Kinross Gold (NYSE:KGC) Trading 10.4% Higher - Here's What Happened

Key Points

• Kinross Gold shares surged 10.4% to about $29.95 in Wednesday trading, with roughly 3.65 million shares changing hands.
• The company exceeded quarterly EPS expectations, reporting $0.71 versus the $0.66 consensus, while revenue rose 29.5% year over year to $2.22 billion.
• Analysts maintain a “Moderate Buy” consensus with an average price target of $38.43; Kinross also declared a quarterly dividend of $0.04 per share, equating to a 0.5% yield.

Kinross Gold Corporation (NYSE:KGC - Get Free Report) TSE: K's share price traded up 10.4% during trading on Wednesday . The company traded as high as $29.80 and last traded at $29.9460. Approximately 3,654,313 shares changed hands during mid-day trading, a decline of 62% from the average session volume of 9,564,883 shares. The stock had previously closed at $27.12.

Wall Street Analyst Weigh In

Several research firms recently weighed in on KGC. Wall Street Zen lowered Kinross Gold from a "buy" rating to a "hold" rating in a report on Saturday, August 1st. UBS Group dropped their price objective on shares of Kinross Gold from $38.00 to $30.00 and set a "buy" rating for the company in a research note on Tuesday, June 30th. Scotiabank cut their price objective on shares of Kinross Gold from $45.00 to $41.00 and set a "sector outperform" rating on the stock in a research report on Tuesday, July 14th. ATB Cormark Capital Markets raised shares of Kinross Gold from a "hold" rating to a "moderate buy" rating in a research note on Friday, July 31st. Finally, Weiss Ratings lowered shares of Kinross Gold from a "buy (b)" rating to a "buy (b-)" rating in a report on Tuesday, July 28th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $38.43.

Kinross Gold Stock Performance

The company has a debt-to-equity ratio of 0.08, a current ratio of 2.89 and a quick ratio of 1.95. The stock has a market capitalization of $34.91 billion, a PE ratio of 11.16, a P/E/G ratio of 0.73 and a beta of 0.78. The firm has a fifty day moving average price of $24.85 and a two-hundred day moving average price of $29.14.

Kinross Gold (NYSE:KGC - Get Free Report) TSE: K last posted its quarterly earnings data on Wednesday, July 29th. The mining company reported $0.71 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.66 by $0.05. Kinross Gold had a return on equity of 34.00% and a net margin of 37.52%.The company had revenue of $2.22 billion during the quarter, compared to analysts' expectations of $2.24 billion. During the same quarter in the previous year, the business earned $0.44 EPS. Kinross Gold's revenue was up 29.5% compared to the same quarter last year. Research analysts expect that Kinross Gold Corporation will post 2.63 EPS for the current year.

Kinross Gold Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Thursday, August 20th will be issued a $0.04 dividend. The ex-dividend date is Thursday, August 20th. This represents a $0.16 dividend on an annualized basis and a dividend yield of 0.5%. Kinross Gold's dividend payout ratio is presently 6.06%.

Institutional Investors Weigh In On Kinross Gold

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its position in shares of Kinross Gold by 0.3% during the fourth quarter. Vanguard Group Inc. now owns 50,887,386 shares of the mining company's stock worth $1,433,345,000 after acquiring an additional 148,845 shares during the period. Boston Partners increased its holdings in Kinross Gold by 1.6% during the 3rd quarter. Boston Partners now owns 45,120,345 shares of the mining company's stock worth $1,133,463,000 after purchasing an additional 707,498 shares during the period. FIL Ltd increased its holdings in Kinross Gold by 4.8% during the 4th quarter. FIL Ltd now owns 29,146,959 shares of the mining company's stock worth $820,969,000 after purchasing an additional 1,326,833 shares during the period. Renaissance Technologies LLC raised its position in Kinross Gold by 2.3% during the 1st quarter. Renaissance Technologies LLC now owns 25,546,413 shares of the mining company's stock valued at $779,677,000 after purchasing an additional 571,100 shares in the last quarter. Finally, Norges Bank purchased a new stake in shares of Kinross Gold in the 4th quarter worth $518,656,000. Institutional investors own 63.69% of the company's stock.

About Kinross Gold

Kinross Gold Corporation NYSE: KGC is a Toronto-based precious metals mining company primarily focused on the exploration, development and production of gold, with silver recovered as a by-product at some operations. The company's activities span the full mining lifecycle, including discovery and resource delineation, mine construction and operation, ore processing, and eventual site reclamation and closure. Kinross sells refined gold produced at its processing facilities and manages associated logistics and processing arrangements to deliver metal to market.

Kinross operates a portfolio of producing mines and development projects across multiple regions, with a significant presence in the Americas and West Africa.

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