Novagold Resources (NYSEAMERICAN:NG) Stock Price Down 7.6% - Should You Sell?

Key Points

• Novagold shares fell 7.6% to about $6.36, with trading volume 83% below the average session volume.
• Analysts remain broadly positive, with a consensus Buy rating and a $12.30 price target; recent targets ranged from $9.00 to $13.00, while Citigroup set a $12.50 target.
• The company reported a quarterly loss of $0.08 per share, slightly worse than analysts’ expected $0.07 loss. Novagold is a development-stage company focused on the Donlin Gold project and does not currently operate producing mines.

Novagold Resources Inc. (NYSEAMERICAN:NG - Get Free Report) TSE: NG shares traded down 7.6% on Tuesday. The stock traded as low as $6.36 and last traded at $6.3560. 742,971 shares were traded during trading, a decline of 83% from the average session volume of 4,368,471 shares. The stock had previously closed at $6.88.

Analysts Set New Price Targets

A number of analysts have issued reports on NG shares. B. Riley Financial started coverage on shares of Novagold Resources in a research note on Monday, August 3rd. They issued a "buy" rating and a $9.00 target price for the company. Citigroup assumed coverage on shares of Novagold Resources in a research note on Friday. They set a "buy" rating and a $12.50 price target on the stock. Finally, Morgan Stanley cut their price target on shares of Novagold Resources from $13.60 to $13.00 and set an "overweight" rating on the stock in a report on Wednesday, October 7th. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat, Novagold Resources currently has an average rating of "Buy" and a consensus price target of $12.30.

Novagold Resources Stock Performance

The company has a debt-to-equity ratio of 0.46, a current ratio of 44.51 and a quick ratio of 44.51. The firm has a fifty day simple moving average of $6.85 and a 200 day simple moving average of $8.14. The company has a market cap of $2.71 billion, a price-to-earnings ratio of -29.40 and a beta of 0.97.

Novagold Resources (NYSEAMERICAN:NG - Get Free Report) TSE: NG last issued its quarterly earnings data on Thursday, October 8th. The mining company reported ($0.08) earnings per share for the quarter, missing analysts' consensus estimates of ($0.07) by ($0.01). On average, sell-side analysts expect that Novagold Resources Inc. will post -0.18 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of NG. Farther Finance Advisors LLC boosted its holdings in Novagold Resources by 91.8% during the third quarter. Farther Finance Advisors LLC now owns 4,851 shares of the mining company's stock valued at $32,000 after purchasing an additional 2,322 shares in the last quarter. Versant Capital Management Inc grew its stake in shares of Novagold Resources by 44.1% in the 3rd quarter. Versant Capital Management Inc now owns 7,779 shares of the mining company's stock valued at $51,000 after purchasing an additional 2,380 shares during the period. Cooper Financial Group grew its stake in shares of Novagold Resources by 9.5% in the 2nd quarter. Cooper Financial Group now owns 29,933 shares of the mining company's stock valued at $179,000 after purchasing an additional 2,594 shares during the period. GAMMA Investing LLC raised its holdings in shares of Novagold Resources by 179.9% in the 3rd quarter. GAMMA Investing LLC now owns 4,375 shares of the mining company's stock worth $28,000 after buying an additional 2,812 shares in the last quarter. Finally, TD Waterhouse Canada Inc. raised its holdings in shares of Novagold Resources by 41.1% in the 2nd quarter. TD Waterhouse Canada Inc. now owns 10,300 shares of the mining company's stock worth $63,000 after buying an additional 3,000 shares in the last quarter. Institutional investors and hedge funds own 57.56% of the company's stock.

Novagold Resources Company Profile

NOVAGOLD Resources Inc. is a Canadian-based precious metals company focused on advancing the Donlin Gold project in southwestern Alaska. The company is a development-stage business and does not currently operate producing mines. Donlin Gold is owned equally by NOVAGOLD and Barrick Gold Corporation. The partners are working to advance the project, which is located in the Kuskokwim region of Alaska. NOVAGOLD's activities center on evaluating and developing the Donlin Gold project, including its exploration, engineering, permitting and related planning work.

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.