S&P/ASX 200 Index (ASX: XJO) gold mining giant Newmont Corp (ASX: NEM) has delivered some outsized gains already in 2025.
In afternoon trade today, Newmont shares are up 3.3%, changing hands for $80.91 apiece. This sees the Newmont share price up an impressive 34.3% year to date.
For some context, the ASX 200 is up 2.5% so far this calendar year.
Atop those share price gains, the ASX 200 gold stock also trades on a slender 0.7% unfranked trailing dividend yield.
The United States-based gold mining giant is still a relative newcomer to the ASX. Shares first began trading on the ASX in October 2023 after Newmont acquired Newcrest Mining.
Newmont shares have been an obvious beneficiary of the soaring gold price.
Gold kicked off 2025 trading for US$2,625 per ounce and is currently trading for US$3,301 per ounce, up 25.8% year to date.
But even without further gains in the gold price, Sequoia Wealth Management's Peter Day expects Newmont shares can keep marching higher into 2026 (courtesy of The Bull).
Here's why.
ASX 200 gold stock beating expectations
"This mining giant reported attributable gold production of 1.54 million ounces in the first quarter of fiscal year 2025 at an all-in-sustaining cost of US$1,651 an ounce," said Day, who has a buy recommendation on the ASX 200 gold miner.
Although Newmont's AISC was up 13% from the prior quarter, so too was the price it received for its gold. Newmont reported an average realised gold price for the three months to 31 March of US$2,944 per ounce, up 11%.
And that's helped Newmont to generate a record first-quarter free cash flow of $1.2 billion.
"Net cash of US$2.031 billion from operating activities of continuing operations beat expectations," Day said, citing the first reason to buy Newmont shares today.
As for the second reason, Day said, "NEM expects incremental improvements in production and costs during the remainder of fiscal year 2025."
Rounding off the reasons the ASX 200 gold stock could keep outperforming in the year ahead, Day said, "We see further upside in Newmont flowing from further share buybacks, and volume and cost improvements across gold and copper."
On track to meet full-year gold production guidance
With the strong quarter behind it, the ASX 200 gold miner reaffirmed its full-year 2025 production guidance.
"With these significant achievements and a solid start to the year, we remain firmly on track to meet our 2025 guidance," CEO Tom Palmer said on the day of the results release.
