Gold.com (NYSE:GOLD) Releases Earnings Results, Misses Estimates By $0.83 EPS

Gold.com (NYSE:GOLD) posted its quarterly earnings results on Wednesday. The company reported $0.05 earnings per share for the quarter, missing the consensus estimate of $0.88 by ($0.83), RTT News reports. Gold.com had a net margin of 0.32% and a return on equity of 17.22%. During the same period last year, the business earned ($0.04) EPS.

Here are the key takeaways from Gold.com’s conference call:

• Gold.com reported net income of $1.6 million, versus a year-ago loss of $0.9 million. Gross profit rose 23%, adjusted pretax net income increased 172%, and EBITDA grew 22%; revenue excluding hedging-related forward sales was up 51% year over year.
• Management described the quarter as exceptionally slow, with activity down from the prior quarter and some sales requiring lower margins. Gold and silver ounces sold were nevertheless higher year over year, while reported revenue declined 11% largely because of lower forward sales.
• The company is combining SilverTowne Mint and Sunshine Minting into a separate minting and refining segment, adding supply-chain control and capacity; refining utilization was about 65%. Management said integration is progressing and expects synergies, though stronger mint profitability depends on higher utilization.
• Cash fell to $126.8 million from $578 million at fiscal year-end, primarily reflecting lower deferred revenue and advances, while management said liquidity remains strong and precious-metal leases have been reduced to a level it considers appropriate. The board maintained the $0.20 quarterly dividend after the company paid a one-time $1 special dividend during the quarter.

Gold.com Stock Up 6.2%

Shares of Gold.com stock traded up $2.42 on Wednesday, hitting $41.54. 2,296,180 shares of the company traded hands, compared to its average volume of 433,387. Gold.com has a 12-month low of $23.00 and a 12-month high of $66.70. The company has a market cap of $1.21 billion, a PE ratio of 7.82 and a beta of 0.63. The company has a 50-day moving average price of $42.50 and a 200 day moving average price of $44.72.

Gold.com Announces Dividend

The business also recently declared a special dividend, which was paid on Monday, September 28th. Stockholders of record on Wednesday, September 16th were issued a dividend of $0.20 per share. The ex-dividend date was Wednesday, September 16th. Gold.com’s payout ratio is currently 27.40%.

Analyst Ratings Changes

GOLD has been the subject of a number of research reports. Northland Securities set a $55.00 price objective on Gold.com in a research report on Thursday, September 3rd. DA Davidson reaffirmed a “buy” rating and set a $60.00 target price on shares of Gold.com in a research note on Thursday, September 3rd. Wall Street Zen downgraded Gold.com from a “hold” rating to a “sell” rating in a report on Saturday. Canaccord Genuity Group reduced their price target on shares of Gold.com from $70.00 to $65.00 and set a “buy” rating for the company in a research report on Thursday, September 3rd. Finally, Weiss Ratings reissued a “hold (c+)” rating on shares of Gold.com in a research report on Monday, August 17th. Four investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $58.00.

Insider Buying and Selling at Gold.com

In other news, major shareholder Tether Global Investments Fund bought 27,633 shares of the stock in a transaction on Wednesday, October 28th. The shares were purchased at an average price of $39.39 per share, for a total transaction of $1,088,463.87. Following the completion of the purchase, the insider directly owned 500,000 shares of the company’s stock, valued at $19,695,000. This trade represents a 5.85% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Jeffrey D. Benjamin sold 18,048 shares of the company’s stock in a transaction dated Tuesday, September 22nd. The stock was sold at an average price of $44.50, for a total value of $803,136.00. Following the completion of the transaction, the director directly owned 261,546 shares in the company, valued at approximately $11,638,797. The trade was a 6.46% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have purchased 300,000 shares of company stock valued at $11,840,113 and have sold 124,859 shares valued at $5,835,628. 16.50% of the stock is currently owned by company insiders.

Gold.com Company Profile

Gold.com, Inc, together with its subsidiaries, operates as a precious metals company. It operates through three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The Wholesale Sales & Ancillary Services segment sells gold, silver, platinum, and palladium in the form of bars, plates, powders, wafers, grains, ingots, and coins. This segment also offers complementary services, such as receiving, handling, inventorying, processing, packing, and shipping of precious metals and custom coins on a secure basis; and designs and produces minted silver products.