Vale (NYSE:VALE) Reaches New 12-Month High – Time to Buy?

Shares of Vale S.A. (NYSE:VALE) reached a new 52-week high during mid-day trading on Tuesday . The company traded as high as $17.77 and last traded at $17.6750, with a volume of 7085453 shares changing hands. The stock had previously closed at $17.45.

Wall Street Analyst Weigh In

A number of research firms have issued reports on VALE. Royal Bank Of Canada downgraded Vale from an “outperform” rating to a “sector perform” rating and boosted their price target for the company from $14.50 to $15.50 in a research report on Thursday, March 12th. Bank of America raised Vale from a “neutral” rating to a “buy” rating and upped their target price for the stock from $18.00 to $19.00 in a research report on Thursday, April 2nd. Zacks Research downgraded Vale from a “strong-buy” rating to a “hold” rating in a research report on Thursday, February 5th. UBS Group upped their target price on Vale from $12.00 to $16.00 and gave the stock a “neutral” rating in a research report on Friday, March 27th. Finally, JPMorgan Chase & Co. upped their target price on Vale from $18.00 to $18.50 and gave the stock an “overweight” rating in a research report on Friday, April 10th. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat, Vale currently has a consensus rating of “Moderate Buy” and a consensus target price of $16.02.

Vale Price Performance

The company has a 50-day moving average price of $16.06 and a two-hundred day moving average price of $14.03. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.15 and a quick ratio of 0.78. The company has a market cap of $80.05 billion, a PE ratio of 31.49 and a beta of 0.53.

Vale (NYSE:VALE) last issued its earnings results on Friday, February 13th. The basic materials company reported ($0.90) earnings per share for the quarter, missing the consensus estimate of $0.52 by ($1.42). Vale had a return on equity of 20.16% and a net margin of 6.12%.The company had revenue of $11.06 billion during the quarter, compared to analysts’ expectations of $10.86 billion. Sell-side analysts expect that Vale S.A. will post 1.85 earnings per share for the current fiscal year.

Insider Transactions at Vale

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

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of VALE. NewEdge Advisors LLC boosted its holdings in Vale by 4.9% in the first quarter. NewEdge Advisors LLC now owns 79,400 shares of the basic materials company’s stock valued at $792,000 after purchasing an additional 3,704 shares during the last quarter. Jones Financial Companies Lllp boosted its holdings in Vale by 46.6% in the first quarter. Jones Financial Companies Lllp now owns 37,613 shares of the basic materials company’s stock valued at $375,000 after purchasing an additional 11,964 shares during the last quarter. Empowered Funds LLC purchased a new position in Vale in the first quarter valued at about $171,000. Strs Ohio purchased a new position in Vale in the first quarter valued at about $117,000. Finally, Sivia Capital Partners LLC purchased a new position in Vale in the second quarter valued at about $123,000. Hedge funds and other institutional investors own 21.85% of the company’s stock.

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.