Black Stone Minerals (NYSE:BSM) Reaches New 52-Week Low - Here's What Happened

Key Points

• Black Stone Minerals reached a new 52-week low of $11.78, prompting questions about its viability as an investment.
• Analysts have lowered their price target for BSM from $14.00 to $13.00, with a consensus rating of "Hold."
• The company recently cut its dividend, paying $0.30 per share, leading to a payout ratio of 103.45%, indicating potential financial strain.

Black Stone Minerals, L.P. (NYSE:BSM - Get Free Report)'s share price hit a new 52-week low during mid-day trading on Monday . The company traded as low as $11.78 and last traded at $11.82, with a volume of 277715 shares traded. The stock had previously closed at $11.95.

Wall Street Analysts Forecast Growth

Separately, Piper Sandler lowered their price target on Black Stone Minerals from $14.00 to $13.00 and set a "neutral" rating on the stock in a report on Thursday, August 14th. Two analysts have rated the stock with a Hold rating, According to MarketBeat, Black Stone Minerals presently has an average rating of "Hold" and a consensus price target of $13.00.

Black Stone Minerals Stock Down 0.4%

The company has a debt-to-equity ratio of 0.12, a current ratio of 3.22 and a quick ratio of 3.22. The firm has a market cap of $2.66 billion, a PE ratio of 10.81 and a beta of 0.29. The business has a fifty day moving average price of $12.43 and a two-hundred day moving average price of $13.52.

Black Stone Minerals (NYSE:BSM - Get Free Report) last issued its earnings results on Monday, August 4th. The oil and gas producer reported $0.53 EPS for the quarter, beating analysts' consensus estimates of $0.30 by $0.23. Black Stone Minerals had a return on equity of 39.67% and a net margin of 61.21%.The firm had revenue of $159.49 million for the quarter, compared to the consensus estimate of $112.19 million. On average, analysts anticipate that Black Stone Minerals, L.P. will post 1.36 EPS for the current fiscal year.

Black Stone Minerals Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, August 14th. Shareholders of record on Thursday, August 7th were paid a $0.30 dividend. The ex-dividend date was Thursday, August 7th. This represents a $1.20 dividend on an annualized basis and a yield of 9.6%. Black Stone Minerals's payout ratio is 103.45%.

Insider Buying and Selling

In other news, CEO Thomas L. Carter, Jr. bought 27,500 shares of the stock in a transaction on Friday, August 8th. The shares were purchased at an average price of $12.20 per share, for a total transaction of $335,500.00. Following the completion of the purchase, the chief executive officer directly owned 3,396,831 shares of the company's stock, valued at $41,441,338.20. This trade represents a 0.82% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders bought a total of 163,080 shares of company stock valued at $1,983,910 in the last quarter. Insiders own 17.80% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Northern Trust Corp purchased a new position in Black Stone Minerals in the fourth quarter valued at about $4,428,000. Penn Davis Mcfarland Inc. boosted its stake in shares of Black Stone Minerals by 16.3% during the 1st quarter. Penn Davis Mcfarland Inc. now owns 1,861,741 shares of the oil and gas producer's stock worth $28,429,000 after acquiring an additional 260,559 shares in the last quarter. State of Wyoming boosted its stake in shares of Black Stone Minerals by 370.4% during the 1st quarter. State of Wyoming now owns 34,491 shares of the oil and gas producer's stock worth $527,000 after acquiring an additional 27,158 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. bought a new stake in shares of Black Stone Minerals during the 4th quarter worth about $411,000. Finally, Alpha Wealth Funds LLC bought a new stake in shares of Black Stone Minerals during the 4th quarter worth about $359,000. Hedge funds and other institutional investors own 14.49% of the company's stock.

About Black Stone Minerals

Black Stone Minerals, L.P., together with its subsidiaries, owns and manages oil and natural gas mineral interests. It owns mineral interests in approximately 16.8 million gross acres, nonparticipating royalty interests in 1.8 million gross acres, and overriding royalty interests in 1.6 million gross acres located in 41 states in the United States.