Newmont Mining Corp Third Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Newmont Mining Corp (NYSE:NEM) will unveil its latest earnings on Friday, October 28, 2011. Newmont Mining explores and acquires gold properties and produces copper.

Newmont Mining Corp Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of $1.24 per share, a rise of 17% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from $1.06. Between one and three months ago, the average estimate moved up. It has dropped from $1.26 during the last month. For the year, analysts are projecting profit of $4.81 per share, a rise of 27.2% from last year.

Past Earnings Performance: The company missed estimates last quarter after beating forecasts in the prior two. In the second quarter, the company reported net income of 90 cents per share versus a mean estimate of profit of $1 per share. In the first quarter, the company beat estimates by 7 cents.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 5.8% in revenue from the year-earlier quarter to $2.75 billion.

Analyst Ratings: nine out of 16 analysts surveyed (56.3%) have a buy rating on Newmont Mining.. This is below the mean analyst rating of nine competitors, which average 70.9% buy ratings.

A Look Back: In the second quarter, profit rose 1.3% to $387 million (77 cents a share) from $382 million (77 cents a share) the year earlier, but fell short analyst expectations. Revenue rose 10.7% to $2.38 billion from $2.15 billion.

Key Stats:

Revenue has risen the past four quarters. Revenue rose 9.9% in the first quarter from the year earlier, climbed 1.2% in the fourth quarter of the last fiscal year from the year-ago quarter and 26.7% in the third quarter of the last fiscal year.

The increase in profit in the second quarter came after net income fell in the previous quarter. In the first quarter, net income fell 5.9%.

Competitors to Watch: Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX), Goldcorp Inc. (NYSE:GG), AngloGold Ashanti Ltd. (NYSE:AU), Kinross Gold Corp. (NYSE:KGC). Royal Gold, Inc. (NASDAQ:RGLD), Barrick Gold Corporation (NYSE:ABX), Allied Nevada Gold Corp. (AMEX:ANV), Vista Gold Corp. (AMEX:VGZ), Paramount Gold and Silver Corp. (AMEX:PZG), Midway Gold Corp. (AMEX:MDW), Newmont Mining Corporation (NYSE:NEM), Jaguar Mining Inc. (NYSE:JAG), ishares Gold Trust (NYSE:GLD) and Gold Reserve Inc. (AMEX:GRZ).

Stock Price Performance: During July 29, 2011 to October 24, 2011, the stock price had risen $8.47 (15.3%) from $55.35 to $63.82. The stock price saw one of its best stretches over the last year between May 13, 2011 and May 31, 2011 when shares rose for 12-straight days, rising 7.2% (+$3.76) over that span. It saw one of its worst periods between May 31, 2011 and June 8, 2011 when shares fell for seven-straight days, falling 7.5% (-$4.19) over that span. Shares are up $3.09 (+5.1%) year to date.

(Source: Xignite Financials)

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