Wesdome Gold Mines (TSE:WDO) Reaches New 1-Year High - Still a Buy?

Key Points

• Wesdome Gold Mines shares hit a new 52-week high of C$31.16 and last traded at C$30.97, up sharply from the prior close of C$28.28.
• Analyst sentiment is broadly positive: the stock has an average “Buy” rating, with one Strong Buy and four Buy ratings, while the average price target is C$31.57; several firms recently raised their targets.
• The company reported C$0.79 quarterly EPS on C$299.79 million in revenue, alongside a 46.09% return on equity and 39.54% net margin. Recent insider activity was mixed, with one insider buying shares while another sold, and insiders collectively own just 0.17% of the company.

Wesdome Gold Mines Ltd. (TSE:WDO - Get Free Report) shares reached a new 52-week high during trading on Wednesday . The company traded as high as C$31.16 and last traded at C$30.97, with a volume of 360127 shares changing hands. The stock had previously closed at C$28.28.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on WDO shares. National Bank Financial raised shares of Wesdome Gold Mines from a "sector perform" rating to an "outperform" rating and lifted their target price for the company from C$34.00 to C$37.00 in a research note on Friday, July 3rd. Canadian Imperial Bank of Commerce upgraded shares of Wesdome Gold Mines from a "neutral" rating to an "outperformer" rating and boosted their target price for the company from C$31.00 to C$32.00 in a research note on Friday, July 17th. Stifel Nicolaus raised Wesdome Gold Mines to a "strong-buy" rating in a research report on Monday, June 29th. Canaccord Genuity Group upgraded Wesdome Gold Mines from a "hold" rating to a "buy" rating and boosted their price target for the company from C$30.00 to C$31.00 in a research note on Monday, June 1st. Finally, Desjardins upped their target price on shares of Wesdome Gold Mines from C$32.00 to C$34.00 and gave the company a "buy" rating in a report on Thursday, April 23rd. One research analyst has rated the stock with a Strong Buy rating and four have given a Buy rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Buy" and an average price target of C$31.57.

Wesdome Gold Mines Stock Performance

The company has a debt-to-equity ratio of 0.31, a current ratio of 6.03 and a quick ratio of 0.37. The business has a 50-day simple moving average of C$25.82 and a 200-day simple moving average of C$25.59. The firm has a market capitalization of C$4.54 billion, a PE ratio of 11.42 and a beta of 1.33.

Wesdome Gold Mines (TSE:WDO - Get Free Report) last posted its quarterly earnings data on Tuesday, May 12th. The company reported C$0.79 earnings per share (EPS) for the quarter. The business had revenue of C$299.79 million during the quarter. Wesdome Gold Mines had a return on equity of 46.09% and a net margin of 39.54%. Equities research analysts expect that Wesdome Gold Mines Ltd. will post 1.293456 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Philip Chow Yee acquired 6,250 shares of the company's stock in a transaction on Tuesday, June 30th. The stock was bought at an average cost of C$24.15 per share, with a total value of C$150,937.50. Following the completion of the purchase, the insider directly owned 12,500 shares of the company's stock, valued at C$301,875. This represents a 100.00% increase in their ownership of the stock. Also, insider Robert Kallio sold 3,348 shares of the business's stock in a transaction on Tuesday, June 30th. The shares were sold at an average price of C$23.89, for a total transaction of C$79,983.72. Following the transaction, the insider owned 2,000 shares in the company, valued at C$47,780. This trade represents a 62.60% decrease in their position. Insiders have sold 17,433 shares of company stock valued at $423,454 in the last three months. Corporate insiders own 0.17% of the company's stock.

About Wesdome Gold Mines

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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