Teck Resources Ltd (NYSE:TECK) Sees Large Decline in Short Interest

Key Points

• Short interest fell 42.7% to 7.53 million shares as of August 31, representing about 1.6% of Teck Resources’ outstanding shares and 2.4 days to cover.
• Teck reported strong quarterly results, with EPS of $1.35 exceeding estimates of $0.95 and revenue rising 78.2% year over year to $2.54 billion. The stock recently traded at $64.20, down 0.7%.
• Institutional investors own 78.06% of the company, while analysts maintain a consensus “Hold” rating with a $62.25 target price. Teck also declared a quarterly dividend of $0.125 per share, yielding approximately 0.8% annually.

Teck Resources Ltd (NYSE:TECK - Get Free Report) TSE: TECK saw a significant decrease in short interest in August. As of August 31st, there was short interest totaling 7,530,763 shares, a decrease of 42.7% from the August 15th total of 13,136,384 shares. Based on an average daily volume of 3,108,390 shares, the days-to-cover ratio is presently 2.4 days. Approximately 1.6% of the company's shares are short sold.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the company. Geneos Wealth Management Inc. boosted its stake in Teck Resources by 117.4% in the 1st quarter. Geneos Wealth Management Inc. now owns 561 shares of the basic materials company's stock worth $29,000 after purchasing an additional 303 shares during the period. Welch Group LLC raised its stake in Teck Resources by 6.2% during the 1st quarter. Welch Group LLC now owns 6,266 shares of the basic materials company's stock valued at $324,000 after purchasing an additional 367 shares during the period. 44 Wealth Management LLC lifted its holdings in shares of Teck Resources by 1.3% in the fourth quarter. 44 Wealth Management LLC now owns 31,488 shares of the basic materials company's stock valued at $1,508,000 after purchasing an additional 411 shares in the last quarter. Blue Trust Inc. lifted its holdings in shares of Teck Resources by 411.8% in the first quarter. Blue Trust Inc. now owns 563 shares of the basic materials company's stock valued at $29,000 after purchasing an additional 453 shares in the last quarter. Finally, Elevation Point Wealth Partners LLC lifted its holdings in shares of Teck Resources by 8.9% in the first quarter. Elevation Point Wealth Partners LLC now owns 5,720 shares of the basic materials company's stock valued at $296,000 after purchasing an additional 466 shares in the last quarter. Institutional investors own 78.06% of the company's stock.

Teck Resources Stock Down 0.7%

Shares of NYSE:TECK traded down $0.45 on Wednesday, reaching $64.20. The company had a trading volume of 2,024,881 shares, compared to its average volume of 3,658,823. The firm has a market capitalization of $31.01 billion, a PE ratio of 17.40, a PEG ratio of 2.06 and a beta of 0.94. The company has a current ratio of 3.12, a quick ratio of 2.33 and a debt-to-equity ratio of 0.12. Teck Resources has a 52-week low of $38.00 and a 52-week high of $72.56. The firm's 50 day simple moving average is $63.96 and its 200-day simple moving average is $60.40.

Teck Resources (NYSE:TECK - Get Free Report) TSE: TECK last issued its quarterly earnings data on Thursday, July 23rd. The basic materials company reported $1.35 earnings per share for the quarter, topping analysts' consensus estimates of $0.95 by $0.40. Teck Resources had a return on equity of 10.42% and a net margin of 17.85%.The firm had revenue of $2.54 billion during the quarter, compared to analysts' expectations of $2.38 billion. During the same period in the prior year, the business posted $0.38 EPS. The firm's quarterly revenue was up 78.2% on a year-over-year basis. As a group, analysts expect that Teck Resources will post 4.03 earnings per share for the current fiscal year.

Teck Resources Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 29th. Stockholders of record on Tuesday, September 15th will be issued a $0.125 dividend. This represents a $0.50 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date is Tuesday, September 15th. Teck Resources's dividend payout ratio (DPR) is currently 9.76%.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on the company. Scotiabank reissued a "sector perform" rating on shares of Teck Resources in a research report on Monday, June 15th. JPMorgan Chase & Co. upped their price objective on shares of Teck Resources from $46.00 to $47.00 and gave the stock a "neutral" rating in a research note on Tuesday, July 28th. Veritas cut shares of Teck Resources from a "strong-buy" rating to a "hold" rating in a report on Thursday, June 4th. Wall Street Zen downgraded shares of Teck Resources from a "strong-buy" rating to a "buy" rating in a research report on Sunday, July 26th. Finally, Deutsche Bank Aktiengesellschaft boosted their price target on shares of Teck Resources from $64.00 to $68.00 and gave the company a "buy" rating in a report on Thursday, July 2nd. Six research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $62.25.

Teck Resources Company Profile

Teck Resources Limited is a Canadian mining and metals company focused primarily on the exploration, development and production of base metals. Its principal products include copper, zinc and lead, along with associated by-products such as molybdenum, silver and germanium. Copper is an increasingly important part of Teck's business as the metal is used in electrical infrastructure, renewable energy systems, transportation and industrial applications.

Teck operates and develops mining assets in Canada, Chile and Peru.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.