Iamgold (NYSE:IAG) Shares Gap Up Following Earnings Beat

Iamgold Corporation (NYSE:IAG) (TSE:IMG) gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $10.96, but opened at $12.28. Iamgold shares last traded at $12.2640, with a volume of 4,968,825 shares changing hands.

The mining company reported $0.30 earnings per share for the quarter, beating analysts’ consensus estimates of $0.21 by $0.09. The firm had revenue of $714.61 million during the quarter, compared to analysts’ expectations of $759.45 million. Iamgold had a net margin of 40.61% and a return on equity of 8.54%.

Analyst Ratings Changes

Several research analysts have issued reports on IAG shares. Zacks Research downgraded shares of Iamgold from a “strong-buy” rating to a “hold” rating in a research report on Friday, August 15th. Royal Bank Of Canada raised Iamgold from a “sector perform” rating to an “outperform” rating and increased their price objective for the stock from $9.00 to $14.00 in a research report on Wednesday, September 10th. Scotiabank boosted their target price on Iamgold from $8.50 to $15.00 and gave the company a “sector perform” rating in a report on Thursday, October 23rd. Raymond James Financial increased their price target on Iamgold from $9.00 to $13.00 and gave the stock a “market perform” rating in a report on Friday, October 10th. Finally, CIBC boosted their price objective on shares of Iamgold from $10.40 to $19.00 and gave the company an “outperformer” rating in a research note on Friday, October 10th. Three research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of “Buy” and an average target price of $15.25.

Institutional Trading of Iamgold

A number of institutional investors have recently modified their holdings of the company. T. Rowe Price Investment Management Inc. purchased a new stake in shares of Iamgold during the 1st quarter valued at about $45,911,000. Mackenzie Financial Corp grew its position in shares of Iamgold by 183.5% during the second quarter. Mackenzie Financial Corp now owns 7,614,294 shares of the mining company’s stock worth $56,118,000 after buying an additional 4,928,077 shares in the last quarter. Bornite Capital Management LP bought a new position in shares of Iamgold during the second quarter worth about $34,089,000. Nuveen LLC acquired a new position in Iamgold in the first quarter worth about $20,620,000. Finally, Anson Funds Management LP grew its stake in Iamgold by 2,100.0% in the first quarter. Anson Funds Management LP now owns 3,300,000 shares of the mining company’s stock worth $20,598,000 after purchasing an additional 3,150,000 shares in the last quarter. Hedge funds and other institutional investors own 47.08% of the company’s stock.

Iamgold Stock Performance

The company has a debt-to-equity ratio of 0.31, a current ratio of 1.47 and a quick ratio of 0.76. The company has a fifty day moving average of $11.92 and a two-hundred day moving average of $8.92. The stock has a market capitalization of $7.30 billion, a P/E ratio of 9.12, a price-to-earnings-growth ratio of 0.39 and a beta of 1.22.

About Iamgold

IAMGOLD Corporation, through its subsidiaries, operates as an intermediate gold producer and developer in Canada and Burkina Faso. It owns 100% interest in the Westwood project that covers an area of 1,925 hectare and located in Quebec; a 60% interest in the Côté gold project, which covers an area of 596 square kilometer located in Ontario, Canada; and a 90% interests in the Essakane project that covers an area of 274,000 square kilometer situated in Burkina Faso.