Vale (NYSE:VALE) Share Price Passes Below 50-Day Moving Average – What’s Next?

Vale S.A. (NYSE:VALE)’s share price crossed below its 50-day moving average during trading on Tuesday . The stock has a 50-day moving average of $16.18 and traded as low as $15.84. Vale shares last traded at $16.0050, with a volume of 21,952,558 shares traded.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on VALE. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Vale in a report on Friday, April 10th. Royal Bank Of Canada cut shares of Vale from an “outperform” rating to a “sector perform” rating and raised their price target for the stock from $14.50 to $15.50 in a report on Thursday, March 12th. Wells Fargo & Company decreased their price target on shares of Vale from $17.00 to $16.00 and set an “equal weight” rating for the company in a report on Thursday, April 30th. Bank of America raised shares of Vale from a “neutral” rating to a “buy” rating and raised their price target for the stock from $18.00 to $19.00 in a report on Thursday, April 2nd. Finally, Zacks Research cut shares of Vale from a “strong-buy” rating to a “hold” rating in a report on Thursday, February 5th. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $16.46.

Vale Trading Down 1.9%

The company has a market cap of $72.65 billion, a price-to-earnings ratio of 23.89 and a beta of 0.46. The company has a quick ratio of 0.79, a current ratio of 1.24 and a debt-to-equity ratio of 0.48. The company’s 50-day moving average is $16.18 and its 200 day moving average is $14.92.

Vale (NYSE:VALE) last announced its earnings results on Tuesday, April 28th. The basic materials company reported $0.44 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.52 by ($0.08). Vale had a net margin of 7.21% and a return on equity of 21.10%. The company had revenue of $9.26 billion during the quarter, compared to analyst estimates of $9.53 billion. Research analysts predict that Vale S.A. will post 2.12 EPS for the current year.

Insider Transactions at Vale

In other Vale news, insider Parenti Grazielle Tallia purchased 10,464 shares of the stock in a transaction that occurred on Wednesday, April 1st. The shares were purchased at an average cost of $16.11 per share, for a total transaction of $168,575.04. Following the completion of the transaction, the insider owned 10,464 shares of the company’s stock, valued at $168,575.04. The trade was a ∞ increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. Also, VP Sobrinho Sami Arap purchased 12,990 shares of the stock in a transaction that occurred on Wednesday, April 1st. The shares were acquired at an average price of $16.11 per share, for a total transaction of $209,268.90. Following the completion of the transaction, the vice president directly owned 12,990 shares of the company’s stock, valued at $209,268.90. The trade was a ∞ increase in their position. Additional details regarding this purchase are available in the official SEC disclosure.

Hedge Funds Weigh In On Vale

Institutional investors have recently bought and sold shares of the company. N.E.W. Advisory Services LLC purchased a new position in Vale during the fourth quarter worth about $26,000. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna raised its stake in shares of Vale by 128.3% in the 4th quarter. Investors Towarzystwo Funduszy Inwestycyjnych Spolka Akcyjna now owns 2,055 shares of the basic materials company’s stock valued at $27,000 after acquiring an additional 1,155 shares during the period. Cary Street Partners Investment Advisory LLC raised its stake in shares of Vale by 60.0% in the 3rd quarter. Cary Street Partners Investment Advisory LLC now owns 2,748 shares of the basic materials company’s stock valued at $30,000 after acquiring an additional 1,030 shares during the period. Bruce G. Allen Investments LLC purchased a new stake in shares of Vale in the 4th quarter valued at approximately $33,000. Finally, Triumph Capital Management purchased a new stake in shares of Vale in the 3rd quarter valued at approximately $34,000. 21.85% of the stock is owned by hedge funds and other institutional investors.

About Vale

Vale SA is a Brazilian multinational mining company and one of the world’s largest producers of iron ore and iron ore pellets. In addition to iron ore, the company produces and sells a range of bulk commodities and metals, including nickel, copper, coal, manganese, ferroalloys and cobalt, and it participates in the fertilizer inputs market. Vale also operates extensive logistics assets — including rail, port and maritime logistics — that support its mining and export activities and provide services to third parties in some regions.

Headquartered in Brazil, Vale maintains a global operational footprint with mining, processing and shipping activities across the Americas, Africa, Asia and Oceania.