Sandstorm Gold (NYSE:SAND) Stock Price Down 9.8% on Disappointing Earnings

Sandstorm Gold Ltd. (NYSE:SAND)’s stock price dropped 9.8% during mid-day trading on Wednesday following a dissappointing earnings announcement. The company traded as low as $5.82 and last traded at $5.85. Approximately 1,624,994 shares traded hands during trading, a decline of 69% from the average daily volume of 5,260,163 shares. The stock had previously closed at $6.48.

The company reported $0.01 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.04 by ($0.03). The firm had revenue of $47.40 million during the quarter, compared to the consensus estimate of $67.49 million. Sandstorm Gold had a net margin of 20.46% and a return on equity of 2.44%. During the same quarter last year, the firm posted ($0.04) EPS.

Sandstorm Gold Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, January 31st. Investors of record on Tuesday, January 21st were issued a $0.02 dividend. This represents a $0.08 dividend on an annualized basis and a dividend yield of 1.37%. This is a boost from Sandstorm Gold’s previous quarterly dividend of $0.02. The ex-dividend date was Tuesday, January 21st. Sandstorm Gold’s payout ratio is currently 50.00%.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the stock. HC Wainwright dropped their price objective on shares of Sandstorm Gold from $12.00 to $11.50 and set a “buy” rating for the company in a research report on Wednesday. StockNews.com lowered Sandstorm Gold from a “buy” rating to a “hold” rating in a research report on Thursday, February 13th. Three analysts have rated the stock with a hold rating and two have given a buy rating to the stock. According to MarketBeat, Sandstorm Gold presently has a consensus rating of “Hold” and an average price target of $8.38.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Boston Partners grew its position in shares of Sandstorm Gold by 39,289.9% in the 4th quarter. Boston Partners now owns 9,812,015 shares of the company’s stock valued at $54,751,000 after purchasing an additional 9,787,105 shares during the period. Invesco Ltd. boosted its holdings in shares of Sandstorm Gold by 35.0% in the fourth quarter. Invesco Ltd. now owns 6,522,246 shares of the company’s stock valued at $36,394,000 after buying an additional 1,691,296 shares during the period. Dimensional Fund Advisors LP lifted its position in Sandstorm Gold by 22.5% during the 4th quarter. Dimensional Fund Advisors LP now owns 4,974,343 shares of the company’s stock worth $27,781,000 after buying an additional 913,527 shares in the last quarter. Sprott Inc. boosted its stake in shares of Sandstorm Gold by 77.9% during the 4th quarter. Sprott Inc. now owns 4,465,843 shares of the company’s stock worth $24,925,000 after buying an additional 1,955,916 shares during the last quarter. Finally, Amundi grew its holdings in shares of Sandstorm Gold by 74.9% in the 4th quarter. Amundi now owns 2,890,535 shares of the company’s stock valued at $16,447,000 after acquiring an additional 1,238,050 shares in the last quarter. 51.97% of the stock is owned by institutional investors and hedge funds.

Sandstorm Gold Trading Down 9.6 %

The business has a 50-day moving average of $5.81 and a 200-day moving average of $5.80. The company has a debt-to-equity ratio of 0.26, a current ratio of 2.29 and a quick ratio of 2.29. The firm has a market cap of $1.74 billion, a price-to-earnings ratio of 48.79 and a beta of 1.10.

About Sandstorm Gold

Sandstorm Gold Ltd. operates as a gold royalty company. The company focuses on acquiring royalties and gold and other metals purchase agreements from companies that have advanced stage operating mines. It offers upfront payments for companies to acquire a stream and receives the right to purchase a percentage of a mine's production for the life of the mine.