Newmont Stock Leads Gold Miners Lower as Gold Prices Plummet

Newmont (NEM) stock is tumbling on Monday amid a more than 3% decline in spot gold (XAUUSD) prices that triggered a broader selloff across precious metal miners. As of this writing, NEM is challenging its 50-day moving average (MA), with a decisive break below the $116 expected to accelerate downward momentum in the weeks ahead.

Despite the recent decline, however, Newmont shares remain up about 15% versus the start of 2026.

What Drove Gold Prices Down on Monday?

Gold prices slipped early on Sept. 28 as Brent crude (CBX26) surged past $107 again amid Iran war uncertainties. 

Higher oil prices are reviving global inflation concerns, pushing the 10-year U.S. Treasury (ZNZ26) yield up (5.27% at an intraday high) and dampening expectations for a near-term rate cut following the Fed’s recent move to the 3.75%-4.00% range. 

Elevated yields strengthen the U.S. dollar and increase the opportunity cost of holding non-yielding bullion, creating immediate pressure on gold prices.  

Because Newmont’s revenue and profit margins are directly levered to realized gold prices, a drop in bullion tends to weigh on earnings expectations and weigh rather heavily on its stock price. 

Should You Buy the Dip in NEM Stock?

For long-term investors, today’s pullback in NEM shares may just be a buying opportunity. Why? Because Newmont remains the world’s leading gold producer – featuring a “solid” balance sheet and trailing 12-month earnings per share (EPS) of $7.92. 

Trading at about 13x forward earnings, meaningfully below the recent peak, NEM currently offers an appealing valuation alongside a modest dividend yield of 0.9%. 

If gold stabilizes above key support levels near $4,100 per ounce, Newmont’s low-cost operations and expanding margins could drive a rapid operational recovery. 

In short, investors seeking unhedged exposure to gold may find NEM’s temporary price retreat an attractive entry point. 

Wall Street’s View on Newmont Shares

Crucially, Wall Street analysts remain bullish as ever on Newmont stock for the remainder of 2026. 

According to Barchart, the consensus rating on NEM sits at “Strong Buy,” with the mean price target of about $138 indicating potential upside of about 20% from here. 

On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.