Tronox (NYSE:TROX) Stock Price Up 7.2% Following Insider Buying Activity

Key Points

• Tronox (NYSE:TROX) shares increased by 7.2% amid recent insider buying, with a director purchasing 20,000 shares at an average cost of $3.21, indicating confidence in the company's stock.
• The company's earnings report revealed a loss of ($0.28) EPS, significantly missing analyst expectations of ($0.04), with revenue also falling short at $731 million.
• Institutional investors have shown increased interest in Tronox, with substantial stakes being accumulated by firms like Sterling Capital Management, which raised its stake by 832.6% last quarter.

Tronox Holdings PLC (NYSE:TROX - Get Free Report) shares rose 7.2% during trading on Wednesday following insider buying activity. The company traded as high as $3.62 and last traded at $3.69. Approximately 521,063 shares were traded during trading, a decline of 82% from the average daily volume of 2,907,330 shares. The stock had previously closed at $3.44.

Specifically, Director Peter Johnston purchased 20,000 shares of the firm's stock in a transaction dated Tuesday, August 12th. The shares were acquired at an average cost of $3.21 per share, with a total value of $64,200.00. Following the completion of the purchase, the director directly owned 191,513 shares of the company's stock, valued at $614,756.73. This trade represents a 11.66% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Jean Francois Turgeon acquired 31,150 shares of Tronox stock in a transaction on Thursday, August 7th. The stock was acquired at an average cost of $3.21 per share, for a total transaction of $99,991.50. Following the completion of the purchase, the director owned 772,572 shares of the company's stock, valued at approximately $2,479,956.12. The trade was a 4.20% increase in their position. The disclosure for this purchase can be found here. In other Tronox news, Director Stephen J. Jones acquired 8,000 shares of Tronox stock in a transaction on Thursday, August 7th. The shares were purchased at an average cost of $3.19 per share, with a total value of $25,520.00. Following the completion of the purchase, the director owned 51,000 shares in the company, valued at $162,690. The trade was a 18.60% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink.

Wall Street Analyst Weigh In

Several research firms have weighed in on TROX. Wall Street Zen lowered shares of Tronox from a "hold" rating to a "sell" rating in a report on Monday, May 5th. Truist Financial set a $5.00 target price on shares of Tronox in a report on Monday, August 4th. JPMorgan Chase & Co. upgraded shares of Tronox from a "neutral" rating to an "overweight" rating and increased their target price for the stock from $5.00 to $7.00 in a report on Friday, May 30th. Morgan Stanley cut their target price on shares of Tronox from $8.00 to $4.00 and set an "equal weight" rating on the stock in a report on Wednesday, August 6th. Finally, Mizuho cut their target price on shares of Tronox from $6.00 to $5.00 and set a "neutral" rating on the stock in a report on Tuesday, July 15th. Two research analysts have rated the stock with a sell rating, three have issued a hold rating and five have assigned a buy rating to the company's stock. According to MarketBeat, Tronox has a consensus rating of "Hold" and an average price target of $5.01.

Tronox Stock Up 7.4%

The firm has a market cap of $585.75 million, a P/E ratio of -2.34 and a beta of 1.35. The company has a debt-to-equity ratio of 1.64, a quick ratio of 0.52 and a current ratio of 2.10. The firm's fifty day moving average is $5.16 and its 200 day moving average is $6.20.

Tronox (NYSE:TROX - Get Free Report) last announced its earnings results on Wednesday, July 30th. The company reported ($0.28) EPS for the quarter, missing the consensus estimate of ($0.04) by ($0.24). The company had revenue of $731.00 million for the quarter, compared to the consensus estimate of $802.03 million. Tronox had a negative return on equity of 4.83% and a negative net margin of 8.48%. The business's quarterly revenue was down 10.9% on a year-over-year basis. During the same period in the previous year, the firm posted $0.07 EPS. As a group, equities research analysts anticipate that Tronox Holdings PLC will post 0.49 earnings per share for the current fiscal year.

Tronox Cuts Dividend

The firm also recently disclosed a dividend, which will be paid on Friday, October 3rd. Shareholders of record on Tuesday, August 12th will be paid a $0.05 dividend. The ex-dividend date is Monday, August 11th. This represents a yield of 629.0%. Tronox's payout ratio is -12.66%.

Hedge Funds Weigh In On Tronox

Institutional investors have recently added to or reduced their stakes in the stock. Sterling Capital Management LLC increased its position in Tronox by 832.6% during the 4th quarter. Sterling Capital Management LLC now owns 3,805 shares of the company's stock worth $38,000 after purchasing an additional 3,397 shares in the last quarter. Public Employees Retirement System of Ohio grew its holdings in Tronox by 48.9% during the 2nd quarter. Public Employees Retirement System of Ohio now owns 9,844 shares of the company's stock worth $50,000 after acquiring an additional 3,231 shares during the last quarter. Amplius Wealth Advisors LLC bought a new stake in Tronox during the 2nd quarter worth approximately $64,000. Focus Partners Advisor Solutions LLC bought a new stake in Tronox during the 2nd quarter worth approximately $64,000. Finally, Nisa Investment Advisors LLC grew its holdings in Tronox by 763.5% during the 1st quarter. Nisa Investment Advisors LLC now owns 9,127 shares of the company's stock worth $65,000 after acquiring an additional 8,070 shares during the last quarter. 73.36% of the stock is currently owned by institutional investors and hedge funds.

Tronox Company Profile

Tronox Holdings plc operates as a vertically integrated manufacturer of TiO2 pigment in North America, South and Central America, Europe, the Middle East, Africa, and the Asia Pacific. The company operates titanium-bearing mineral sand mines; and engages in beneficiation and smelting operations. It offers TiO2 pigment; ultrafine specialty TiO2; zircon; feedstock; pig iron; monazite; titanium tetrachloride; and other products.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.