Is it Still Safe to Invest in Newmont Corporation (NEM)?

First Eagle Investment Management, an investment management firm, published its third-quarter 2021 investor letter – a copy of which can be downloaded here. A net return of -1.93% was delivered by its Global Fund for the third quarter of 2021. The Global Fund underperformed the MSCI World Index in the period. You can take a look at the fund’s top 5 holdings to have an idea about their best picks for 2021.

First Eagle Investment Management, in its Q3 2021 investor letter, mentioned Newmont Corporation (NYSE: NEM) and discussed its stance on the firm. Newmont Corporation is a Denver, Colorado-based gold mining company with a $44.2 billion market capitalization.  NEM delivered a -7.38% return since the beginning of the year, while its 12-month returns are up by -4.00%. The stock closed at $55.47 per share on November 25, 2021.

Here is what First Eagle Investment Management has to say about Newmont Corporation  in its Q3 2021 investor letter:

“The largest gold miner in the world, Newmont shares lost ground in what was a volatile and ultimately down quarter for the price of gold. The Colorado-based company has continued to execute well in what has been a challenging environment. The company recently reaffirmed its full-year 2021 production guidance, but indicated that it was likely to come in at the mid to low point of the range provided as a result of disruptions from Covid-19 as well as severe weather events. It also noted that inflation pressures were likely to push its costs higher in 2021. None of this changes our opinion of the stock, which has historically offered steady production anchored in good jurisdictions, a good pipeline of organic projects, a strong balance sheet and proven management.”

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Based on our calculations, Newmont Corporation (NYSE: NEM) was not able to clinch a spot in our list of the 30 Most Popular Stocks Among Hedge Funds. NEM was in 48 hedge fund portfolios at the end of the third quarter of 2021, compared to 55 funds in the previous quarter. Newmont Corporation (NYSE: NEM) delivered a -2.05% return in the past 3 months.

Disclosure: None. This article is originally published at Insider Monkey.