IAMGOLD (NYSE:IAG) Shares Gap Down on Disappointing Earnings

IAMGOLD Co. (NYSE:IAG) (TSE:IMG) gapped down prior to trading on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $6.31, but opened at $5.90. IAMGOLD shares last traded at $5.77, with a volume of 5,186,018 shares changing hands.

The mining company reported $0.10 EPS for the quarter, missing analysts’ consensus estimates of $0.15 by ($0.05). The business had revenue of $469.90 million for the quarter, compared to the consensus estimate of $498.68 million. IAMGOLD had a net margin of 49.56% and a return on equity of 10.01%.

Analyst Ratings Changes

IAG has been the subject of several recent analyst reports. Cibc World Mkts upgraded shares of IAMGOLD from a “hold” rating to a “strong-buy” rating in a research note on Monday, December 2nd. Raymond James upgraded shares of IAMGOLD from a “strong sell” rating to a “hold” rating in a research note on Monday, February 3rd. CIBC upgraded shares of IAMGOLD from a “neutral” rating to a “sector outperform” rating in a research note on Monday, December 2nd. Finally, StockNews.com upgraded shares of IAMGOLD from a “hold” rating to a “buy” rating in a research note on Thursday, February 6th. Three equities research analysts have rated the stock with a hold rating, six have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $6.57.

Institutional Investors Weigh In On IAMGOLD

Several institutional investors have recently added to or reduced their stakes in IAG. Allspring Global Investments Holdings LLC lifted its holdings in shares of IAMGOLD by 1,973.8% in the third quarter. Allspring Global Investments Holdings LLC now owns 1,012,000 shares of the mining company’s stock worth $5,311,000 after buying an additional 963,200 shares in the last quarter. Eastern Bank bought a new position in shares of IAMGOLD in the third quarter valued at approximately $30,000. International Assets Investment Management LLC bought a new position in shares of IAMGOLD in the third quarter valued at approximately $700,000. Leuthold Group LLC bought a new position in shares of IAMGOLD in the third quarter valued at approximately $2,951,000. Finally, Semanteon Capital Management LP bought a new position in shares of IAMGOLD in the third quarter valued at approximately $503,000. 47.08% of the stock is owned by hedge funds and other institutional investors.

IAMGOLD Price Performance

The business’s 50-day moving average price is $5.76 and its 200 day moving average price is $5.39. The company has a quick ratio of 0.61, a current ratio of 0.89 and a debt-to-equity ratio of 0.24. The company has a market capitalization of $3.28 billion, a P/E ratio of 4.49 and a beta of 1.56.

About IAMGOLD

IAMGOLD Corporation, through its subsidiaries, operates as an intermediate gold producer and developer in Canada and Burkina Faso. It owns 100% interest in the Westwood project that covers an area of 1,925 hectare and located in Quebec; a 60% interest in the Côté gold project, which covers an area of 596 square kilometer located in Ontario, Canada; and a 90% interests in the Essakane project that covers an area of 274,000 square kilometer situated in Burkina Faso.