Newmont Corp. (NYSE:NEM) Combines High Growth Momentum with Bullish Technical Setup

The combination of high growth momentum investing with technical breakout setups offers a strong strategy for identifying stocks that not only show good fundamental growth characteristics but also present good entry points from a technical perspective. This approach uses the ChartMill High Growth Momentum Rating to find companies with increasing earnings and sales growth, growing profit margins, and positive analyst revisions, while also using the Technical and Setup Quality Ratings to make sure the stock is in a good uptrend and consolidating in a way that points to a coming breakout. By combining these fundamental and technical factors, investors can look for opportunities where good growth stories are matched by helpful price action.

High Growth Momentum Fundamentals

Newmont Corp. (NYSE:NEM) shows good growth metrics that fit well with the criteria looked for by momentum investors. The company’s earnings and revenue paths show important growth, supported by both recent performance and future estimates.

• EPS Growth (TTM): 129.58% year-over-year, showing large profitability improvement.
• Revenue Growth (TTM): 38.38% year-over-year, showing good top-line growth.
• Quarterly EPS Growth (Q2Q): Recent quarters show high growth rates, including 98.61% in the last quarter and 127.27% in the prior quarter, pointing out increasing earnings momentum.
• Free Cash Flow Growth: A very high 1700% increase over the past year, highlighting better cash generation abilities.
• Profit Margin Expansion: Quarterly profit margins have grown sequentially, from 20.02% three quarters ago to 38.76% in the most recent quarter, showing improving operational efficiency.

These fundamentals are important for high growth momentum strategies, as they focus on not only past performance but also the chance for continued future growth. The company’s ability to beat earnings estimates in three of the last four quarters, with an average beat of 20.05%, further supports positive momentum, while analyst revisions show upward changes for next year’s EPS estimates by 23.08%, showing increasing optimism.

Technical Strength and Setup Quality

From a technical point of view, Newmont Corp. shows very good strength, as detailed in the ChartMill Technical Report. The stock has a perfect Technical Rating of 10, showing a good uptrend across both short-term and long-term timeframes. Key technical points include:

• Trend Direction: Both short-term and long-term trends are positive, with the stock trading near its 52-week high.
• Relative Strength: Doing better than 88% of all stocks in the market, showing good momentum compared to the wider equity universe.
• Moving Averages: The stock is trading above all major moving averages (20, 50, 100, and 200-day SMAs), which are all going up, confirming the bullish trend.

The Setup Quality Rating of 7 suggests that the stock is consolidating in a helpful way, having recently formed a bull flag pattern. This pattern often comes before a continuation of the earlier uptrend, giving a possible entry point for investors. Lower volatility during this consolidation phase, along with a recent pocket pivot signal—showing accumulation—further backs the quality of the setup. The technical report lists clear support levels, with the nearest zone between $75.08 and $75.40, giving a well-defined risk management area.

Investment Implications

For high growth momentum investors, Newmont Corp. is a strong case where good fundamental growth meets a technically sound setup. The company’s very good earnings and revenue growth, margin expansion, and positive analyst sentiment match the main ideas of momentum investing, which looks for companies with increasing business dynamics. At the same time, the technical background gives a timely chance, as the stock’s consolidation within an uptrend suggests a possible breakout, letting investors take part in the next part of the advance.

This combination is especially useful in the current market environment, where the S&P 500 shows positive short-term and long-term trends, giving a helpful background for breakout setups in leading stocks. Investors using this strategy can use these matched signals to find opportunities where both growth and timing factors are positive.

Explore More Opportunities

For investors interested in finding similar high growth momentum stocks with technical breakout setups, more choices can be found using the High Growth Momentum Breakout Setups Screen. This screen filters for securities with good growth ratings, solid technical health, and high-quality setups, offering a selected list of possible investment opportunities.

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Disclaimer: This article is for informational purposes only and does not constitute investment advice. The analysis provided is based on available data and should not be interpreted as a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making investment decisions.