Wesdome Gold Mines (TSE:WDO) Shares Cross Above 50-Day Moving Average - What's Next?

Key Points

• Wesdome Gold Mines shares broke above their 50-day moving average, reaching C$35.25 before last trading at C$33.80, compared with a 50-day average of C$28.61.
• Analyst sentiment is broadly positive: the stock has an average rating of “Buy”, with one Strong Buy, four Buys and one Hold. The average price target is C$33.38, while Desjardins raised its target to C$40.00.
• The company reported quarterly EPS of C$0.65 on revenue of C$266.76 million, with a 38.46% net margin and 43.77% return on equity. Insiders made some purchases, although insiders collectively sold C$2.51 million of shares over the past 90 days.

Shares of Wesdome Gold Mines Ltd. (TSE:WDO - Get Free Report) crossed above its 50-day moving average during trading on Friday . The stock has a 50-day moving average of C$28.61 and traded as high as C$35.25. Wesdome Gold Mines shares last traded at C$33.80, with a volume of 508,004 shares traded.

Analysts Set New Price Targets

Several equities analysts have weighed in on WDO shares. Stifel Nicolaus raised Wesdome Gold Mines to a "strong-buy" rating in a research report on Monday, June 29th. Desjardins raised their price objective on shares of Wesdome Gold Mines from C$34.00 to C$40.00 and gave the company a "buy" rating in a report on Wednesday, August 19th. Canadian Imperial Bank of Commerce increased their target price on shares of Wesdome Gold Mines from C$32.00 to C$35.00 in a research report on Friday, August 21st. BMO Capital Markets downgraded Wesdome Gold Mines from an "outperform" rating to a "hold" rating and raised their price target for the stock from C$30.00 to C$34.00 in a research note on Wednesday, August 19th. Finally, Canaccord Genuity Group raised Wesdome Gold Mines from a "hold" rating to a "buy" rating and lifted their price target for the stock from C$30.00 to C$31.00 in a research report on Monday, June 1st. One analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Buy" and an average price target of C$33.38.

Wesdome Gold Mines Price Performance

The company has a debt-to-equity ratio of 0.73, a quick ratio of 0.37 and a current ratio of 6.90. The company's fifty day simple moving average is C$28.61 and its two-hundred day simple moving average is C$26.76. The stock has a market capitalization of C$4.85 billion, a PE ratio of 12.20 and a beta of 1.33.

Wesdome Gold Mines (TSE:WDO - Get Free Report) last announced its quarterly earnings data on Thursday, August 13th. The company reported C$0.65 earnings per share (EPS) for the quarter. The business had revenue of C$266.76 million for the quarter. Wesdome Gold Mines had a net margin of 38.46% and a return on equity of 43.77%. As a group, sell-side analysts predict that Wesdome Gold Mines Ltd. will post 1.293456 EPS for the current year.

Insider Buying and Selling at Wesdome Gold Mines

In related news, insider Rajbir Gill bought 1,047 shares of the company's stock in a transaction that occurred on Tuesday, June 30th. The shares were acquired at an average cost of C$24.02 per share, for a total transaction of C$25,148.94. Following the acquisition, the insider owned 24,669 shares in the company, valued at C$592,549.38. This represents a 4.43% increase in their position. Also, insider Philip Chow Yee bought 6,250 shares of the business's stock in a transaction on Tuesday, June 30th. The stock was acquired at an average cost of C$24.15 per share, for a total transaction of C$150,937.50. Following the completion of the transaction, the insider owned 12,500 shares in the company, valued at C$301,875. This represents a 100.00% increase in their ownership of the stock. Over the last 90 days, insiders have sold 84,394 shares of company stock worth $2,509,289. Insiders own 0.17% of the company's stock.

Wesdome Gold Mines Company Profile

Wesdome is a Canadian-focused gold producer with two high-grade underground assets, Eagle River in Northern Ontario and Kiena in Val-d'Or, Québec. The Company's primary goal is to responsibly leverage its operating platform and high-quality brownfield and greenfield exploration pipeline to build a value-driven mid-tier gold producer.

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