Investors Purchase Large Volume of Call Options on Ramaco Resources (NASDAQ:METC)

Ramaco Resources, Inc. (NASDAQ:METC) was the recipient of some unusual options trading activity on Friday. Stock traders purchased 11,345 call options on the stock. This represents an increase of approximately 138% compared to the average volume of 4,771 call options.

Ramaco Resources Price Performance

Shares of METC traded down $0.76 during mid-day trading on Friday, reaching $10.44. 749,697 shares of the company’s stock were exchanged, compared to its average volume of 1,998,615. The company has a quick ratio of 3.93, a current ratio of 4.88 and a debt-to-equity ratio of 1.06. The company has a market cap of $680.48 million, a price-to-earnings ratio of -9.49 and a beta of 1.35. Ramaco Resources has a 52-week low of $10.35 and a 52-week high of $57.80. The company has a 50-day simple moving average of $13.76 and a two-hundred day simple moving average of $15.69.

Ramaco Resources (NASDAQ:METC) last posted its quarterly earnings results on Monday, May 11th. The energy company reported ($0.30) EPS for the quarter, missing the consensus estimate of ($0.22) by ($0.08). The business had revenue of $101.41 million during the quarter, compared to analysts’ expectations of $129.72 million. Ramaco Resources had a negative net margin of 11.52% and a negative return on equity of 13.44%. The firm’s quarterly revenue was down 9.7% compared to the same quarter last year. During the same quarter last year, the firm earned ($0.20) EPS. On average, sell-side analysts predict that Ramaco Resources will post -0.58 EPS for the current fiscal year.

Insider Buying and Selling

In other Ramaco Resources news, major shareholder Discovery Capital Management, sold 200,000 shares of Ramaco Resources stock in a transaction on Friday, May 1st. The shares were sold at an average price of $14.79, for a total value of $2,958,000.00. Following the completion of the transaction, the insider directly owned 5,311,360 shares of the company’s stock, valued at $78,555,014.40. This trade represents a 3.63% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Insiders own 46.07% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. Bridgeway Capital Management LLC raised its holdings in shares of Ramaco Resources by 0.4% during the third quarter. Bridgeway Capital Management LLC now owns 122,998 shares of the energy company’s stock worth $4,082,000 after acquiring an additional 536 shares in the last quarter. Allworth Financial LP raised its position in shares of Ramaco Resources by 3,603.6% in the third quarter. Allworth Financial LP now owns 1,037 shares of the energy company’s stock valued at $34,000 after purchasing an additional 1,009 shares during the period. Advisory Services Network LLC acquired a new position in Ramaco Resources during the 3rd quarter worth $38,000. Police & Firemen s Retirement System of New Jersey boosted its stake in Ramaco Resources by 16.0% during the 4th quarter. Police & Firemen s Retirement System of New Jersey now owns 9,549 shares of the energy company’s stock valued at $172,000 after purchasing an additional 1,317 shares during the period. Finally, Russell Investments Group Ltd. boosted its position in shares of Ramaco Resources by 51.4% in the fourth quarter. Russell Investments Group Ltd. now owns 3,917 shares of the energy company’s stock valued at $71,000 after acquiring an additional 1,330 shares during the period. Institutional investors and hedge funds own 74.49% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms recently commented on METC. Robert W. Baird reduced their price objective on shares of Ramaco Resources from $30.00 to $25.00 and set an “outperform” rating for the company in a research note on Wednesday, May 13th. Zacks Research downgraded Ramaco Resources from a “hold” rating to a “strong sell” rating in a research report on Friday, July 17th. Morgan Stanley decreased their price objective on Ramaco Resources from $17.00 to $13.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 8th. The Goldman Sachs Group reduced their target price on shares of Ramaco Resources from $16.00 to $13.00 and set a “neutral” rating on the stock in a research note on Thursday, July 9th. Finally, B. Riley Financial dropped their target price on shares of Ramaco Resources from $24.00 to $22.00 and set a “buy” rating for the company in a report on Wednesday, May 13th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, two have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Hold” and an average target price of $26.43.

About Ramaco Resources

Ramaco Resources, Inc (NASDAQ:METC) is a U.S.-based producer of premium metallurgical coal and industrial minerals, focused on supplying the steel and allied industries. The company’s operations are centered in the Appalachian region of West Virginia, where it develops, mines and processes high-carbon coal products designed to meet the quality requirements of blast‐furnace and electric‐arc furnace steelmakers.

The firm’s flagship asset is the Elk Creek underground mine in Wyoming County, West Virginia, which began commercial production in 2019 and delivers a range of high‐grade metallurgical and anthracite coals.