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Shareholders in Newmont Corporation (NYSE:NEM) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts greatly increased their revenue estimates, suggesting a stark improvement in business fundamentals.

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Following this upgrade, Newmont's twelve analysts are forecasting 2025 revenues to be US$20b, approximately in line with the last 12 months. Per-share earnings are expected to step up 11% to US$4.97. Prior to this update, the analysts had been forecasting revenues of US$18b and earnings per share (EPS) of US$3.49 in 2025. There has definitely been an improvement in perception recently, with the analysts substantially increasing both their earnings and revenue estimates.

View our latest analysis for Newmont

Although the analysts have upgraded their earnings estimates, there was no change to the consensus price target of US$62.94, suggesting that the forecast performance does not have a long term impact on the company's valuation.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that sales are expected to reverse, with a forecast 0.9% annualised revenue decline to the end of 2025. That is a notable change from historical growth of 9.3% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 4.3% per year. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Newmont is expected to lag the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts upgraded their earnings per share estimates for this year, expecting improving business conditions. Fortunately, they also upgraded their revenue estimates, and are forecasting revenues to grow slower than the wider market. The lack of change in the price target is puzzling, but with a serious upgrade to this year's earnings expectations, it might be time to take another look at Newmont.

Still, the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple Newmont analysts - going out to 2027, and you can see them free on our platform here.