Morgan Stanley Sees Mixed Factors for Newmont Mining Corp.

In a report published Wednesday, Morgan Stanley analyst Paretosh Misra reiterated an Equal-Weight rating and $27.00 price target on

. In the report, Morgan Stanley noted, “We think NEM needs to spend $2-3 bn in growth capex in 2015-18 to maintain its production rate. If volumes fall, some de-rating is a risk. M&A is a possibility, but options are limited by low FCF & high debt. For gold, stronger US macro is the biggest risk, while inflation could provide a boost.” Newmont Mining Corp. closed on Tuesday at $22.82.