Equinox Gold Corp. [AMEX: EQX] stock went on an upward path that rose over 5.36% on Thursday, amounting to a one-week price increase of more than 5.04%. The company report on December 16, 2020 that Equinox Gold Announces Friendly Acquisition of Premier Gold Mines.
All dollar amounts are in United States dollars unless otherwise indicated.
VANCOUVER, BC and THUNDER BAY, ON, Dec. 16, 2020 /CNW/ – Equinox Gold Corp. (TSX: EQX) (NYSE American: EQX) (“Equinox Gold”) and Premier Gold Mines Limited (TSX: PG) (OTCPK: PIRGF) (“Premier”) are pleased to announce that the companies have entered into a definitive agreement (the “Agreement”) whereby Equinox Gold will acquire all of the outstanding shares of Premier. Concurrently, Premier will spin-out to its shareholders shares of a newly created US-focused gold production and development company to be called i-80 Gold Corp. (“i-80 Gold”, and together with the Agreement, the “Transaction”) that will own the South-Arturo and McCoy-Cove properties and will complete Premier’s previously announced acquisition of the Getchell Project, all in Nevada. Equinox Gold will retain Premier’s interest in the world-class Hardrock Project in Ontario, the Mercedes Mine in Mexico, and the Hasaga and Rahill-Bonanza properties in Red Lake, Ontario. On closing of the Transaction, existing Equinox Gold and Premier shareholders will own approximately 84% and 16% of Equinox Gold, and Equinox Gold and existing shareholders of Premier will own 30% and 70% of i-80 Gold, respectively, on an issued share basis.
Over the last 12 months, EQX stock rose by 61.64%.
The market cap for the stock reached $2.57 billion, with 241.87 million shares outstanding and 214.48 million shares in the current float. Compared to the average trading volume of 1.21M shares, EQX stock reached a trading volume of 2033524 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Equinox Gold Corp. [EQX]:
The Average True Range (ATR) for Equinox Gold Corp. is set at 0.44, with the Price to Sales ratio for EQX stock in the period of the last 12 months amounting to 3.62. The Price to Book ratio for the last quarter was 2.94.
EQX Stock Performance Analysis:
Equinox Gold Corp. [EQX] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 5.04. With this latest performance, EQX shares gained by 0.95% in over the last four-week period, additionally plugging by 4.53% over the last 6 months – not to mention a rise of 61.64% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for EQX stock in for the last two-week period is set at 53.86, with the RSI for the last a single of trading hit 59.06, and the three-weeks RSI is set at 50.69 for Equinox Gold Corp. [EQX]. The present Moving Average for the last 50 days of trading for this stock 10.92, while it was recorded at 10.17 for the last single week of trading, and 10.30 for the last 200 days.
Insight into Equinox Gold Corp. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Equinox Gold Corp. [EQX] shares currently have an operating margin of +19.57 and a Gross Margin at +26.49. Equinox Gold Corp.’s Net Margin is presently recorded at -6.52.
Return on Total Capital for EQX is now 8.39, given the latest momentum, and Return on Invested Capital for the company is -3.11. Return on Equity for this stock declined to -4.50, with Return on Assets sitting at -2.30. When it comes to the capital structure of this company, Equinox Gold Corp. [EQX] has a Total Debt to Total Equity ratio set at 65.85. Additionally, EQX Total Debt to Total Capital is recorded at 39.70, with Total Debt to Total Assets ending up at 31.62. Long-Term Debt to Equity for the company is recorded at 50.44, with the Long-Term Debt to Total Capital now at 30.42.
Receivables Turnover for the company is 11.75 with a Total Asset Turnover recorded at a value of 0.35.
Equinox Gold Corp. [EQX] Insider Position Details
There are presently around $809 million, or 40.36% of EQX stock, in the hands of institutional investors. The top three institutional holders of EQX stocks are: VAN ECK ASSOCIATES CORP with ownership of 28,731,329, which is approximately 6.29% of the company’s market cap and around 16.87% of the total institutional ownership; VANGUARD GROUP INC, holding 5,378,611 shares of the stock with an approximate value of $57.12 million in EQX stocks shares; and DONALD SMITH & CO., INC., currently with $48.21 million in EQX stock with ownership of nearly -6.999% of the company’s market capitalization.
Positions in Equinox Gold Corp. stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 84 institutional holders increased their position in Equinox Gold Corp. [AMEX:EQX] by around 15,885,948 shares. Additionally, 59 investors decreased positions by around 9,574,543 shares, while 18 investors held positions by with 50,683,618 shares. The mentioned changes placed institutional holdings at 76,144,109 shares, according to the latest SEC report filing. EQX stock had 32 new institutional investments in for a total of 2,201,728 shares, while 21 institutional investors sold positions of 806,695 shares during the same period.