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The Newcrest share price tumbled 8% in July. What went wrong?

We check what’s been happening with the global gold and copper miner.
The post The Newcrest share price tumbled 8% in July. What went wrong? appeared first on The Motley Fool Australia. –

The Newcrest Mining Ltd (ASX: NCM) share price had a tough month in July.

The gold miner’s share price fell 7.61% between market close on 30 June and 29 July. For perspective, the S&P/ASX 200 Index (ASX: XJO) lifted nearly 6% over the same time.

Let’s take a look at how the month of July played out for Newcrest mining.

How did the month go?

Newcrest is a global gold and copper producer with assets in Australia, Canada, and Papua New Guinea.

The Newcrest share price slid 11.3% between market close on 30 June and 19 July before recovering slightly.

The spot gold price has fallen 2.5% from US$1807.30 an ounce at close on 30 June to US$1762.90 at close on 29 July, CNBC data shows. Gold plunged to a monthly low of US$1700 an ounce on 20 July before recovering.

The copper price also dropped 3.5% in July, according to Trading Economics data.

On 21 July, Newcrest released its quarterly exploration report for the three months ending 30 June.

The company achieved its gold production guidance for the 2022 financial year while copper production was 3% lower than its guidance. However, gold production was 31% higher than in the March quarter.

Commenting on the results, Newcrest CEO Sandeep Biswas said:

Newcrest delivered a strong fourth quarter to achieve our group gold production for the year. Over the last four quarters we have steadily increased our gold and copper production, driving lower group All-In Sustaining Costs and delivering a record breaking annual cost performance at Cadia.

We were particularly pleased to record a fourth consecutive quarter of lower group costs during this challenging inflationary environment.

Share price snapshot

The Newcrest share price has lost nearly 28% in a year and 21% year to date.

For perspective, the S&P/ASX 200 Index has lost more than 7% in a year.

Newcrest has a market capitalisation of about $17 billion based on the current share price.

The post The Newcrest share price tumbled 8% in July. What went wrong? appeared first on The Motley Fool Australia.

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More reading

5 things to watch on the ASX 200 on Monday
Inflation is on the rise, so why isn’t the gold price?
5 things to watch on the ASX 200 on Friday
Here are the 3 most heavily traded ASX 200 shares on Wednesday
What’s the outlook for Newcrest Mining shares in FY23?

Motley Fool contributor Monica O’Shea has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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