Hochschild Mining (LON:HOC) Shares Down 14.2% - Here's Why

Key Points

• Hochschild Mining's shares plummeted by 14.2% during mid-day trading, with the stock trading as low as GBX 246.20 ($3.32).
• Despite the recent decline, several analysts maintain a positive outlook, with a consensus rating of "Moderate Buy" and a price target of GBX 322.50.
• The company, a significant player in underground precious metals production, has a debt-to-equity ratio of 61.86 and a P/E ratio of 56.14.

Shares of Hochschild Mining plc (LON:HOC - Get Free Report) fell 14.2% during trading on Wednesday . The stock traded as low as GBX 246.20 ($3.32) and last traded at GBX 262.74 ($3.55). 27,191,867 shares changed hands during mid-day trading, an increase of 824% from the average session volume of 2,942,821 shares. The stock had previously closed at GBX 306.40 ($4.14).

Analyst Upgrades and Downgrades

Several brokerages recently commented on HOC. JPMorgan Chase & Co. reduced their target price on Hochschild Mining from GBX 390 to GBX 370 and set an "overweight" rating for the company in a research report on Thursday. Berenberg Bank cut their price target on Hochschild Mining from GBX 300 to GBX 280 and set a "hold" rating for the company in a report on Thursday. Canaccord Genuity Group reaffirmed a "buy" rating and issued a GBX 365 price target on shares of Hochschild Mining in a report on Wednesday, August 27th. Finally, UBS Group reiterated a "buy" rating and issued a GBX 300 price objective on shares of Hochschild Mining in a research report on Friday, August 15th. Five analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of GBX 315.83.

Hochschild Mining Price Performance

The stock has a market cap of £1.54 billion, a P/E ratio of 1,578.95, a PEG ratio of 0.41 and a beta of 1.08. The company has a 50 day simple moving average of GBX 281.19 and a 200 day simple moving average of GBX 264.73. The company has a current ratio of 0.89, a quick ratio of 1.87 and a debt-to-equity ratio of 61.86.

Hochschild Mining Company Profile

We are a leading underground precious metals producer focusing on high grade silver and gold deposits, with over 50 years' operating experience in the Americas. We currently operate three underground mines, two located in southern Peru and one in southern Argentina. All of our underground operations are epithermal vein mines and the principal mining method used is cut and fill.