HudBay Minerals (NYSE:HBM) Shares Gap Down After Earnings Miss

HudBay Minerals Inc (NYSE:HBM) (TSE:HBM) gapped down prior to trading on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $24.74, but opened at $23.75. HudBay Minerals shares last traded at $23.7140, with a volume of 832,191 shares.

The mining company reported $0.22 earnings per share for the quarter, missing analysts’ consensus estimates of $0.30 by ($0.08). HudBay Minerals had a net margin of 22.38% and a return on equity of 8.89%. During the same period last year, the firm earned $0.18 earnings per share. HudBay Minerals’s revenue was up 25.3% on a year-over-year basis.

Wall Street Analyst Weigh In

Several analysts have recently issued reports on HBM shares. UBS Group assumed coverage on HudBay Minerals in a research note on Thursday, January 8th. They issued a “buy” rating on the stock. Zacks Research lowered HudBay Minerals from a “strong-buy” rating to a “hold” rating in a research report on Tuesday. Weiss Ratings raised HudBay Minerals from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Tuesday, February 10th. Raymond James Financial restated an “outperform” rating on shares of HudBay Minerals in a research note on Wednesday, January 14th. Finally, Scotiabank reiterated an “outperform” rating on shares of HudBay Minerals in a report on Monday, January 26th. Two analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, HudBay Minerals currently has a consensus rating of “Buy” and a consensus price target of $26.00.

Institutional Investors Weigh In On HudBay Minerals

A number of hedge funds have recently added to or reduced their stakes in HBM. Allworth Financial LP boosted its stake in shares of HudBay Minerals by 107.9% in the third quarter. Allworth Financial LP now owns 1,990 shares of the mining company’s stock valued at $30,000 after buying an additional 1,033 shares in the last quarter. Quarry LP purchased a new position in HudBay Minerals during the 3rd quarter valued at about $38,000. Global Retirement Partners LLC purchased a new stake in HudBay Minerals in the 3rd quarter valued at approximately $45,000. IFP Advisors Inc purchased a new stake in shares of HudBay Minerals in the third quarter valued at $45,000. Finally, Banque Cantonale Vaudoise grew its holdings in shares of HudBay Minerals by 513.5% during the third quarter. Banque Cantonale Vaudoise now owns 3,172 shares of the mining company’s stock worth $48,000 after buying an additional 2,655 shares in the last quarter. Institutional investors and hedge funds own 57.82% of the company’s stock.

HudBay Minerals Price Performance

The company has a market capitalization of $9.36 billion, a price-to-earnings ratio of 20.26 and a beta of 1.33. The company has a fifty day simple moving average of $22.72 and a two-hundred day simple moving average of $17.32. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.76 and a current ratio of 0.97.

About HudBay Minerals

HudBay Minerals Inc is a Canada-based mining company engaged in the exploration, development and production of base and precious metals. Its primary products include copper, zinc, gold and silver concentrates, which are sold to smelters and refiners worldwide. The company’s operations span multiple stages of the mining cycle, from resource definition and feasibility studies to mine construction, extraction and reclamation.

The company traces its roots back to 1927, when it was established as Hudson Bay Mining & Smelting Co Limited.