A-Mark Precious Metals (NASDAQ:AMRK) Shares Gap Down - Should You Sell?

Key Points

• A-Mark Precious Metals shares gapped down significantly from $24.45 to $22.01 before stabilizing at $23.01, with a high trading volume of 128,330 shares.
• Analysts have mixed perspectives on the stock, with one brokerage upgrading it to a "hold" and another maintaining a "buy" rating with a price target of $29.00.
• The company recently declared a quarterly dividend of $0.20, which indicates a 3.5% dividend yield, and has a current dividend payout ratio of 54.05%.

Shares of A-Mark Precious Metals, Inc. (NASDAQ:AMRK - Get Free Report) gapped down before the market opened on Wednesday . The stock had previously closed at $24.45, but opened at $22.01. A-Mark Precious Metals shares last traded at $23.01, with a volume of 128,330 shares trading hands.

Analyst Upgrades and Downgrades

Several equities analysts have commented on the stock. Zacks Research upgraded shares of A-Mark Precious Metals from a "hold" rating to a "strong-buy" rating in a research report on Thursday. Roth Capital upgraded shares of A-Mark Precious Metals to a "strong-buy" rating in a research report on Wednesday, September 10th. Finally, DA Davidson reiterated a "buy" rating and set a $29.00 price objective on shares of A-Mark Precious Metals in a research report on Wednesday, September 10th. Two equities research analysts have rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Buy" and a consensus price target of $33.00.

A-Mark Precious Metals Stock Up 0.4%

The company has a market cap of $667.34 million, a PE ratio of 39.28 and a beta of 0.16. The company's 50 day moving average is $22.96 and its 200 day moving average is $23.29. The company has a current ratio of 1.56, a quick ratio of 0.42 and a debt-to-equity ratio of 0.50.

A-Mark Precious Metals (NASDAQ:AMRK - Get Free Report) last posted its quarterly earnings results on Tuesday, September 9th. The company reported $0.76 EPS for the quarter, topping the consensus estimate of $0.57 by $0.19. The company had revenue of $2.51 billion for the quarter, compared to the consensus estimate of $2.91 billion. A-Mark Precious Metals had a net margin of 0.16% and a return on equity of 7.77%. During the same quarter last year, the firm posted $0.76 EPS. As a group, analysts predict that A-Mark Precious Metals, Inc. will post 2.11 earnings per share for the current fiscal year.

A-Mark Precious Metals Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, August 1st. Investors of record on Friday, July 18th were paid a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 3.0%. The ex-dividend date of this dividend was Friday, July 18th. A-Mark Precious Metals's dividend payout ratio (DPR) is currently 115.94%.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. Teacher Retirement System of Texas increased its position in A-Mark Precious Metals by 6.7% during the 1st quarter. Teacher Retirement System of Texas now owns 57,344 shares of the company's stock valued at $1,455,000 after purchasing an additional 3,582 shares during the period. New York State Teachers Retirement System purchased a new position in A-Mark Precious Metals during the 1st quarter valued at about $41,000. Raymond James Financial Inc. increased its position in A-Mark Precious Metals by 2,692.0% during the 1st quarter. Raymond James Financial Inc. now owns 241,177 shares of the company's stock valued at $6,119,000 after purchasing an additional 232,539 shares during the period. Ameriprise Financial Inc. purchased a new position in A-Mark Precious Metals during the 4th quarter valued at about $5,059,000. Finally, Deutsche Bank AG increased its position in A-Mark Precious Metals by 95.9% during the 4th quarter. Deutsche Bank AG now owns 65,717 shares of the company's stock valued at $1,801,000 after purchasing an additional 32,176 shares during the period. Hedge funds and other institutional investors own 75.25% of the company's stock.

About A-Mark Precious Metals

A-Mark Precious Metals, Inc, together with its subsidiaries, operates as a precious metals trading company. It operates through three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The Wholesale Sales & Ancillary Services segment sells gold, silver, platinum, and palladium in the form of bars, plates, powders, wafers, grains, ingots, and coins.