Novagold Resources (NYSEAMERICAN:NG) Hits New 52-Week High - Here's Why

Key Points

• Novagold Resources shares reached a 12-month high of $6.22 during trading, reflecting a significant rise in investor interest.
• Multiple analysts have issued positive ratings for Novagold, with a consensus target price of $7.00 reflecting a potential upside.
• Insider activity has shown confidence, with Director Hume D. Kyle increasing his holdings by 80.98% through a substantial purchase of shares.

Novagold Resources Inc. (NYSEAMERICAN:NG - Get Free Report) TSE: NG's stock price hit a new 52-week high on Monday . The company traded as high as $6.20 and last traded at $6.22, with a volume of 14017 shares trading hands. The stock had previously closed at $6.09.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. Citigroup assumed coverage on Novagold Resources in a report on Wednesday, July 16th. They set a "buy" rating and a $7.00 price objective for the company. Royal Bank Of Canada raised shares of Novagold Resources from a "sector perform" rating to an "outperform" rating and lifted their price target for the company from $5.00 to $7.00 in a report on Wednesday, June 4th. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and one has issued a Hold rating to the company's stock. According to data from MarketBeat, Novagold Resources has a consensus rating of "Buy" and an average target price of $7.00.

Novagold Resources Stock Performance

The firm has a market cap of $2.78 billion, a price-to-earnings ratio of -28.50 and a beta of 0.70. The company has a quick ratio of 76.72, a current ratio of 76.72 and a debt-to-equity ratio of 0.96. The stock has a 50 day moving average of $5.32 and a 200 day moving average of $4.07.

Insider Activity at Novagold Resources

In other news, Director Hume D. Kyle purchased 10,000 shares of Novagold Resources stock in a transaction dated Monday, June 30th. The shares were bought at an average cost of $4.10 per share, for a total transaction of $41,000.00. Following the completion of the acquisition, the director owned 22,348 shares in the company, valued at approximately $91,626.80. This trade represents a 80.98% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders own 2.88% of the company's stock.

Hedge Funds Weigh In On Novagold Resources

A number of hedge funds have recently made changes to their positions in NG. Robertson Stephens Wealth Management LLC boosted its holdings in Novagold Resources by 0.7% in the second quarter. Robertson Stephens Wealth Management LLC now owns 289,101 shares of the mining company's stock valued at $1,182,000 after acquiring an additional 1,868 shares during the last quarter. CWM LLC lifted its position in shares of Novagold Resources by 20.3% in the 2nd quarter. CWM LLC now owns 12,688 shares of the mining company's stock worth $52,000 after purchasing an additional 2,137 shares during the period. Principal Financial Group Inc. boosted its stake in shares of Novagold Resources by 21.0% in the 1st quarter. Principal Financial Group Inc. now owns 16,415 shares of the mining company's stock valued at $48,000 after purchasing an additional 2,848 shares during the last quarter. Investment Management Corp of Ontario increased its position in shares of Novagold Resources by 18.6% during the second quarter. Investment Management Corp of Ontario now owns 18,489 shares of the mining company's stock worth $76,000 after buying an additional 2,900 shares during the period. Finally, Mackenzie Financial Corp increased its position in shares of Novagold Resources by 2.8% during the fourth quarter. Mackenzie Financial Corp now owns 144,463 shares of the mining company's stock worth $483,000 after buying an additional 3,871 shares during the period. 57.56% of the stock is currently owned by institutional investors.

About Novagold Resources

NovaGold Resources Inc explores for and develops gold mineral properties in the United States. Its principal asset is the Donlin Gold project consisting of 493 mining claims covering an area of approximately 29,008 hectares located in the Kuskokwim region of southwestern Alaska. The company was formerly known as NovaCan Mining Resources (1985) Limited and changed its name to NovaGold Resources Inc in March 1987.