Centerra Gold (NYSE:CGAU) Reaches New 52-Week High - Should You Buy?

Key Points

• Centerra Gold Inc. (NYSE:CGAU) reached a new 52-week high of $8.82, reflecting a strong market performance with a volume of 22,034 shares traded.
• Analysts have given Centerra Gold a consensus rating of "Moderate Buy" with an average price target of $13.00, following several upgrades and downgrades from various investment firms.
• The company announced a quarterly dividend of $0.07 per share, which represents an annualized yield of 3.2% and a payout ratio of 60.61%.

Centerra Gold Inc. (NYSE:CGAU - Get Free Report)'s share price hit a new 52-week high during mid-day trading on Monday . The company traded as high as $8.82 and last traded at $8.82, with a volume of 22034 shares traded. The stock had previously closed at $8.64.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on the company. Cibc World Mkts raised Centerra Gold from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, May 27th. CIBC reaffirmed an "outperform" rating on shares of Centerra Gold in a research report on Tuesday, July 15th. Royal Bank Of Canada lowered Centerra Gold from an "outperform" rating to a "sector perform" rating and boosted their target price for the stock from $13.00 to $14.00 in a research report on Wednesday. Wall Street Zen raised Centerra Gold from a "hold" rating to a "buy" rating in a research report on Saturday, August 9th. Finally, BMO Capital Markets lowered Centerra Gold from a "strong-buy" rating to a "hold" rating in a research report on Friday, August 8th. Two research analysts have rated the stock with a Strong Buy rating, four have given a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, Centerra Gold has a consensus rating of "Moderate Buy" and a consensus price target of $13.33.

Centerra Gold Stock Up 0.6%

The stock has a market capitalization of $1.87 billion, a price-to-earnings ratio of 27.96, a price-to-earnings-growth ratio of 0.69 and a beta of 0.82. The firm has a 50-day moving average of $7.59 and a two-hundred day moving average of $6.96.

Centerra Gold (NYSE:CGAU - Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The company reported $0.25 earnings per share for the quarter, beating the consensus estimate of $0.17 by $0.08. The firm had revenue of $288.30 million for the quarter, compared to analyst estimates of $319.42 million. Centerra Gold had a return on equity of 9.12% and a net margin of 6.21%. As a group, sell-side analysts predict that Centerra Gold Inc. will post 0.59 EPS for the current year.

Centerra Gold Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, September 4th. Shareholders of record on Thursday, August 21st were given a $0.07 dividend. This represents a $0.28 annualized dividend and a yield of 3.0%. The ex-dividend date of this dividend was Thursday, August 21st. Centerra Gold's dividend payout ratio is presently 60.61%.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of CGAU. Goldman Sachs Group Inc. increased its position in Centerra Gold by 57.2% in the 1st quarter. Goldman Sachs Group Inc. now owns 13,344,727 shares of the company's stock worth $84,739,000 after purchasing an additional 4,853,494 shares during the last quarter. Nuveen LLC acquired a new position in Centerra Gold in the 1st quarter worth about $14,634,000. Acadian Asset Management LLC increased its position in Centerra Gold by 26.2% in the 2nd quarter. Acadian Asset Management LLC now owns 8,494,055 shares of the company's stock worth $61,027,000 after purchasing an additional 1,761,904 shares during the last quarter. Waratah Capital Advisors Ltd. increased its position in Centerra Gold by 29.9% in the 2nd quarter. Waratah Capital Advisors Ltd. now owns 6,678,897 shares of the company's stock worth $48,155,000 after purchasing an additional 1,537,692 shares during the last quarter. Finally, Pale Fire Capital SE increased its position in Centerra Gold by 52.6% in the 1st quarter. Pale Fire Capital SE now owns 3,467,298 shares of the company's stock worth $22,017,000 after purchasing an additional 1,194,500 shares during the last quarter. 55.40% of the stock is owned by institutional investors and hedge funds.

Centerra Gold Company Profile

Centerra Gold Inc, a gold mining company, engages in the acquisition, exploration, development, and operation of gold and copper properties in North America, Turkey, and internationally. The company explores for gold, copper, and molybdenum deposits. Its flagship projects are the 100% owned Mount Milligan gold-copper mine located in British Columbia, Canada; and the Öksüt gold mine located in Turkey.