Insider Buying: Gold.com (NYSE:GOLD) Major Shareholder Buys 530,338 Shares of Stock

Key Points

• Tether Global Investments Fund bought 530,338 shares of Gold.com at $44.50 each on May 5, spending roughly $23.6 million and increasing its direct stake to 3,370,787 shares (an 18.67% rise) valued at about $150 million.
• Gold.com's board approved a share buyback on April 8 that permits repurchases equal to roughly 7.9% of outstanding stock via open-market purchases, a signal the board may view the shares as undervalued.
• The company recently reported $0.91 EPS (above estimates), pays a quarterly dividend of $0.20 (ex-dividend May 20, ~1.8% yield), and trades with a high P/E of ~92.6 and a market cap near $1.1 billion.

Gold.com Inc. (NYSE:GOLD - Get Free Report) major shareholder Tether Global Investments Fund bought 530,338 shares of the business's stock in a transaction on Tuesday, May 5th. The shares were acquired at an average cost of $44.50 per share, for a total transaction of $23,600,041.00. Following the purchase, the insider directly owned 3,370,787 shares in the company, valued at $150,000,021.50. This represents a 18.67% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Major shareholders that own 10% or more of a company's stock are required to disclose their sales and purchases with the SEC.

Gold.com Price Performance

Shares of NYSE GOLD traded up $0.42 during mid-day trading on Thursday, reaching $43.52. 907,505 shares of the company traded hands, compared to its average volume of 733,668. Gold.com Inc. has a fifty-two week low of $19.39 and a fifty-two week high of $66.70. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.66 and a current ratio of 1.21. The firm has a market capitalization of $1.10 billion, a price-to-earnings ratio of 92.60 and a beta of 0.55. The company has a fifty day moving average of $46.87.

Gold.com (NYSE:GOLD - Get Free Report) last issued its quarterly earnings results on Thursday, February 5th. The company reported $0.91 EPS for the quarter, topping the consensus estimate of $0.70 by $0.21. Gold.com had a net margin of 0.08% and a return on equity of 7.56%. The firm had revenue of $6.48 billion for the quarter, compared to analysts' expectations of $3.41 billion. As a group, analysts predict that Gold.com Inc. will post 4.34 EPS for the current fiscal year.

Gold.com announced that its board has initiated a share buyback plan on Wednesday, April 8th that permits the company to buyback 2,000,000,000,000 outstanding shares. This buyback authorization permits the company to reacquire up to 7.9% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's board of directors believes its shares are undervalued.

Gold.com Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 1st. Shareholders of record on Wednesday, May 20th will be issued a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a yield of 1.8%. The ex-dividend date is Wednesday, May 20th. Gold.com's payout ratio is presently 170.21%.

Analysts Set New Price Targets

GOLD has been the subject of a number of research analyst reports. Zacks Research lowered Gold.com from a "strong-buy" rating to a "hold" rating in a report on Tuesday, April 7th. Northland Securities raised Gold.com from a "market perform" rating to an "outperform" rating and set a $57.00 price target on the stock in a research report on Friday, February 6th. Roth Mkm set a $52.00 price objective on Gold.com in a research report on Thursday. DA Davidson reaffirmed a "buy" rating and set a $60.00 target price on shares of Gold.com in a research note on Tuesday, April 28th. Finally, Weiss Ratings upgraded Gold.com from a "hold (c-)" rating to a "hold (c)" rating in a report on Wednesday. Three research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $56.33.

Hedge Funds Weigh In On Gold.com

Several hedge funds have recently bought and sold shares of GOLD. CWM LLC bought a new stake in shares of Gold.com during the 4th quarter worth $35,000. Larson Financial Group LLC bought a new position in Gold.com in the 4th quarter worth $41,000. Caitong International Asset Management Co. Ltd acquired a new position in Gold.com during the 4th quarter worth $42,000. State of Alaska Department of Revenue bought a new stake in Gold.com during the fourth quarter valued at about $44,000. Finally, New York State Teachers Retirement System bought a new stake in Gold.com during the fourth quarter valued at about $55,000. 62.85% of the stock is owned by institutional investors and hedge funds.

Gold.com Company Profile

A-Mark Precious Metals, Inc, together with its subsidiaries, operates as a precious metals trading company. It operates in three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The Wholesale Sales & Ancillary Services segment sells gold, silver, platinum, and palladium in the form of bars, plates, powders, wafers, grains, ingots, and coins. This segment also offers various ancillary services, including financing, storage, consignment, logistics, and various customized financial programs; and designs and produces minted silver products.

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