Sandstorm Gold (NYSE:SAND) Stock Price Down 9.2% Following Weak Earnings

Shares of Sandstorm Gold Ltd. (NYSE:SAND) traded down 9.2% on Friday after the company announced weaker than expected quarterly earnings. The stock traded as low as $5.71 and last traded at $5.75. 6,127,367 shares were traded during mid-day trading, an increase of 159% from the average session volume of 2,366,330 shares. The stock had previously closed at $6.33.

The company reported $0.02 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.03 by ($0.01). Sandstorm Gold had a return on equity of 2.06% and a net margin of 17.55%. The company had revenue of $44.70 million for the quarter, compared to analyst estimates of $44.70 million.

Sandstorm Gold Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, October 25th. Investors of record on Tuesday, October 15th were paid a $0.015 dividend. The ex-dividend date was Tuesday, October 15th. This is an increase from Sandstorm Gold’s previous quarterly dividend of $0.01. This represents a $0.06 annualized dividend and a dividend yield of 1.04%. Sandstorm Gold’s dividend payout ratio is 60.01%.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the stock. StockNews.com upgraded shares of Sandstorm Gold from a “hold” rating to a “buy” rating in a research report on Friday, September 27th. HC Wainwright lifted their price objective on Sandstorm Gold from $11.00 to $11.50 and gave the company a “buy” rating in a report on Monday, August 5th. Finally, Royal Bank of Canada cut their target price on Sandstorm Gold from $6.50 to $6.00 and set an “outperform” rating for the company in a research report on Tuesday, September 10th. Two investment analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, Sandstorm Gold presently has a consensus rating of “Moderate Buy” and a consensus price target of $8.25.

Hedge Funds Weigh In On Sandstorm Gold

A number of institutional investors have recently added to or reduced their stakes in the stock. Perritt Capital Management Inc. bought a new position in shares of Sandstorm Gold during the first quarter valued at $31,000. Allworth Financial LP bought a new position in shares of Sandstorm Gold during the third quarter worth about $60,000. Mather Group LLC. acquired a new position in shares of Sandstorm Gold in the second quarter worth approximately $67,000. Oak Family Advisors LLC acquired a new stake in Sandstorm Gold during the 2nd quarter valued at approximately $88,000. Finally, Point72 Asia Singapore Pte. Ltd. bought a new position in Sandstorm Gold during the 2nd quarter worth approximately $94,000. 51.97% of the stock is currently owned by institutional investors and hedge funds.

Sandstorm Gold Stock Down 9.2 %

The stock’s 50-day moving average price is $6.00 and its 200-day moving average price is $5.72. The company has a current ratio of 1.99, a quick ratio of 1.99 and a debt-to-equity ratio of 0.27. The stock has a market cap of $1.71 billion, a price-to-earnings ratio of 59.51 and a beta of 1.13.

Sandstorm Gold Company Profile

Sandstorm Gold Ltd. operates as a gold royalty company. The company focuses on acquiring royalties and gold and other metals purchase agreements from companies that have advanced stage operating mines. It offers upfront payments for companies to acquire a stream and receives the right to purchase a percentage of a mine's production for the life of the mine.