Company name Newmont Mining Corp
Stock ticker NEM
Live stock price [stckqut]NEM[/stckqut]
Confident Investor Rating Poor

The following company description is from Google Finance: http://www.google.com/finance?q=nem

Newmont Mining Corporation is primarily a gold producer with operations and/or assets in the United States, Australia, Peru, Indonesia, Ghana, New Zealand and Mexico. As of December 31, 2012, Newmont had attributable and probable gold reserves of 99.2 million ounces and an aggregate land position of approximately 29,000 square miles (75,000 square kilometers). Newmont is also engaged in the production of copper, principally through Batu Hijau in Indonesia and Boddington in Australia. Its operating segments include North America, South America, Asia Pacific and Africa. In February 2014, Klondex Mines Ltd closed the acquisition of the Midas mine and related ore milling facility located in the State of Nevada from a subsidiary of Newmont Mining Corp. In May 2014, the Company sold its 5.4% holding in Paladin. In July 2014, Northern Star Resources Limited completed the acquisition of the Jundee Gold Mine from Newmont Mining Corporation.

Confident Investor comments: At this price and at this time, I do not think that a Confident Investor can confidently invest in Newmont Mining Corp. It is not possible to confidently invest in a company that is not currently profitable.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.

Company name NVIDIA Corporation
Stock ticker NVDA
Live stock price [stckqut]NVDA[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Fair
Sales growth Poor
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $25.79
Target stock price (averages with growth) $21.93
Target stock price (averages with no growth) $11
Target stock price (manual assumptions) $21.63

The following company description is from Google Finance: http://www.google.com/finance?q=nvda

NVIDIA Corporation (NVIDIA) is engaged in creating the graphics chips used in personal computers (PCs). The Company operates in three segments: graphics processing unit (GPU) Business, professional solutions business (PSB) and consumer products business (CPB). Its mobile processors are used in cell phones, tablets and auto infotainment systems. Designers use GPUs to create visual effects in movies and create everything from golf clubs to jumbo jets. NVIDIA solutions are based on two technologies: the GPU and the mobile processor. GPUs are the engines of visual computing, the science and art of using computers to understand, create and enhance images. It has three GPU product brands: GeForce, Quadro and Tesla. During the fiscal year ended January 29, 2012 (fiscal 2012), it acquired Icera Inc. In fiscal 2012, it launched Project Maximus. Effective July 29, 2013, NVIDIA Corp acquired Portland Group Inc, a wholesaler of parallel computing software, from STMicroelectronics NV.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in NVIDIA Corporation as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of NVIDIA Corporation calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $21.06
  • Growth: 0.1
  • Current EPS (TTM): $1.03
  • P/E: 21
  • Future EPS Calc: $1.65
  • Future Stock Price Calc: $34.83
  • Target stock price: $21.63

I hope that this makes you a better investor. [/s2If]