Teck Resources (NYSE:TECK) Shares Gap Down – Here’s Why

Teck Resources Ltd (NYSE:TECK) (TSE:TECK) shares gapped down prior to trading on Thursday . The stock had previously closed at $70.34, but opened at $65.61. Teck Resources shares last traded at $64.94, with a volume of 1,121,178 shares trading hands.

Analyst Ratings Changes

TECK has been the topic of a number of research reports. Scotiabank restated a “sector perform” rating on shares of Teck Resources in a report on Monday, June 15th. Veritas cut shares of Teck Resources from a “strong-buy” rating to a “hold” rating in a research report on Thursday, June 4th. Raymond James Financial raised shares of Teck Resources from a “market perform” rating to an “outperform” rating in a research note on Thursday, July 23rd. JPMorgan Chase & Co. upped their price objective on shares of Teck Resources from $46.00 to $47.00 and gave the stock a “neutral” rating in a report on Tuesday, July 28th. Finally, Deutsche Bank Aktiengesellschaft raised their target price on shares of Teck Resources from $64.00 to $68.00 and gave the company a “buy” rating in a research note on Thursday, July 2nd. Six research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to data from MarketBeat, Teck Resources has a consensus rating of “Hold” and an average target price of $62.25.

Teck Resources Trading Down 6.7%

The company has a market cap of $31.69 billion, a P/E ratio of 17.76, a PEG ratio of 2.59 and a beta of 0.94. The stock’s 50 day moving average is $63.49 and its 200-day moving average is $60.23. The company has a current ratio of 3.12, a quick ratio of 2.33 and a debt-to-equity ratio of 0.12.

Teck Resources (NYSE:TECK) (TSE:TECK) last released its quarterly earnings data on Thursday, July 23rd. The basic materials company reported $1.35 earnings per share for the quarter, beating analysts’ consensus estimates of $0.95 by $0.40. The business had revenue of $2.54 billion during the quarter, compared to analyst estimates of $2.38 billion. Teck Resources had a net margin of 17.85% and a return on equity of 10.42%. Teck Resources’s revenue was up 78.2% compared to the same quarter last year. During the same period last year, the business earned $0.38 EPS. Research analysts anticipate that Teck Resources Ltd will post 3.48 earnings per share for the current fiscal year.

Teck Resources Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 29th. Investors of record on Tuesday, September 15th will be given a dividend of $0.125 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $0.50 annualized dividend and a dividend yield of 0.8%. Teck Resources’s dividend payout ratio (DPR) is 9.76%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Brown Brothers Harriman & Co. purchased a new position in Teck Resources in the 4th quarter worth about $25,000. Blue Trust Inc. boosted its holdings in shares of Teck Resources by 411.8% during the 1st quarter. Blue Trust Inc. now owns 563 shares of the basic materials company’s stock valued at $29,000 after acquiring an additional 453 shares during the last quarter. Geneos Wealth Management Inc. grew its stake in shares of Teck Resources by 117.4% in the first quarter. Geneos Wealth Management Inc. now owns 561 shares of the basic materials company’s stock worth $29,000 after acquiring an additional 303 shares during the period. Oslo Pensjonsforsikring AS purchased a new position in shares of Teck Resources during the first quarter valued at approximately $83,000. Finally, Versant Capital Management Inc raised its holdings in shares of Teck Resources by 86.5% during the second quarter. Versant Capital Management Inc now owns 1,587 shares of the basic materials company’s stock valued at $94,000 after purchasing an additional 736 shares during the last quarter. 78.06% of the stock is owned by institutional investors.

About Teck Resources

Teck Resources Limited is a Canadian mining and metals company focused primarily on the exploration, development and production of base metals. Its principal products include copper, zinc and lead, along with associated by-products such as molybdenum, silver and germanium. Copper is an increasingly important part of Teck’s business as the metal is used in electrical infrastructure, renewable energy systems, transportation and industrial applications.

Teck operates and develops mining assets in Canada, Chile and Peru.