Why is the Newcrest share price fizzling out on Friday?

A man wearing 70s clothing and a big gold chain around his neck looks a little bit unsure.A man wearing 70s clothing and a big gold chain around his neck looks a little bit unsure.

The Newcrest Mining Ltd (ASX: NCM) share price is ending the week in the red despite no news having been released by the company today.

The stock is currently down 3.29%, trading at $22.35.

That’s compared to the S&P/ASX 200 index (ASX: XJO)’s 0.65% gain at the time of writing.

So, what’s going so wrong for the gold mining giant today? Let’s take a look.

What’s going wrong for this ASX 200 gold miner today?

The Newcrest share price is taking a dive alongside many of the market’s mining giants today. Its slump also comes amid reports shareholders are concerned as to who might take the top job at the company.

The S&P/ASX 200 Materials Index (ASX: XMJ) is the ASX 200’s worst-performing sector today. It’s trading 1.48% lower right now, with gold stocks among its biggest weights.

Shares in Ramelius Resources Limited (ASX: RMS) are leading the sector’s fall, dropping 6.9%.

Stock in the likes of Regis Resources Ltd (ASX: RRL) and Gold Road Resources Ltd (ASX: GOR) aren’t far behind, tumbling 6.5% and 6.1% at the time of writing.

It’s likely no surprise, then, that the yellow metal had a rough night’s trade.

Gold futures fell 0.6% to US$1,930.80 an ounce, while the spot gold price was around US$1,912 at the US close.

Meanwhile, particular attention might be on Newcrest shares amid reports shareholders are urging the company to hire outside its own talent pool in its quest for a new CEO.

The $20 billion gold miner’s former-CEO Sandeep Biswas retired in December, with chief financial officer Sherry Duhe stepping up to the role of interim CEO as the company underwent an internal and external search for a permanent leader.

However, key stakeholders are urging the company not to permanently appoint Duhe – who has extensive experience in finance – to the role, The Australian reported last night. Rather, they’re said to be asking the company to hire an external candidate with a background in operations.

Newcrest share price snapshot

Despite today’s tumble, the Newcrest share price is still trading in line with the ASX 200 year to date. The stock has risen 8% since the start of 2023, while the index has lifted 8.9%.

However, it has underperformed over the last 12 months, rising 0.4% compared to the ASX 200’s 6.8% gain.

The post Why is the Newcrest share price fizzling out on Friday? appeared first on The Motley Fool Australia.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now…

See The 5 Stocks
*Returns as of February 1 2023

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);

More reading

Motley Fool contributor Brooke Cooper 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.

from The Motley Fool Australia https://ift.tt/XE3eWbz

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s