Black Stone Minerals (NYSE:BSM) Sets New 12-Month Low - Time to Sell?

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) hit a new 52-week low on Monday . The stock traded as low as $11.78 and last traded at $11.82, with a volume of 277715 shares trading hands. The stock had previously closed at $11.95.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on BSM. Piper Sandler decreased their price target on shares of Black Stone Minerals from $14.00 to $13.00 and set a "neutral" rating for the company in a research note on Thursday, August 14th. Wall Street Zen lowered shares of Black Stone Minerals from a "buy" rating to a "hold" rating in a research report on Thursday, May 15th. Two equities research analysts have rated the stock with a Hold rating, According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $13.00.

Black Stone Minerals Stock Performance

The firm's 50-day moving average is $12.51 and its 200 day moving average is $13.60. The stock has a market cap of $2.51 billion, a PE ratio of 10.19 and a beta of 0.29. The company has a debt-to-equity ratio of 0.12, a quick ratio of 3.22 and a current ratio of 3.22.

Black Stone Minerals (NYSE:BSM - Get Free Report) last announced its quarterly earnings data on Monday, August 4th. The oil and gas producer reported $0.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.30 by $0.23. Black Stone Minerals had a net margin of 61.21% and a return on equity of 39.67%. The company had revenue of $159.49 million for the quarter, compared to analysts' expectations of $112.19 million. As a group, research analysts anticipate that Black Stone Minerals, L.P. will post 1.36 EPS for the current 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 issued a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a yield of 10.1%. The ex-dividend date was Thursday, August 7th. Black Stone Minerals's dividend payout ratio is 103.45%.

Insider Transactions at Black Stone Minerals

In related news, CEO Thomas L. Carter, Jr. acquired 27,500 shares of the business's stock in a transaction dated Friday, August 8th. The shares were acquired at an average cost of $12.20 per share, for a total transaction of $335,500.00. Following the acquisition, the chief executive officer directly owned 3,396,831 shares in the company, valued at approximately $41,441,338.20. The trade was a 0.82% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. In the last 90 days, insiders have bought 122,410 shares of company stock valued at $1,484,992. 17.80% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Black Stone Minerals

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

Black Stone Minerals Company Profile

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.

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