Ferroglobe (NASDAQ:GSM) Issues Quarterly Earnings Results

Key Points

• Quarterly results: Ferroglobe reported EPS of ($0.07) which matched estimates while revenue of $347.8 million beat the $341.5 million consensus, but the company remains unprofitable with a negative ROE (-8.65%) and net margin (-12.78%).
• Dividend boost: The firm raised its quarterly dividend to $0.015 (annualized $0.06) for a ~1.3% yield despite a negative payout ratio (-6.52%).
• Insiders buying and market view: Two insiders each bought 26,000 shares at $3.86, increasing ownership, while the stock opened at $4.78 (market cap ~$892M) and holds a consensus analyst rating of "Hold" with a $6.00 average target.

Ferroglobe (NASDAQ:GSM - Get Free Report) announced its quarterly earnings results on Tuesday. The basic materials company reported ($0.07) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.07), FiscalAI reports. The business had revenue of $347.75 million for the quarter, compared to analyst estimates of $341.50 million. Ferroglobe had a negative return on equity of 8.65% and a negative net margin of 12.78%.

Ferroglobe Stock Up 1.9%

Shares of NASDAQ:GSM opened at $4.78 on Wednesday. The company has a market capitalization of $892.09 million, a PE ratio of -5.20 and a beta of 1.03. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.66 and a quick ratio of 0.97. The business has a fifty day moving average price of $4.48 and a two-hundred day moving average price of $4.63. Ferroglobe has a 1 year low of $3.04 and a 1 year high of $5.74.

Ferroglobe Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, March 30th. Shareholders of record on Monday, March 23rd were paid a $0.015 dividend. This is a boost from Ferroglobe's previous quarterly dividend of $0.01. The ex-dividend date was Monday, March 23rd. This represents a $0.06 dividend on an annualized basis and a yield of 1.3%. Ferroglobe's dividend payout ratio is currently -6.52%.

Analyst Upgrades and Downgrades

GSM has been the topic of a number of research reports. Zacks Research raised Ferroglobe from a "strong sell" rating to a "hold" rating in a research report on Monday, January 12th. Weiss Ratings reissued a "sell (d)" rating on shares of Ferroglobe in a research report on Thursday, January 22nd. Finally, Wall Street Zen upgraded shares of Ferroglobe from a "sell" rating to a "hold" rating in a research note on Saturday, February 21st. One analyst has rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and an average price target of $6.00.

Insider Buying and Selling at Ferroglobe

In related news, Director De Fuentes Silvia Villar-Mir purchased 26,000 shares of the business's stock in a transaction that occurred on Monday, March 23rd. The shares were bought at an average cost of $3.86 per share, with a total value of $100,360.00. Following the acquisition, the director owned 121,226 shares of the company's stock, valued at $467,932.36. This represents a 27.30% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Chairman Madrid Javier Lopez purchased 26,000 shares of Ferroglobe stock in a transaction that occurred on Monday, March 23rd. The shares were bought at an average price of $3.86 per share, with a total value of $100,360.00. Following the transaction, the chairman owned 147,200 shares of the company's stock, valued at $568,192. This trade represents a 21.45% increase in their position. The SEC filing for this purchase provides additional information. Company insiders own 13.07% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. California State Teachers Retirement System bought a new position in shares of Ferroglobe during the 2nd quarter valued at approximately $27,000. BNP Paribas Financial Markets increased its stake in shares of Ferroglobe by 1,017,300.0% during the 2nd quarter. BNP Paribas Financial Markets now owns 10,174 shares of the basic materials company's stock worth $37,000 after purchasing an additional 10,173 shares during the last quarter. Quadrant Capital Group LLC raised its holdings in shares of Ferroglobe by 66.1% in the 4th quarter. Quadrant Capital Group LLC now owns 7,902 shares of the basic materials company's stock worth $37,000 after purchasing an additional 3,146 shares during the period. Prudential Financial Inc. bought a new stake in shares of Ferroglobe in the 2nd quarter worth approximately $51,000. Finally, Coldstream Capital Management Inc. bought a new stake in shares of Ferroglobe in the 3rd quarter worth approximately $52,000. 89.64% of the stock is currently owned by hedge funds and other institutional investors.

Ferroglobe Company Profile

Ferroglobe PLC is a leading producer of specialty metals and alloys, serving a diverse range of industrial customers worldwide. The company's core operations focus on the manufacture of silicon metal, silicon-based alloys, manganese-based alloys and rare earth alloys, which are essential inputs for the aluminum, steel, chemical and electronics industries. Ferroglobe's product portfolio includes high-purity silicon, ferrosilicon, silicon manganese, manganese alloys and various recarburizers used to enhance metal strength, durability and conductivity.

With production facilities located across North America, Europe, South America and Africa, Ferroglobe maintains a global footprint that allows it to supply customers on multiple continents.