Newmont (NEM) Still a "Buy" Says Goldman (GS)

Newmont Mining Corp. (NYSE:NEM) continues to be attractive in the eyes of Goldman Sachs (NYSE:GS), which said in a report Friday that they're maintaining their "Buy" rating on the giant miner.

Goldman Sachs wrote in a note to clients, "Despite inflationary headwinds in FY2010, Newmont reported net income of $2.3Bn (a 76% increase), and $3.2Bn of operating cash flow. Adjusted net income rose 39% from the previous year to $1.9Bn. Adjusted EPS of $3.85/sh was above the consensus estimate of $3.77/sh and our estimate of $3.54/sh. Gold operating margin increased by 30% to $737/oz, as realized gold price outpaced cost increase. The company ended the year with $5.6Bn in cash and marketable securities. Our Buy rating reflects our positive view of NEM's strong leverage to gold price and discount to its peer group."

Newmont was trading at $54.30, falling $0.46, or 0.84 percent, as of 2:46 PM EST. Goldman has a price target of $73.95 on Newmont.