Alamos Gold (NYSE:AGI) Shares Gap Down - Here's Why

Key Points

• Alamos Gold Inc. (NYSE:AGI) gapped down from $35.22 to $32.55 before settling at $31.82, with over 1.2 million shares traded.
• Various analysts have mixed opinions on Alamos Gold, with some maintaining an "outperform" rating while Wall Street Zen downgraded it to "hold," but the overall sentiment is still a "Buy" with an average target price of $35.33.
• The company reported strong quarterly earnings, with $0.34 EPS and revenues of $438.2 million, surpassing analyst expectations.

Alamos Gold Inc. (NYSE:AGI - Get Free Report) TSE: AGI gapped down before the market opened on Tuesday . The stock had previously closed at $35.22, but opened at $32.55. Alamos Gold shares last traded at $31.82, with a volume of 1,202,102 shares changing hands.

Analysts Set New Price Targets

A number of brokerages recently weighed in on AGI. BMO Capital Markets reissued an "outperform" rating on shares of Alamos Gold in a report on Tuesday, September 16th. CIBC reaffirmed an "outperform" rating on shares of Alamos Gold in a research note on Tuesday, July 15th. Wall Street Zen lowered Alamos Gold from a "buy" rating to a "hold" rating in a research report on Friday, October 3rd. National Bankshares restated an "outperform" rating on shares of Alamos Gold in a research report on Tuesday, August 5th. Finally, Weiss Ratings reissued a "buy (b)" rating on shares of Alamos Gold in a report on Wednesday, October 8th. Three research analysts have rated the stock with a Strong Buy rating and eight have given a Buy rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Buy" and an average price target of $35.33.

Alamos Gold Stock Performance

The stock has a market capitalization of $13.23 billion, a P/E ratio of 37.87, a P/E/G ratio of 0.55 and a beta of 0.50. The company has a quick ratio of 1.00, a current ratio of 1.49 and a debt-to-equity ratio of 0.07. The business has a fifty day moving average price of $31.78 and a 200-day moving average price of $28.38.

Alamos Gold (NYSE:AGI - Get Free Report) TSE: AGI last issued its quarterly earnings results on Wednesday, July 30th. The basic materials company reported $0.34 EPS for the quarter, topping analysts' consensus estimates of $0.33 by $0.01. The business had revenue of $438.20 million during the quarter, compared to analysts' expectations of $400.61 million. Alamos Gold had a return on equity of 10.67% and a net margin of 22.99%.The business's quarterly revenue was up 31.7% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.24 earnings per share. On average, sell-side analysts expect that Alamos Gold Inc. will post 1.29 EPS for the current year.

Alamos Gold Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, September 25th. Stockholders of record on Thursday, September 11th were issued a $0.025 dividend. The ex-dividend date was Thursday, September 11th. This represents a $0.10 dividend on an annualized basis and a dividend yield of 0.3%. Alamos Gold's payout ratio is 12.05%.

Institutional Investors Weigh In On Alamos Gold

A number of institutional investors and hedge funds have recently modified their holdings of the business. Ninety One UK Ltd raised its position in Alamos Gold by 4.1% during the 3rd quarter. Ninety One UK Ltd now owns 2,259,568 shares of the basic materials company's stock valued at $78,778,000 after purchasing an additional 88,504 shares in the last quarter. Allspring Global Investments Holdings LLC grew its stake in Alamos Gold by 29.7% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 1,468,980 shares of the basic materials company's stock valued at $51,192,000 after purchasing an additional 336,200 shares during the last quarter. Merit Financial Group LLC purchased a new stake in Alamos Gold during the 3rd quarter valued at about $266,000. Generate Investment Management Ltd boosted its stake in shares of Alamos Gold by 191.3% in the third quarter. Generate Investment Management Ltd now owns 1,050,000 shares of the basic materials company's stock worth $36,603,000 after buying an additional 689,536 shares during the last quarter. Finally, Blue Trust Inc. boosted its stake in shares of Alamos Gold by 3,168.4% in the third quarter. Blue Trust Inc. now owns 14,283 shares of the basic materials company's stock worth $498,000 after buying an additional 13,846 shares during the last quarter. 64.33% of the stock is owned by institutional investors.

Alamos Gold Company Profile

Alamos Gold Inc engages in the acquisition, exploration, development, and extraction of precious metals in Canada and Mexico. The company primarily explores for gold deposits. It holds 100% interest in the Young-Davidson mine and Island Gold mine located in the Ontario, Canada; Mulatos mine located in the Sonora, Mexico; and Lynn Lake project situated in the Manitoba, Canada.

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