RE:RE:RE:RE:Minus 5% today only wowWhat a difference a couple of weeks make!
Don't worry NEM / NGT holders, we've had a nice run but this is just a little consolidation so the institutions can grab the shares back that retail had bought at around the $46 CAD level in February. If the stock price pulls back and the price of gold holds steady around this level, then it's just another buying opportunity.
A test of the 50 DMA (which stands as of today) at $35.27 US for NEM and $47.29 CAD for NGT (on TSE) is not too distant. Retail buyers are a bit hesitant after the nice run up and some are taking profit but this thing was beaten down so bad that it's got a lot of upside left yet! Just look at the 2024 and 2025 FWD EPS estimates, which I believe are too low at these gold prices and it's not hard to see this thing is still way undervalued.
Next catalyst for NEM; should be an announcement of non-core asset sales, and with gold now at $2150 and climbing they won't be giving these assets away! MaterialsMan's post was a bit skeptical regarding NEM disposing of their non-core assets but probaby not so much anymore...Lol.
As per my previous post...."The people at Newmont are no dummies, they're going to pick the best hanging fruit for themselves and sell off what they don't want at the Farmer's Market and with the quality of assets and their favourable locations, still get a pretty decent dollar for the slightly bruised but still edible remains. In fact I wouldn't be surprised if they don't already have buyers lined up and will start announcing the sales sooner than most are anticipating."
My opinion only, please DYODD.
HB77