Ping Capital Management Inc. Buys 51,800 Shares of Vale S.A. $VALE

Key Points

• Ping Capital Management Inc. significantly increased its stake in Vale S.A. by 76.2%, acquiring an additional 51,800 shares, bringing its total holdings to 119,800 shares valued at approximately $1.16 million.
• Vale reported a quarterly EPS of $0.50, surpassing analysts' expectations, while revenues were $8.80 billion, below the anticipated $9.54 billion.
• A recent dividend payout was announced at $0.3417 per share, representing a yield of 740.0% despite a noted dividend payout ratio of 59.35%.

Ping Capital Management Inc. raised its stake in shares of Vale S.A. (NYSE:VALE - Free Report) by 76.2% in the 2nd quarter, according to its most recent disclosure with the SEC. The firm owned 119,800 shares of the basic materials company's stock after purchasing an additional 51,800 shares during the period. Ping Capital Management Inc.'s holdings in Vale were worth $1,163,000 as of its most recent SEC filing.

Several other hedge funds have also bought and sold shares of the stock. GQG Partners LLC bought a new stake in Vale during the first quarter valued at about $371,778,000. Orbis Allan Gray Ltd grew its holdings in Vale by 165.9% during the first quarter. Orbis Allan Gray Ltd now owns 31,257,989 shares of the basic materials company's stock valued at $311,955,000 after purchasing an additional 19,500,437 shares during the period. Massachusetts Financial Services Co. MA grew its holdings in Vale by 38.0% during the first quarter. Massachusetts Financial Services Co. MA now owns 15,932,405 shares of the basic materials company's stock valued at $159,005,000 after purchasing an additional 4,389,959 shares during the period. Robeco Institutional Asset Management B.V. grew its holdings in Vale by 24.8% during the second quarter. Robeco Institutional Asset Management B.V. now owns 12,050,646 shares of the basic materials company's stock valued at $117,012,000 after purchasing an additional 2,393,157 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. grew its holdings in Vale by 15.6% during the first quarter. Connor Clark & Lunn Investment Management Ltd. now owns 11,523,471 shares of the basic materials company's stock valued at $115,004,000 after purchasing an additional 1,557,799 shares during the period. Institutional investors own 21.85% of the company's stock.

Vale Price Performance

Shares of Vale stock opened at $11.02 on Friday. The stock has a 50 day moving average of $10.31 and a 200 day moving average of $9.83. Vale S.A. has a 12 month low of $8.06 and a 12 month high of $11.68. The firm has a market cap of $50.00 billion, a PE ratio of 8.96 and a beta of 0.80. The company has a current ratio of 1.22, a quick ratio of 0.85 and a debt-to-equity ratio of 0.48.

Vale (NYSE:VALE - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The basic materials company reported $0.50 EPS for the quarter, beating analysts' consensus estimates of $0.34 by $0.16. Vale had a return on equity of 18.14% and a net margin of 14.23%.The company had revenue of $8.80 billion during the quarter, compared to analyst estimates of $9.54 billion. On average, research analysts expect that Vale S.A. will post 1.85 EPS for the current fiscal year.

Vale Cuts Dividend

The business also recently disclosed a semi-annual dividend, which was paid on Wednesday, September 10th. Shareholders of record on Wednesday, August 13th were given a dividend of $0.3417 per share. The ex-dividend date was Wednesday, August 13th. This represents a yield of 740.0%. Vale's dividend payout ratio is 59.35%.

Wall Street Analyst Weigh In

Several analysts have issued reports on VALE shares. Zacks Research lowered Vale from a "hold" rating to a "strong sell" rating in a report on Tuesday, September 9th. UBS Group reaffirmed a "neutral" rating and issued a $10.00 price objective (up previously from $9.00) on shares of Vale in a research note on Monday, August 4th. Barclays upped their price objective on Vale from $13.50 to $13.70 and gave the stock an "overweight" rating in a research note on Thursday, September 18th. JPMorgan Chase & Co. dropped their price objective on Vale from $15.00 to $13.50 and set an "overweight" rating for the company in a research note on Thursday, September 4th. Finally, Scotiabank raised Vale from a "sector perform" rating to a "sector outperform" rating and set a $14.00 price objective for the company in a research note on Thursday, September 18th. Seven research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Vale presently has an average rating of "Moderate Buy" and an average target price of $11.93.

Vale Company Profile

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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