Ramaco Resources (NASDAQ:METC) Trading 9.3% Higher – Time to Buy?

Ramaco Resources, Inc. (NASDAQ:METC) rose 9.3% on Monday . The stock traded as high as $21.91 and last traded at $22.2720. Approximately 1,464,316 shares changed hands during trading, a decline of 30% from the average daily volume of 2,104,894 shares. The stock had previously closed at $20.38.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on METC. Northland Securities set a $44.00 price target on Ramaco Resources in a report on Wednesday, October 29th. Jefferies Financial Group cut Ramaco Resources from a “buy” rating to a “hold” rating and cut their target price for the stock from $45.00 to $33.00 in a report on Tuesday, October 28th. Robert W. Baird set a $43.00 price target on shares of Ramaco Resources in a research note on Wednesday, October 29th. Benchmark upped their price objective on shares of Ramaco Resources from $24.00 to $38.00 and gave the stock a “buy” rating in a report on Wednesday, October 29th. Finally, Northland Capmk upgraded shares of Ramaco Resources to a “strong-buy” rating in a report on Wednesday, October 8th. Two investment analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating, three have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $34.50.

Ramaco Resources Trading Up 8.2%

The company has a debt-to-equity ratio of 0.24, a quick ratio of 2.24 and a current ratio of 2.97. The firm has a market capitalization of $1.46 billion, a P/E ratio of -32.91 and a beta of 1.44. The firm has a 50 day simple moving average of $18.47 and a two-hundred day simple moving average of $24.12.

Ramaco Resources (NASDAQ:METC) last released its quarterly earnings results on Monday, October 27th. The energy company reported ($0.25) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.30) by $0.05. Ramaco Resources had a negative net margin of 5.67% and a negative return on equity of 8.26%. The company had revenue of $104.87 million for the quarter, compared to analyst estimates of $137.63 million. During the same period last year, the firm earned ($0.03) earnings per share. The firm’s revenue was down 27.7% on a year-over-year basis. Equities research analysts forecast that Ramaco Resources, Inc. will post 0.05 earnings per share for the current year.

Ramaco Resources declared that its board has authorized a stock buyback program on Tuesday, December 23rd that allows the company to repurchase $100.00 million in outstanding shares. This repurchase authorization allows the energy company to buy up to 9.7% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s management believes its shares are undervalued.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Archer Investment Corp purchased a new stake in Ramaco Resources during the third quarter valued at about $33,000. 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. MCF Advisors LLC purchased a new stake in shares of Ramaco Resources during the 3rd quarter valued at approximately $35,000. Advisory Services Network LLC bought a new position in Ramaco Resources in the 3rd quarter worth approximately $38,000. Finally, Sunbelt Securities Inc. boosted its holdings in Ramaco Resources by 400.0% in the 3rd quarter. Sunbelt Securities Inc. now owns 2,500 shares of the energy company’s stock worth $83,000 after buying an additional 2,000 shares during the period. 74.49% of the stock is owned by institutional investors.

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.