Fortuna Mining (NYSE:FSM) Stock Price Down 11.7% After Earnings Miss

Key Points

• Fortuna Mining Corp. stock fell 11.7% after reporting earnings of $0.14 per share, which missed analysts' expectations of $0.22.
• The company's revenue for the quarter was $230.42 million, exceeding the consensus estimate of $220 million, indicating strong sales performance despite the earnings miss.
• Fortuna has seen a mix of analyst ratings, with one upgrade to a strong-buy and an average target price of $8.00, amidst recent trading volatility.

Fortuna Mining Corp. (NYSE:FSM - Get Free Report) TSE: FVI dropped 11.7% during mid-day trading on Thursday following a dissappointing earnings announcement. The stock traded as low as $6.35 and last traded at $6.25. Approximately 4,276,829 shares traded hands during mid-day trading, a decline of 71% from the average daily volume of 14,848,791 shares. The stock had previously closed at $7.07.

The basic materials company reported $0.14 EPS for the quarter, missing analysts' consensus estimates of $0.22 by ($0.08). The business had revenue of $230.42 million during the quarter, compared to analysts' expectations of $220.00 million. Fortuna Mining had a return on equity of 12.74% and a net margin of 14.36%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the company. National Bankshares reaffirmed a "sector perform" rating on shares of Fortuna Mining in a research report on Tuesday, June 24th. CIBC lifted their price objective on Fortuna Mining from $7.00 to $8.00 and gave the company an "underperformer" rating in a report on Tuesday, July 15th. BMO Capital Markets reiterated an "outperform" rating on shares of Fortuna Mining in a research note on Friday. Scotiabank upped their target price on Fortuna Mining from $7.50 to $8.00 and gave the company a "sector perform" rating in a research report on Wednesday, August 6th. Finally, Wall Street Zen cut Fortuna Mining from a "strong-buy" rating to a "hold" rating in a research note on Saturday. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and one has given a buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $8.00.

Institutional Investors Weigh In On Fortuna Mining

A number of institutional investors have recently modified their holdings of the business. Sumitomo Mitsui Trust Group Inc. acquired a new stake in shares of Fortuna Mining in the first quarter valued at approximately $445,000. Cambridge Investment Research Advisors Inc. grew its position in Fortuna Mining by 16.9% during the first quarter. Cambridge Investment Research Advisors Inc. now owns 73,951 shares of the basic materials company's stock valued at $451,000 after purchasing an additional 10,690 shares in the last quarter. Bank of America Corp DE boosted its holdings in shares of Fortuna Mining by 15.4% during the 4th quarter. Bank of America Corp DE now owns 927,264 shares of the basic materials company's stock worth $3,978,000 after buying an additional 123,720 shares during the period. Legal & General Group Plc raised its stake in shares of Fortuna Mining by 10.0% in the 4th quarter. Legal & General Group Plc now owns 863,406 shares of the basic materials company's stock valued at $3,704,000 after buying an additional 78,284 shares in the last quarter. Finally, Nuveen Asset Management LLC grew its holdings in Fortuna Mining by 29.0% during the 4th quarter. Nuveen Asset Management LLC now owns 303,857 shares of the basic materials company's stock worth $1,304,000 after acquiring an additional 68,350 shares during the last quarter. 33.80% of the stock is currently owned by institutional investors and hedge funds.

Fortuna Mining Stock Up 1.1%

The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.15 and a current ratio of 2.71. The firm's fifty day simple moving average is $6.70 and its 200 day simple moving average is $5.93. The stock has a market capitalization of $2.05 billion, a price-to-earnings ratio of 13.31 and a beta of 0.85.

About Fortuna Mining

Fortuna Mining Corp. engages in the precious and base metal mining in Argentina, Burkina Faso, Mexico, Peru, and Côte d'Ivoire. It operates through Mansfield, Sanu, Sango, Cuzcatlan, Bateas, and Corporate segments. The company primarily explores for silver, lead, zinc, and gold. Its flagship project is the Séguéla gold mine, which consists of approximately 62,000 hectares and is located in the Worodougou Region of the Woroba District, Côte d'Ivoire.