2. Newmont Mining (NEM) engages primarily in gold production. The company also produces copper through its operations in Batu Hijau (Indonesia) and Boddington (Australia). In April 2011, the company acquired Fronteer Gold.
Total revenue for the first quarter ended March 2011 grew 10% year-over-year to $2.5 billion from $2.2 billion, as a 6.5% decline in gold ounces sold was mitigated by a 25% increase in gold prices. However, net income during the quarter declined marginally to $514 million, or $1.03 per share, from $546 million, or $1.11 per share, in the year-ago quarter.
The company recently declared a quarterly dividend of 20 cents per share payable on June 29, 2011 to shareholders of record on June 16, 2011, representing a 33% increase over the 15 cents per share paid in the first quarter of 2011, and growing 100% over the second-quarter 2010 dividend. Going forward, the company anticipates a further 5-cent increase to 25 cents per share, up 67% year over year.Of the 18 analysts covering the stock, 61% rate it a buy, while 33% recommend a hold. Analysts estimate an average increase of 41%, to $75.68 in value from current levels. The stock currently trades at a P/E of 11.8.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV