Teck Resources (NYSE:TECK) Releases Earnings Results, Beats Estimates By $0.07 EPS

Key Points

• Teck Resources reported earnings of $0.27 EPS for the quarter, exceeding estimates by $0.07, while revenue was below expectations at $1.49 billion compared to the projected $2.25 billion.
• The company's stock fell 6.1% during trading, closing at $33.00, despite the increase in its quarterly dividend to $0.0918 per share.
• Analysts are cautiously optimistic, with a consensus rating of "Hold" from twelve research firms and a target price of $61.63 for Teck Resources.

Teck Resources (NYSE:TECK - Get Free Report) TSE: TECK posted its quarterly earnings data on Thursday. The basic materials company reported $0.27 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.20 by $0.07, Zacks reports. The business had revenue of $1.49 billion during the quarter, compared to the consensus estimate of $2.25 billion. Teck Resources had a net margin of 2.51% and a return on equity of 3.91%. The firm's quarterly revenue was up 12.3% compared to the same quarter last year. During the same quarter last year, the company posted $0.79 earnings per share.

Teck Resources Stock Down 2.6%

Shares of TECK traded down $0.85 during mid-day trading on Wednesday, hitting $32.17. 11,469,226 shares of the company traded hands, compared to its average volume of 3,808,555. Teck Resources has a 1-year low of $28.32 and a 1-year high of $54.13. The company has a quick ratio of 2.57, a current ratio of 3.47 and a debt-to-equity ratio of 0.15. The company has a market capitalization of $15.54 billion, a PE ratio of 84.66, a price-to-earnings-growth ratio of 0.54 and a beta of 0.80. The business has a 50 day moving average of $38.07 and a 200 day moving average of $38.44.

Teck Resources Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 29th. Investors of record on Monday, September 15th will be paid a $0.0918 dividend. The ex-dividend date of this dividend is Monday, September 15th. This is a positive change from Teck Resources's previous quarterly dividend of $0.09. This represents a $0.37 dividend on an annualized basis and a yield of 1.14%. Teck Resources's dividend payout ratio is 94.74%.

Institutional Investors Weigh In On Teck Resources

A number of large investors have recently bought and sold shares of TECK. AQR Capital Management LLC increased its stake in shares of Teck Resources by 11.1% in the 1st quarter. AQR Capital Management LLC now owns 34,705 shares of the basic materials company's stock worth $1,264,000 after acquiring an additional 3,458 shares during the last quarter. Jones Financial Companies Lllp boosted its stake in shares of Teck Resources by 453.0% in the first quarter. Jones Financial Companies Lllp now owns 9,721 shares of the basic materials company's stock valued at $354,000 after buying an additional 7,963 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in Teck Resources by 1.8% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 465,861 shares of the basic materials company's stock worth $16,971,000 after purchasing an additional 8,146 shares in the last quarter. Hedge funds and other institutional investors own 78.06% of the company's stock.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on TECK shares. UBS Group reissued a "neutral" rating on shares of Teck Resources in a research report on Tuesday, April 15th. BMO Capital Markets started coverage on shares of Teck Resources in a research report on Wednesday, April 16th. They set an "outperform" rating on the stock. B. Riley downgraded shares of Teck Resources from a "buy" rating to a "neutral" rating in a research report on Monday. JPMorgan Chase & Co. reissued a "neutral" rating and set a $41.00 price objective (down from $46.00) on shares of Teck Resources in a research report on Friday, July 25th. Finally, CIBC downgraded shares of Teck Resources from a "sector outperform" rating to a "neutral" rating in a research report on Friday, July 25th. Thirteen investment analysts have rated the stock with a hold rating, seven have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus price target of $60.11.

Teck Resources Company Profile

Teck Resources Limited engages in exploring for, acquiring, developing, and producing natural resources in Asia, Europe, and North America. The company operates through Steelmaking Coal, Copper, Zinc, and Energy segments. Its principal products include copper, zinc, steelmaking coal, and blended bitumen.