Vale (NYSE:VALE) Stock Rating Lowered by Zacks Research

Key Points

• Zacks Research downgraded Vale from “hold” to “strong sell,” adding to mixed analyst sentiment. MarketBeat reports a consensus “hold” rating and an average price target of $15.75.
• Vale shares opened at $13.01, below their 50-day and 200-day moving averages of $14.22 and $15.22, respectively, and were trading down 0.8%.
• The company’s latest quarterly results fell short of expectations, with adjusted earnings of $0.36 per share versus a $0.46 consensus estimate and revenue of $10.24 billion versus $10.47 billion expected.

Vale (NYSE:VALE - Get Free Report) was downgraded by equities researchers at Zacks Research from a "hold" rating to a "strong sell" rating in a report issued on Monday, Zacks reports.

A number of other analysts also recently commented on VALE. Wall Street Zen downgraded Vale from a "buy" rating to a "hold" rating in a research note on Saturday, July 18th. Deutsche Bank Aktiengesellschaft set a $15.00 target price on Vale in a report on Friday. Weiss Ratings reiterated a "hold (c)" rating on shares of Vale in a research report on Friday, October 2nd. Bank of America reissued a "neutral" rating and issued a $16.00 price target (down from $18.00) on shares of Vale in a report on Wednesday, August 5th. Finally, Sanford C. Bernstein boosted their price target on Vale from $12.00 to $12.50 and gave the company a "market perform" rating in a report on Wednesday, September 9th. Three research analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $15.75.

Vale Trading Down 0.8%

NYSE VALE opened at $13.01 on Monday. The company has a market capitalization of $59.03 billion, a PE ratio of 26.54 and a beta of 0.42. The company has a fifty day moving average of $14.22 and a 200 day moving average of $15.22. Vale has a 1 year low of $11.23 and a 1 year high of $17.94. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.19 and a quick ratio of 0.77.

Vale (NYSE:VALE - Get Free Report) last posted its quarterly earnings results on Thursday, July 30th. The basic materials company reported $0.36 EPS for the quarter, missing the consensus estimate of $0.46 by ($0.10). The business had revenue of $10.24 billion during the quarter, compared to analysts' expectations of $10.47 billion. Vale had a net margin of 5.11% and a return on equity of 19.87%. Research analysts forecast that Vale will post 1.70 earnings per share for the current year.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of VALE. Ramsey Quantitative Systems acquired a new position in Vale in the 2nd quarter valued at $56,000. V Square Quantitative Management LLC purchased a new position in Vale in the 1st quarter valued at $83,000. Quartz Partners LLC acquired a new stake in Vale during the 1st quarter worth $161,000. Keybank National Association OH acquired a new stake in Vale during the 1st quarter worth $162,000. Finally, HB Wealth Management LLC acquired a new stake in Vale during the 1st quarter worth $168,000. Institutional investors and hedge funds own 21.85% of the company's stock.

About Vale

Vale SA is a Brazil-based global mining and logistics company best known for producing iron ore and iron ore pellets, key raw materials used in steelmaking. The company also produces nickel, copper, manganese ore, coal and other mineral products, with operations spanning exploration, extraction, processing and transportation.

Vale operates an extensive logistics network that includes railways, ports and maritime transportation systems, primarily supporting the movement of minerals from its production sites to domestic and international customers.

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