Kawa Capital Management Inc Sells 400,000 Shares of Vale S.A. $VALE

Key Points

• Kawa Capital Management Inc has reduced its stake in Vale S.A. by 40%, selling 400,000 shares and now holding 600,000 shares, which represent 13.5% of their holdings.
• Several institutional investors have recently acquired stakes in Vale, with notable increases in holdings by Golden State Wealth Management LLC and Allworth Financial LP.
• Vale's most recent earnings report showed earnings per share of $0.50, beating estimates, and the company also announced a semi-annual dividend yielding approximately 740.0%.

Kawa Capital Management Inc trimmed its stake in shares of Vale S.A. (NYSE:VALE - Free Report) by 40.0% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 600,000 shares of the basic materials company's stock after selling 400,000 shares during the period. Vale comprises 13.5% of Kawa Capital Management Inc's holdings, making the stock its 4th largest position. Kawa Capital Management Inc's holdings in Vale were worth $6,054,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors also recently bought and sold shares of VALE. Banque Transatlantique SA acquired a new stake in Vale in the first quarter valued at approximately $30,000. J.Safra Asset Management Corp acquired a new stake in Vale in the first quarter valued at approximately $41,000. Golden State Wealth Management LLC grew its holdings in Vale by 193.0% in the first quarter. Golden State Wealth Management LLC now owns 4,119 shares of the basic materials company's stock valued at $41,000 after purchasing an additional 2,713 shares during the period. Capital Analysts LLC acquired a new stake in Vale in the first quarter valued at approximately $51,000. Finally, Allworth Financial LP grew its holdings in Vale by 233.7% in the first quarter. Allworth Financial LP now owns 5,440 shares of the basic materials company's stock valued at $53,000 after purchasing an additional 3,810 shares during the period. 21.85% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several brokerages have commented on VALE. UBS Group reissued a "neutral" rating and issued a $10.00 price objective (up from $9.00) on shares of Vale in a report on Monday, August 4th. Clarkson Capital began coverage on Vale in a report on Wednesday, September 3rd. They issued a "buy" rating and a $12.00 price objective on the stock. Zacks Research lowered Vale from a "hold" rating to a "strong sell" rating in a report on Tuesday. JPMorgan Chase & Co. dropped their price objective on Vale from $15.00 to $13.50 and set an "overweight" rating on the stock in a report on Thursday, September 4th. Finally, Barclays raised their price objective on Vale from $12.75 to $13.00 and gave the company an "overweight" rating in a report on Wednesday, July 2nd. Six investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $11.71.

Vale Stock Performance

NYSE VALE opened at $10.63 on Friday. The company has a market cap of $48.25 billion, a PE ratio of 8.64 and a beta of 0.79. The stock's 50 day simple moving average is $10.05 and its 200-day simple moving average is $9.70. Vale S.A. has a 1-year low of $8.06 and a 1-year high of $12.05. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.22 and a quick ratio of 0.85.

Vale (NYSE:VALE - Get Free Report) last released its earnings results on Thursday, July 31st. The basic materials company reported $0.50 earnings per share for the quarter, beating the consensus estimate of $0.34 by $0.16. The business had revenue of $8.80 billion for the quarter, compared to the consensus estimate of $9.54 billion. Vale had a return on equity of 18.14% and a net margin of 14.23%. As a group, equities research analysts anticipate that Vale S.A. will post 1.85 EPS for the current fiscal year.

Vale Cuts Dividend

The company also recently announced a semi-annual dividend, which was paid on Wednesday, September 10th. Stockholders of record on Wednesday, August 13th were given a $0.3417 dividend. This represents a dividend yield of 740.0%. The ex-dividend date was Wednesday, August 13th. Vale's dividend payout ratio (DPR) is 59.35%.

About Vale

Vale SA, together with its subsidiaries, produces and sells iron ore and iron ore pellets for use as raw materials in steelmaking in Brazil and internationally. The company operates through Iron Solutions and Energy Transition Materials segments. The Iron Solutions segment produces and extracts iron ore and pellets, manganese, and other ferrous products; and provides related logistic services.

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