DRDGOLD (NYSE:DRD) Shares Down 8.7% - Here's Why

Key Points

• DRDGOLD shares fell by 8.7% during mid-day trading, declining to $28.93 from a previous close of $31.68, amid a decrease in trading volume.
• Despite the stock's decline, analysts maintain a positive outlook, with consensus ratings of "Buy" and an average price target of $36.25.
• The company recently raised its annual dividend to $0.2269 per share, reflecting a significant yield increase to 202% from the prior dividend of $0.16.

DRDGOLD Limited (NYSE:DRD - Get Free Report) shares were down 8.7% during mid-day trading on Friday . The company traded as low as $29.08 and last traded at $28.93. Approximately 374,873 shares traded hands during trading, a decline of 30% from the average daily volume of 532,888 shares. The stock had previously closed at $31.68.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on DRD shares. Weiss Ratings reissued a "buy (b)" rating on shares of DRDGOLD in a research report on Wednesday, October 8th. Wall Street Zen downgraded shares of DRDGOLD from a "strong-buy" rating to a "buy" rating in a research report on Sunday, August 17th. HC Wainwright increased their price objective on shares of DRDGOLD to $36.25 and gave the company a "buy" rating in a research report on Friday. Finally, Zacks Research raised shares of DRDGOLD from a "hold" rating to a "strong-buy" rating in a research report on Monday, August 25th. One analyst has rated the stock with a Strong Buy rating and two have issued a Buy rating to the company. According to data from MarketBeat.com, DRDGOLD has a consensus rating of "Buy" and an average price target of $36.25.

DRDGOLD Stock Down 11.6%

The business's 50 day moving average is $22.67 and its 200-day moving average is $17.37. The firm has a market cap of $2.42 billion, a P/E ratio of 22.11 and a beta of 0.36.

DRDGOLD Increases Dividend

The company also recently disclosed an annual dividend, which was paid on Monday, September 22nd. Investors of record on Friday, September 12th were paid a dividend of $0.2269 per share. This represents a yield of 202.0%. This is a boost from DRDGOLD's previous annual dividend of $0.16. The ex-dividend date was Friday, September 12th. DRDGOLD's dividend payout ratio (DPR) is 29.37%.

Hedge Funds Weigh In On DRDGOLD

Several large investors have recently added to or reduced their stakes in the company. Rockefeller Capital Management L.P. bought a new stake in DRDGOLD in the second quarter valued at $2,505,000. U S Global Investors Inc. bought a new stake in DRDGOLD in the first quarter valued at $2,150,000. Acadian Asset Management LLC bought a new stake in DRDGOLD in the first quarter valued at $2,055,000. Arrowstreet Capital Limited Partnership increased its holdings in shares of DRDGOLD by 75.0% during the second quarter. Arrowstreet Capital Limited Partnership now owns 291,249 shares of the basic materials company's stock valued at $3,882,000 after purchasing an additional 124,831 shares during the period. Finally, AQR Capital Management LLC acquired a new position in shares of DRDGOLD during the first quarter valued at $1,759,000. 14.70% of the stock is currently owned by institutional investors.

About DRDGOLD

DRDGOLD Limited, a gold mining company, engages in the surface gold tailings retreatment business in South Africa. It also involved in the exploration, extraction, processing, and smelting activities. The company recovers gold from surface tailings in the Witwatersrand basin in Gauteng province. DRDGOLD Limited was formerly known as Durban Roodepoort Deep Limited and changed its name to DRDGOLD Limited in 2004.

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