Coeur Mining, a basic materials company listed on the New York Stock Exchange, recently released its quarterly earnings on May 10, 2023. Analysts eagerly awaited the results as the company’s performance has come under scrutiny in recent months. The report found that Coeur Mining reported earnings per share (EPS) of ($0.11) for the quarter, missing analyst consensus estimates by ($0.02).
In addition to an earnings per share shortfall, Coeur Mining posted revenue of $187.30 million for the quarter, slightly above the consensus estimate of $175.13 million. Despite this positive note, the company still faces challenges with a negative net margin of 14.08% and a negative return on equity of 12.34%.
The disappointing quarterly report caused a stir in the investment community, prompting some hedge funds and institutional investors to reassess their positions in Coeur Mining stock. One notable investor was Verition Fund Management LLC, which acquired a new equity stake in Coeur Mining in the third quarter of last year.
Other investors who increased or decreased their stake in Coeur Mining included Synovus Financial Corp and Point72 Middle East FZE. It is interesting to note that CI Private Wealth LLC and Townsquare Capital LLC both purchased new stakes in Coeur Mining in the fourth quarter.
In general, institutional investors and hedge funds together own 62.60% of Coeur Mining’s shares, a significant portion of its ownership structure.
Let’s move beyond ownership statistics and now analyze how these developments have affected the market value of Coeur Mining stock itself. On June 30, the opening price for Coeur Mining shares stood at $2.87 — levels that indicate uncertain market sentiment around the company’s performance.
The stock’s trading range over the past year has ranged from a low of $2.54 to a high of $4.55. This volatility further highlights the ambiguous outlook for Coeur Mining as investors grapple with their expectations for the stock.
When we examine Coeur Mining’s financial health, we see that the company has a debt-to-equity ratio of 0.49, indicating that it has a relatively balanced capital structure. Meanwhile, the current ratio stands at 1.27, implying it has enough short-term assets to cover its liabilities. However, the quick ratio of 0.59 suggests that Coeur Mining may face challenges in meeting immediate financial obligations.
In addition, investors should take note of Coeur Mining’s 50-day moving average price of $3.21 and its 200-day moving average price of $3.44. These numbers indicate that the stock’s performance has been somewhat volatile in recent months.
In conclusion, the May 10 release of Coeur Mining’s quarterly earnings prompted mixed reactions within the investment community due to missed EPS estimates and conflicting revenue numbers. Hedge funds and institutional investors responded by increasing or decreasing their stake in the company.
Market sentiment around Coeur Mining remains uncertain, as evidenced by the stock’s opening price on June 30 at $2.87, a level close to its annual low. While some investors believe this presents an opportunity for potential growth, caution is advised given the recent volatility.
In addition, evaluating Coeur Mining’s financial health provides insight into its capital structure and ability to meet its obligations, but also highlights areas where improvements may be needed. As always, potential investors should thoroughly research and consult financial professionals before making any investment decisions regarding Coeur Mining stock.
Coeur Mining, Inc.
Updated on: 30/06/2023
Date: June 30, 2023
Reviews from analysts
|Analyst / firm||Judgement|
|BMO Capital||To buy|
Analysts offer insights and divergent views on Coeur Mining’s performance and potential
Coeur Mining, Inc. (NYSE:CDE) was recently analyzed by investment analysts at National Bank Financial, who have released their earnings per share (EPS) estimates for the company for FY2023. According to National Bank financial analyst M. Parkin, Coeur Mining is expected to post earnings per share of $0.10 this year.
The materials company has a consensus estimate for its current full-year earnings at $0.14 per share. With this projection in mind, National Bank Financial Coeur Mining has given Coeur Mining an “Outperform” rating and set a $4.25 price target for the stock.
These insights from National Bank Financial come after other analysts also weighed in on Coeur Mining’s performance. Raymond James recently lowered their target price on the stock from $4.25 to $4.00 and gave it a “market performance” rating in their research report published May 16.
National Bankshares, on the other hand, set a target price of $4.25 with an “outperform” rating for Coeur Mining in a research report published on June 27. Finally, StockNews.com started reporting on Coeur Mining and gave it a “sell” rating in their May 18 research note.
Because of this divergent opinion among analysts, Coeur Mining currently has an average rating of “Hold” according to Bloomberg.com, with an average price target of $3.79.
In terms of recent news about Coeur Mining, Chief Operating Officer Michael Routledge made headlines when he bought 8,000 shares of the company’s stock in a transaction that took place on May 24. The shares were acquired at an average cost of $3.16 per share for a total value of $25,280.
As a result of this acquisition, Routledge now owns 301,782 shares of Coeur Mining’s stock, valued at approximately $953,631.12. This acquisition was disclosed in a legal filing with the Securities and Exchange Commission (SEC) and further information can be found at the link provided.
In addition, in the past three months, company insiders have acquired a total of 16,600 shares of Coeur Mining’s stock, with a total value of $51,080. This indicates that 1.74% of the company’s shares are currently held by insiders.
With these financial projections and recent developments in mind, investors are advised to closely monitor Coeur Mining’s performance in the coming months. As conflicting views on the stock remain among analysts, it remains to be seen whether the company will manage to meet its earnings expectations for FY2023 and beyond.
In addition to National Bank Financial’s recommendations, investors may want to consider other research reports to better understand Coeur Mining’s growth potential and profitability going forward.