Newmont Beats Q3 Profit Estimates Amid Rising Gold Prices

Newmont Corporation, the world's largest gold mining company, reported third-quarter 2026 results that exceeded analyst expectations. The company posted adjusted earnings of US$2.20 per share, surpassing the LSEG estimate of US$2.05, with revenues increasing 15.19% to $6.36 billion. This growth was primarily driven by a surge in gold prices, which averaged US$4,204.59 per ounce during the quarter, offsetting a production decline to 1.30 million ounces.

Financial highlights included $1.9 billion in free cash flow and a stock rally of 22% since July, outperforming industry peers. To sustain long-term growth, the company is executing a strategic portfolio transformation focused on Tier 1 production, including a non-core asset recycling program and the acquisition of a stake in the Fourmile project. Newmont also reaffirmed its gold production guidance for the full year 2026.

Despite the strong quarterly performance, the company faces significant near-term headwinds. Inflationary pressures, higher oil prices, and a royalty hike in Ghana are driving up costs. All-In Sustaining Costs (AISC) are projected to reach $1,900 per ounce in the fourth quarter, leading to concerns over margin compression in 2027. While the company is implementing the Red Chris Block Cave upgrade and the Fourmile vend-in to lower long-term costs after 2030, investors have remained cautious, with the share price continuing a downtrend that began in late August.