Ramaco Resources (NASDAQ:METC) Shares Up 7.1% - What's Next?

Key Points

• Ramaco Resources' shares rose 7.1% to $25.20, despite a 73% decline in trading volume compared to the average session.
• Analysts have mixed ratings on the stock, with Benchmark maintaining a "buy" rating and increasing the price target to $24.00, while Wall Street Zen downgraded it to "sell."
• The company reported negative earnings of ($0.29) per share for the most recent quarter, missing estimates, and noted revenue decline of 1.5% year-over-year.

Shares of Ramaco Resources, Inc. (NASDAQ:METC - Get Free Report) were up 7.1% during trading on Monday . The company traded as high as $24.78 and last traded at $25.20. Approximately 415,929 shares were traded during trading, a decline of 73% from the average daily volume of 1,528,034 shares. The stock had previously closed at $23.53.

Wall Street Analyst Weigh In

A number of equities analysts have commented on METC shares. Jefferies Financial Group reaffirmed a "buy" rating and set a $27.00 target price (up from $15.00) on shares of Ramaco Resources in a research note on Wednesday, July 16th. Wall Street Zen downgraded shares of Ramaco Resources from a "hold" rating to a "sell" rating in a research note on Thursday, May 22nd. Finally, Benchmark reissued a "buy" rating and issued a $24.00 price target (up from $14.00) on shares of Ramaco Resources in a research note on Tuesday, August 5th. Three equities research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the stock presently has an average rating of "Buy" and an average price target of $21.67.

Ramaco Resources Stock Performance

The firm's 50 day moving average is $18.98 and its two-hundred day moving average is $12.64. The stock has a market capitalization of $1.41 billion, a PE ratio of -56.33 and a beta of 1.35. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.84 and a current ratio of 1.36.

Ramaco Resources (NASDAQ:METC - Get Free Report) last announced its earnings results on Thursday, July 31st. The energy company reported ($0.29) earnings per share for the quarter, missing the consensus estimate of ($0.22) by ($0.07). Ramaco Resources had a negative return on equity of 5.55% and a negative net margin of 3.17%.The business had revenue of $152.96 million for the quarter, compared to analysts' expectations of $131.55 million. During the same period in the previous year, the company earned $0.08 earnings per share. Ramaco Resources's quarterly revenue was down 1.5% on a year-over-year basis. As a group, research analysts predict that Ramaco Resources, Inc. will post 0.05 earnings per share for the current year.

Ramaco Resources Cuts Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 13th. Shareholders of record on Friday, May 30th were issued a dividend of $0.0688 per share. This represents a $0.28 annualized dividend and a yield of 1.1%. The ex-dividend date was Friday, May 30th. Ramaco Resources's payout ratio is -62.22%.

Insider Buying and Selling

In other Ramaco Resources news, Director Peter A. Leidel sold 1,600,000 shares of the business's stock in a transaction that occurred on Friday, August 8th. The shares were sold at an average price of $18.75, for a total transaction of $30,000,000.00. Following the completion of the transaction, the director owned 2,502,930 shares in the company, valued at $46,929,937.50. The trade was a 39.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 36.20% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of METC. Encompass Capital Advisors LLC acquired a new position in shares of Ramaco Resources in the 1st quarter valued at $13,248,000. CenterBook Partners LP boosted its holdings in shares of Ramaco Resources by 151.0% in the 1st quarter. CenterBook Partners LP now owns 1,678,594 shares of the energy company's stock valued at $13,815,000 after buying an additional 1,009,782 shares in the last quarter. Graham Capital Management L.P. purchased a new stake in Ramaco Resources in the 4th quarter valued at $3,588,000. Point72 Asset Management L.P. raised its position in Ramaco Resources by 98.9% in the 4th quarter. Point72 Asset Management L.P. now owns 696,531 shares of the energy company's stock valued at $7,146,000 after purchasing an additional 346,265 shares during the last quarter. Finally, Pacer Advisors Inc. purchased a new stake in Ramaco Resources in the 1st quarter valued at $2,748,000. Institutional investors and hedge funds own 74.49% of the company's stock.

Ramaco Resources Company Profile

Ramaco Resources, Inc engages in the development, operation, and sale of metallurgical coal. Its development portfolio includes the Elk Creek project that covers an area of approximately 20,200 acres located in southern West Virginia; the Berwind property covering an area of approximately 62,500 acres situated on the border of West Virginia and Virginia; the Knox Creek property, which covers an area of approximately 64,050 acres is located in Virginia; the Maben property covering an area of approximately 28,000 acres situated in southwestern Pennsylvania southern West Virginia; and the Brook Mine property that covers an area of approximately 16,000 acres located in northeastern Wyoming.