Centerra Gold (NYSE:CGAU) Shares Gap Down After Earnings Miss

Centerra Gold Inc. (NYSE:CGAU) gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $6.65, but opened at $6.25. Centerra Gold shares last traded at $6.30, with a volume of 143,088 shares traded.

The company reported $0.17 earnings per share for the quarter, missing the consensus estimate of $0.20 by ($0.03). Centerra Gold had a net margin of 8.31% and a return on equity of 10.34%. The company had revenue of $302.40 million for the quarter, compared to analysts’ expectations of $316.92 million.

Centerra Gold Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, March 27th. Investors of record on Thursday, March 13th will be issued a dividend of $0.07 per share. This represents a $0.28 annualized dividend and a yield of 4.54%. The ex-dividend date is Thursday, March 13th. This is a positive change from Centerra Gold’s previous quarterly dividend of $0.05. Centerra Gold’s dividend payout ratio is presently 58.33%.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on CGAU shares. Scotiabank reduced their target price on Centerra Gold from $10.00 to $9.00 and set a “sector outperform” rating on the stock in a research note on Wednesday, January 15th. Desjardins lowered Centerra Gold from a “moderate buy” rating to a “hold” rating in a research note on Thursday, February 13th. Three research analysts have rated the stock with a hold rating and one has given a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $11.00.

Hedge Funds Weigh In On Centerra Gold

Institutional investors have recently made changes to their positions in the company. CWM LLC purchased a new position in shares of Centerra Gold during the third quarter valued at $57,000. Vise Technologies Inc. bought a new stake in Centerra Gold during the fourth quarter valued at about $58,000. SG Americas Securities LLC bought a new stake in Centerra Gold during the fourth quarter valued at about $59,000. Massachusetts Financial Services Co. MA bought a new stake in Centerra Gold during the fourth quarter valued at about $60,000. Finally, Susquehanna Advisors Group Inc. bought a new stake in Centerra Gold during the fourth quarter valued at about $61,000. Hedge funds and other institutional investors own 55.40% of the company’s stock.

Centerra Gold Price Performance

The business has a 50-day moving average of $6.07 and a two-hundred day moving average of $6.51. The company has a market cap of $1.30 billion, a P/E ratio of 12.86 and a beta of 0.91.

About Centerra Gold

Centerra Gold Inc, a gold mining company, engages in the acquisition, exploration, development, and operation of gold and copper properties in North America, Turkey, and internationally. The company explores for gold, copper, and molybdenum deposits. Its flagship projects are the 100% owned Mount Milligan gold-copper mine located in British Columbia, Canada; and the Öksüt gold mine located in Turkey.