Investors Buy High Volume of Call Options on New Gold (NYSEAMERICAN:NGD)

Posted by Defense World Staff on Apr 12th, 2023

New Gold Inc. (NYSEAMERICAN:NGD – Get Rating) was the recipient of some unusual options trading activity on Tuesday. Investors acquired 21,932 call options on the company. This is an increase of approximately 2,604% compared to the typical daily volume of 811 call options.

Analysts Set New Price Targets

Several research analysts have recently weighed in on NGD shares. National Bank Financial boosted their price objective on shares of New Gold from C$1.60 to C$1.75 in a report on Friday, January 13th. TheStreet lowered shares of New Gold from a “c” rating to a “d” rating in a research report on Tuesday, February 21st. Scotiabank assumed coverage on shares of New Gold in a research report on Friday, March 3rd. They issued a “sector perform” rating for the company. Finally, TD Securities dropped their price target on shares of New Gold from $0.95 to $0.90 and set a “reduce” rating for the company in a research report on Friday, February 17th. One research analyst has rated the stock with a sell rating, two have given a hold rating and two have issued a buy rating to the stock. According to data from MarketBeat, New Gold presently has a consensus rating of “Hold” and a consensus target price of $1.48.

New Gold Price Performance

NGD opened at $1.28 on Wednesday. New Gold has a 12-month low of $0.61 and a 12-month high of $1.99. The company has a quick ratio of 1.53, a current ratio of 2.20 and a debt-to-equity ratio of 0.41. The company has a market cap of $873.96 million, a price-to-earnings ratio of -12.80, a price-to-earnings-growth ratio of 2.20 and a beta of 1.49.

New Gold (NYSEAMERICAN:NGD – Get Rating) last posted its earnings results on Thursday, February 16th. The basic materials company reported ($0.01) earnings per share for the quarter, meeting the consensus estimate of ($0.01). The firm had revenue of $162.80 million during the quarter. New Gold had a negative net margin of 11.05% and a negative return on equity of 2.67%. As a group, sell-side analysts predict that New Gold will post 0.08 earnings per share for the current year.

Institutional Investors Weigh In On New Gold

A number of hedge funds have recently modified their holdings of NGD. EdgePoint Investment Group Inc. acquired a new stake in shares of New Gold during the third quarter worth about $9,586,000. Herr Investment Group LLC acquired a new stake in New Gold during the fourth quarter worth approximately $5,320,000. Invesco Ltd. grew its position in shares of New Gold by 48.4% during the first quarter. Invesco Ltd. now owns 16,612,687 shares of the basic materials company’s stock worth $29,903,000 after acquiring an additional 5,421,488 shares during the last quarter. U S Global Investors Inc. purchased a new position in shares of New Gold during the third quarter worth approximately $2,811,000. Finally, Kopernik Global Investors LLC purchased a new position in shares of New Gold during the third quarter worth approximately $2,604,000. Hedge funds and other institutional investors own 31.92% of the company’s stock.

New Gold Company Profile

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New Gold, Inc is a gold mining company, which engages in the operation, development and exploration of mineral properties. Its portfolio includes Rainy RIver, New Afton, and Cerro San Pedro. The company was founded on January 31, 1980 and is headquartered in Toronto, Canada.