6-factor model gives NEM the following scores:
| Factor | Score | Weight | Assessment |
|---|---|---|---|
| Quality | 85/100 | 30% | Exceptional |
| Value | 83/100 | 15% | Attractive |
| Momentum | 80/100 | 25% | Accelerating |
| Investment | 75/100 | 10% | Growing |
| Stability | 53/100 | 10% | Volatile |
| Short Interest | 11/100 | 10% | High shorts |
The quality score of 85/100 is the headline here. It reflects profitability metrics that would make most CFOs weep with envy:
- ROE: 22.0%
- Net Margin: 33.4%
- Gross Margin: 64.7%
These aren't just good numbers. They're the kind of numbers that make NEM a "must-own" stock for institutional portfolios.
The Bull Case
"If you could design a business in a laboratory, it would look something like NEM."
The bull case writes itself:
- Quality is persistent. Academic research shows high-quality stocks outperform by 4-6% annually over long periods. NEM is quality defined.
- Momentum is real. With a momentum score of 80/100, the stock has been recognized by the market — and momentum tends to persist.
- The moat is deep. Companies with these margins don't lose them easily. The competitive position is entrenched.
The Bear Case
But here's what keeps value investors up at night:
- Valuation compression risk. At current levels, the stock is priced for continued perfection. Any stumble — a missed quarter, a competitive threat, a macro slowdown — could compress the multiple from 12.9x to the low 20s. That's a 20-30% decline without anything fundamentally "wrong."
- The crowded trade problem. When everyone owns a stock, who's left to buy? Momentum works until it doesn't.
- Mean reversion. Trees don't grow to the sky. At some point, growth decelerates.
The Valuation Framework
| Scenario | Assumption | Fair Value | Upside/Downside |
|---|---|---|---|
| Bear | Multiple compression to 20x | -20% | Downside |
| Base | Current trajectory continues | +10-15% | Modest upside |
| Bull | Momentum accelerates | +30-40% | Significant upside |
The risk-reward is ... fine. Not exceptional. Not terrible. Just fine.
The Bottom Line
NEWMONT Corp /DE/ is exactly what it appears to be: a high-quality business with strong momentum trading at a premium price. Whether that's attractive depends entirely on what kind of investor you are.
For long-term, buy-and-hold investors, NEM is a core holding. For value investors or short-term traders, look elsewhere.
The company is priced for perfection — and in markets, as in life, perfection is a fragile thing.
⭐⭐⭐⭐⭐ Rating: 5-Star Strong Buy
Score: 78.3/100 | Rank: #93 of 3,571 stocks
Sector: Energy
This analysis reflects the views of Blank Capital Research as of February 16, 2026. It is not investment advice. Past performance does not guarantee future results.