Ramaco Resources (NASDAQ:METC) Shares Up 7.5% - Here's What Happened

Key Points

• Ramaco Resources shares surged 7.5% during mid-day trading, reaching a high of $20.43, after closing at $18.96 previously.
• Analyst ratings have been mixed, with some brokerages lowering their price targets, such as Benchmark and B. Riley, while Jefferies Financial Group increased its target to $27.00.
• The company reported a loss of ($0.29) earnings per share last quarter, missing expectations, though revenue was $152.96 million, exceeding estimates.

Ramaco Resources, Inc. (NASDAQ:METC - Get Free Report)'s stock price shot up 7.5% during mid-day trading on Monday . The company traded as high as $20.43 and last traded at $20.39. 770,720 shares changed hands during mid-day trading, a decline of 39% from the average session volume of 1,257,696 shares. The stock had previously closed at $18.96.

Analyst Ratings Changes

A number of brokerages have recently issued reports on METC. Benchmark dropped their price objective on Ramaco Resources from $18.00 to $14.00 and set a "buy" rating on the stock in a research note on Tuesday, May 13th. Wall Street Zen downgraded Ramaco Resources from a "hold" rating to a "sell" rating in a research report on Thursday, May 22nd. B. Riley reduced their price objective on Ramaco Resources from $18.00 to $14.00 and set a "buy" rating for the company in a report on Friday, April 11th. Finally, Jefferies Financial Group reaffirmed a "buy" rating and issued a $27.00 price target (up from $15.00) on shares of Ramaco Resources in a report on Wednesday, July 16th.

Ramaco Resources Stock Up 15.0%

The stock has a 50-day simple moving average of $14.16 and a two-hundred day simple moving average of $10.98. The company has a quick ratio of 0.87, a current ratio of 1.32 and a debt-to-equity ratio of 0.33. The firm has a market cap of $1.19 billion, a PE ratio of -48.44 and a beta of 1.35.

Ramaco Resources (NASDAQ:METC - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The energy company reported ($0.29) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.22) by ($0.07). The company had revenue of $152.96 million for the quarter, compared to the consensus estimate of $131.55 million. Ramaco Resources had a negative return on equity of 5.50% and a negative net margin of 3.17%. Ramaco Resources's revenue was down 1.5% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.08 earnings per share. Analysts expect that Ramaco Resources, Inc. will post 0.05 earnings per share for the current year.

Ramaco Resources Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, June 13th. Investors of record on Friday, May 30th were paid a $0.0688 dividend. The ex-dividend date of this dividend was Friday, May 30th. This represents a $0.28 annualized dividend and a dividend yield of 1.3%. Ramaco Resources's dividend payout ratio (DPR) is presently -62.22%.

Institutional Trading of Ramaco Resources

Several large investors have recently bought and sold shares of METC. Encompass Capital Advisors LLC bought a new stake in Ramaco Resources during the 1st quarter valued at approximately $13,248,000. CenterBook Partners LP boosted its position in Ramaco Resources by 151.0% during the 1st quarter. CenterBook Partners LP now owns 1,678,594 shares of the energy company's stock valued at $13,815,000 after acquiring an additional 1,009,782 shares in the last quarter. Graham Capital Management L.P. bought a new stake in Ramaco Resources during the 4th quarter valued at approximately $3,588,000. Point72 Asset Management L.P. boosted its position in shares of 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 worth $7,146,000 after purchasing an additional 346,265 shares in the last quarter. Finally, Pacer Advisors Inc. bought a new stake in shares of Ramaco Resources in the 1st quarter worth approximately $2,748,000. 74.49% of the stock is owned by institutional investors.

About Ramaco Resources

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.

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