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Newmont's Asset Streamlining: A Strong Lever for Future Growth?
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Key Takeaways
Newmont sold Orla Mining shares for $439M, marking a complete exit from the company.
NEM agreed to sell the Coffee Project for up to $150M, closing expected in Q4 2025.
Divestitures free capital for growth projects and sharpen focus on core assets.
Newmont Corporation (NEM - Free Report) continues to execute its portfolio streamlining as it shifts its strategic focus to Tier 1 assets. As part of these moves, NEM has completed the sale of 43 million common shares in Orla Mining Ltd. through the Toronto Stock Exchange. The transaction generated gross proceeds of $439 million. The divestment marks a complete exit from Orla.
Newmont also recently landed an agreement to sell its Coffee Project in Yukon, Canada, to Fuerte Metals Corporation for a total consideration of up to $150 million. The transaction is expected to close in the fourth quarter of 2025. These transactions are expected to boost Newmont’s liquidity and present opportunities for better capital allocation.
NEM completed its non-core divestiture program in April 2025 with the sale of its Akyem operation in Ghana and its Porcupine operation in Canada. Following the sale of Greatland and Discovery shares, the company anticipates generating $3 billion in after-tax cash proceeds from its 2025 divestiture program. These funds will support Newmont’s capital allocation strategy, which focuses on reinforcing its balance sheet and delivering returns to its shareholders.
The asset streamlining is rooted in Newmont’s objective to concentrate capital on high-return, long-life assets that underpin its competitive edge and long-term sustainability. The exit of non-core operations has not only allowed Newmont to simplify its operating footprint but also bolster its balance sheet.
These moves free up capital for investment in its key growth projects, including Tanami Expansion 2 in Australia, the Ahafo North expansion in Ghana, and Cadia Panel Caves in Australia, which are expected to expand production capacity and extend mine life. NEM is well-positioned to meet its 2025 targets, continuing to deliver robust free cash flow from its world-class portfolio of high-quality, long-life assets.
Looking across the competitive landscape, Barrick Mining Corporation (B - Free Report) also divested or exited several non-core assets to focus on Tier 1 assets. These include Kalgoorlie Consolidated Gold Mines (KCGM) in Australia, the Massawa project in Senegal and Lagunas Norte in Peru, which Barrick completed in 2019, 2020 and 2021, respectively. Barrick completed the sale of its 50% interest in the Donlin Gold Project in Alaska in June 2025. It has also agreed to sell the Alturas Project in Chile to a subsidiary of Boroo Pte Ltd (Singapore), with the deal expected to close within the third quarter of 2025. Recently, it agreed to sell its Hemlo Gold Mine in Canada to Carcetti Capital Corp. for gross proceeds of up to $1.09 billion.
Kinross Gold Corporation (KGC - Free Report) also streamlined its portfolio through the sale of its Russian assets, including the Kupol mine and Udinsk project, in 2022. Kinross also sold its 90% interest in the Chirano mine in Ghana in 2022. With these divestments, Kinross’ rebalanced portfolio now has a strong production profile anchored by Tasiast and Paracatu, its two biggest assets.
The Zacks Rundown for NEM
Shares of Newmont have shot up 124.9% year to date against the Zacks Mining – Gold industry’s rise of 112.5%, largely driven by the gold price rally.
Image Source: Zacks Investment Research
From a valuation standpoint, NEM is currently trading at a forward 12-month earnings multiple of 15.21, a roughly 4.4% discount to the industry average of 15.91X. It carries a Value Score of B.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for NEM’s 2025 and 2026 earnings implies a year-over-year rise of 56.3% and 1.5%, respectively. The EPS estimates for 2025 and 2026 have been trending higher over the past 60 days.
Image Source: Zacks Investment Research
NEM stock currently carries a Zacks Rank #1 (Strong Buy).
Image: Bigstock
Newmont's Asset Streamlining: A Strong Lever for Future Growth?
Key Takeaways
Newmont Corporation (NEM - Free Report) continues to execute its portfolio streamlining as it shifts its strategic focus to Tier 1 assets. As part of these moves, NEM has completed the sale of 43 million common shares in Orla Mining Ltd. through the Toronto Stock Exchange. The transaction generated gross proceeds of $439 million. The divestment marks a complete exit from Orla.
Newmont also recently landed an agreement to sell its Coffee Project in Yukon, Canada, to Fuerte Metals Corporation for a total consideration of up to $150 million. The transaction is expected to close in the fourth quarter of 2025. These transactions are expected to boost Newmont’s liquidity and present opportunities for better capital allocation.
NEM completed its non-core divestiture program in April 2025 with the sale of its Akyem operation in Ghana and its Porcupine operation in Canada. Following the sale of Greatland and Discovery shares, the company anticipates generating $3 billion in after-tax cash proceeds from its 2025 divestiture program. These funds will support Newmont’s capital allocation strategy, which focuses on reinforcing its balance sheet and delivering returns to its shareholders.
The asset streamlining is rooted in Newmont’s objective to concentrate capital on high-return, long-life assets that underpin its competitive edge and long-term sustainability. The exit of non-core operations has not only allowed Newmont to simplify its operating footprint but also bolster its balance sheet.
These moves free up capital for investment in its key growth projects, including Tanami Expansion 2 in Australia, the Ahafo North expansion in Ghana, and Cadia Panel Caves in Australia, which are expected to expand production capacity and extend mine life. NEM is well-positioned to meet its 2025 targets, continuing to deliver robust free cash flow from its world-class portfolio of high-quality, long-life assets.
Looking across the competitive landscape, Barrick Mining Corporation (B - Free Report) also divested or exited several non-core assets to focus on Tier 1 assets. These include Kalgoorlie Consolidated Gold Mines (KCGM) in Australia, the Massawa project in Senegal and Lagunas Norte in Peru, which Barrick completed in 2019, 2020 and 2021, respectively. Barrick completed the sale of its 50% interest in the Donlin Gold Project in Alaska in June 2025. It has also agreed to sell the Alturas Project in Chile to a subsidiary of Boroo Pte Ltd (Singapore), with the deal expected to close within the third quarter of 2025. Recently, it agreed to sell its Hemlo Gold Mine in Canada to Carcetti Capital Corp. for gross proceeds of up to $1.09 billion.
Kinross Gold Corporation (KGC - Free Report) also streamlined its portfolio through the sale of its Russian assets, including the Kupol mine and Udinsk project, in 2022. Kinross also sold its 90% interest in the Chirano mine in Ghana in 2022. With these divestments, Kinross’ rebalanced portfolio now has a strong production profile anchored by Tasiast and Paracatu, its two biggest assets.
The Zacks Rundown for NEM
Shares of Newmont have shot up 124.9% year to date against the Zacks Mining – Gold industry’s rise of 112.5%, largely driven by the gold price rally.
From a valuation standpoint, NEM is currently trading at a forward 12-month earnings multiple of 15.21, a roughly 4.4% discount to the industry average of 15.91X. It carries a Value Score of B.
The Zacks Consensus Estimate for NEM’s 2025 and 2026 earnings implies a year-over-year rise of 56.3% and 1.5%, respectively. The EPS estimates for 2025 and 2026 have been trending higher over the past 60 days.
NEM stock currently carries a Zacks Rank #1 (Strong Buy).
You can see the complete list of today’s Zacks #1 Rank stocks here.