Newmont stock faces higher 2027 costs as silver output falls

Newmont faces a more demanding cost outlook for 2027 as lower silver output at the Penasquito mine threatens to reduce by-product credits. A Yahoo Finance analysis published Friday, November 13, said management expects Penasquito silver production to be roughly 30 percent below 2026 levels in 2027 because of planned mine sequencing.

The lower silver contribution matters because Newmont produces silver and copper alongside gold. By-product credits reduce the cost attributed to each ounce of gold, so weaker co-product volumes could push unit costs higher even if gold prices remain supportive.

Cost relief meets a 2027 risk

Newmont expects its 2026 all-in sustaining cost to be about 1,520 US dollars per ounce, roughly 10 percent below the guidance issued at the start of the year. The company cited stronger prices for copper, silver and other co-products, together with cost discipline, as factors behind the improvement.

The near-term picture is less favorable. Management expects fourth-quarter all-in sustaining costs of about 1,900 US dollars per ounce, partly because Penasquito silver output is expected to fall to about half its third-quarter level. The next major cost update is expected with Newmont's February 2027 results.

Cash returns remain in focus

The Yahoo Finance analysis said Newmont returned about 1.9 billion US dollars through dividends and share buybacks between its second- and third-quarter calls. It also reported third-quarter free cash flow of 1.91 billion US dollars, up from 1.57 billion US dollars a year earlier.

Newmont stock traded at 102.16 euros on Lang & Schwarz at 16:34 CET on Friday, November 13. The quote gives investors a current market reference while the main debate shifts toward the balance between strong cash generation, gold prices and rising operating costs.

Investors are also watching the broader market backdrop through Current market reports.

More news and analyses are available on Newmont stock.