Newmont Mining's Q4 2016 Earnings Preview: Higher Gold Prices To Translate Into Improved Earnings Results
Newmont Mining will release its fourth quarter earnings results on February 21 and conduct a conference call with analysts the next day. We expect higher gold prices over the course of the fourth quarter to translate into higher earnings for Newmont.
Gold prices rose sharply in Q3 2016, driven by the safe-haven investment demand for the yellow metal. Heightened macroeconomic uncertainty in the wake of the UK's June 23 EU referendum and concerns over global economic growth drove the investment demand for gold, resulting into a sharp increase in gold prices in the third quarter of last year. Though prices fell in the fourth quarter in anticipation of an interest rate hike by the Fed in December, they averaged higher on a year-over-year basis.
On the cost side, a combination of operational improvements and non-core asset sales is expected to keep costs relatively flat for Newmont Mining. With costs in check, a more favorable gold pricing environment should enable Newmont Mining to report improved fourth quarter earnings. The following tables summarize our expectations from the company's Q4 result.
- What Is Newmont Mining's Revenue And EBITDA Breakdown?
- What Is Newmont Mining's Fundamental Value Based On Expected 2015 Results?
- How Has Newmont Mining's Revenue Composition Changed Over The Last 5 Years?
- By What Percentage Did Newmont Mining's Revenue & EBITDA Decline In The Last 5 Years?
- By What Percentage Can Newmont Mining's Revenue & EBITDA Grow In The Next 3 Years?
- How Will Newmont Mining's Revenue Composition Change by 2020?
- Newmont Mining: A Look Back At The Year 2015
- Why The Commencement Of Production At The Merian Mine Will Boost The Fortunes Of Newmont's South American Gold Mining Operations
1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email email@example.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Newmont Mining
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