Ramaco Resources (NASDAQ:METC) Trading Down 6.8% – Should You Sell?

Ramaco Resources, Inc. (NASDAQ:METC) fell 6.8% during trading on Wednesday . The company traded as low as $14.12 and last traded at $14.0650. 891,411 shares were traded during trading, a decline of 65% from the average session volume of 2,553,623 shares. The stock had previously closed at $15.09.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on METC. Zacks Research cut Ramaco Resources from a “hold” rating to a “strong sell” rating in a research note on Tuesday, February 3rd. The Goldman Sachs Group lowered their target price on Ramaco Resources from $16.00 to $14.00 and set a “sell” rating on the stock in a research note on Monday, March 2nd. Robert W. Baird lowered their target price on Ramaco Resources from $40.00 to $30.00 and set an “outperform” rating on the stock in a research note on Friday, February 27th. Jefferies Financial Group upgraded Ramaco Resources from a “hold” rating to a “buy” rating and lowered their target price for the stock from $33.00 to $30.00 in a research note on Tuesday, January 20th. Finally, Weiss Ratings reiterated a “sell (d+)” rating on shares of Ramaco Resources in a research note on Monday, December 29th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, one has assigned a Hold rating and three have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $31.86.

Ramaco Resources Stock Down 1.6%

The stock has a 50 day moving average of $15.79 and a 200-day moving average of $22.10. The firm has a market capitalization of $909.48 million, a P/E ratio of -13.69 and a beta of 1.43. The company has a debt-to-equity ratio of 0.95, a quick ratio of 4.66 and a current ratio of 5.46.

Ramaco Resources (NASDAQ:METC) last announced its quarterly earnings data on Wednesday, February 25th. The energy company reported ($0.22) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.24) by $0.02. Ramaco Resources had a negative return on equity of 12.01% and a negative net margin of 9.59%.The business had revenue of $108.72 million for the quarter, compared to analysts’ expectations of $143.48 million. During the same period in the previous year, the business posted $0.02 EPS. The firm’s quarterly revenue was down 25.1% compared to the same quarter last year. Research analysts predict that Ramaco Resources, Inc. will post 0.05 earnings per share for the current fiscal year.

Ramaco Resources announced that its Board of Directors has initiated a share buyback plan on Tuesday, December 23rd that permits the company to repurchase $100.00 million in outstanding shares. This repurchase authorization permits the energy company to repurchase up to 9.7% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board believes its stock is undervalued.

Institutional Investors Weigh In On Ramaco Resources

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Caitong International Asset Management Co. Ltd grew its holdings in Ramaco Resources by 78,508.3% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 9,433 shares of the energy company’s stock valued at $170,000 after buying an additional 9,421 shares in the last quarter. MidFirst Bank purchased a new position in Ramaco Resources during the 4th quarter valued at about $54,000. XTX Topco Ltd purchased a new position in Ramaco Resources during the 4th quarter valued at about $682,000. VARCOV Co. purchased a new position in Ramaco Resources during the 4th quarter valued at about $1,048,000. Finally, Voloridge Investment Management LLC purchased a new position in Ramaco Resources during the 4th quarter valued at about $2,639,000. 74.49% of the stock is currently owned by institutional investors.

Ramaco Resources Company Profile

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.