Compañía de Minas Buenaventura S.A.A. Shares Gap Up - Should You Buy?

Compañía de Minas Buenaventura S.A.A. (NYSE:BVN) saw a gap up in its stock price when the market opened on Tuesday. The shares closed at $15.39 but opened higher at $15.79 before settling at $15.69 with a trading volume of 349,323 shares.

Analyst Ratings Changes

The company has been the subject of several recent analyst reports. Notably, StockNews.com downgraded the stock from a "buy" rating to a "hold" rating on February 24th. Conversely, Scotiabank upgraded Compañía de Minas Buenaventura S.A.A. from a "sector underperform" rating to a "sector perform" rating, establishing a price target of $15.00.

Stock Performance

Currently, the stock's fifty-day moving average stands at $13.08, while the two-hundred-day moving average is $12.90. With a market capitalization of $3.98 billion, the company has a price-to-earnings (P/E) ratio of 11.12, and a beta of 0.76. The financial health indicators show a current ratio of 1.82 and a quick ratio of 1.64, with a low debt-to-equity ratio of 0.07.

Compañía de Minas Buenaventura S.A.A. recently reported its earnings on February 20th, with an earnings per share (EPS) of $0.13 for the quarter. This missed analysts' expectations of $0.20 by $0.07. The revenue for the quarter was $299.59 million, falling short of the forecasted $315.77 million. The company's net margin was impressive at 32.40%, and its return on equity stood at 6.15%. Analysts predict that the company will achieve an EPS of 1.13 for the current year.

Institutional Investments

Recent activity from hedge funds and institutional investors has seen some adjustments in their holdings of Compañía de Minas Buenaventura S.A.A. For instance, SBI Securities Co. Ltd. acquired a new stake valued at approximately $50,000 in the fourth quarter. Barclays PLC increased their holdings by 37.2%, now owning 161,288 shares worth $2,232,000. JPMorgan Chase & Co. made significant additions, lifting its stake by 212.0% to now hold 1,698,044 shares valued at $23,501,000 after buying an additional 1,153,819 shares. Other institutions like Weiss Asset Management LP and Sanctuary Advisors LLC also bought new positions in the company during the last quarter.

Company Overview

Compañía de Minas Buenaventura S.A.A. is involved in the exploration, development, construction, and operation of mineral processing activities. The company primarily explores for metals such as gold, silver, lead, zinc, and copper. It operates several mining units across Peru, including Tambomayo, Orcopampa, Uchucchacua, Julcani, and San Gabrie.

Investment Considerations

Before considering an investment in Compañía de Minas Buenaventura S.A.A., it is essential to note that MarketBeat’s analysis shows that while the stock holds a Moderate Buy rating, top analysts have identified five other stocks that they believe are more promising at this time. Investors might want to review these alternative opportunities before making a decision.

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