IAMGOLD Corporation [NYSE: IAG] stock went on a downward path that fall over -7.30% on Thursday, amounting to a one-week price decrease of less than -12.93%. The company report on May 31, 2021 that IAMGOLD Announces Filing of Early Warning Report in Connection with Dundee Precious Metals’ Proposed Acquisition of INV Metals.
Toronto, Ontario–(Newsfile Corp. – May 31, 2021) – IAMGOLD Corporation (TSX: IMG) (NYSE: IAG) (“IAMGOLD” or the “Company”) announces that it has entered into a voting and support agreement (the “Support Agreement”) with Dundee Precious Metals Inc. (“DPM”) pursuant to which IAMGOLD has agreed, subject to the terms and conditions thereof, to vote all of its common shares (the “Common Shares”) of INV Metals Inc. (“INV”) in favour of the proposed acquisition of INV by DPM by way of a plan of arrangement (the “Transaction”). Under the terms of the arrangement agreement dated May 30, 2021 (the “Arrangement Agreement”), holders of Common Shares will receive 0.0910 common shares of DPM in exchange for each Common Share. IAMGOLD beneficially owns and has control or direction over 53,331,158 Common Shares, representing approximately 35.5% of the total issued and outstanding Common Shares.
The Support Agreement may be terminated by the mutual agreement in writing of DPM and IAMGOLD. The Support Agreement will also terminate and be of no further force or effect in certain circumstances, including in the event that the Arrangement Agreement is terminated by INV in order to accept a superior proposal.
Over the last 12 months, IAG stock dropped by -0.90%. The average equity rating for IAG stock is currently 2.20, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $1.61 billion, with 475.80 million shares outstanding and 474.43 million shares in the current float. Compared to the average trading volume of 4.35M shares, IAG stock reached a trading volume of 5930983 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on IAMGOLD Corporation [IAG]:
Desjardins have made an estimate for IAMGOLD Corporation shares, keeping their opinion on the stock as Buy, with their previous recommendation back on September 09, 2020. While these analysts kept the previous recommendation, BofA Securities dropped their target price from $6.25 to $4.40. The new note on the price target was released on August 07, 2020, representing the official price target for IAMGOLD Corporation stock.
The Average True Range (ATR) for IAMGOLD Corporation is set at 0.13, with the Price to Sales ratio for IAG stock in the period of the last 12 months amounting to 1.27. The Price to Book ratio for the last quarter was 0.63, with the Price to Cash per share for the same quarter was set at 1.98. Price to Free Cash Flow for IAG in the course of the last twelve months was 3.42 with Quick ratio for the last quarter at 2.70.
IAG Stock Performance Analysis:
IAMGOLD Corporation [IAG] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -12.93. With this latest performance, IAG shares dropped by -7.56% in over the last four-week period, additionally sinking by -8.59% over the last 6 months – not to mention a drop of -0.90% 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 IAG stock in for the last two-week period is set at 37.19, with the RSI for the last a single of trading hit 28.03, and the three-weeks RSI is set at 42.57 for IAMGOLD Corporation [IAG]. The present Moving Average for the last 50 days of trading for this stock 3.44, while it was recorded at 3.58 for the last single week of trading, and 3.53 for the last 200 days.
Insight into IAMGOLD Corporation Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and IAMGOLD Corporation [IAG] shares currently have an operating margin of +15.72 and a Gross Margin at +19.34. IAMGOLD Corporation’s Net Margin is presently recorded at +3.10.
Return on Total Capital for IAG is now 6.83, given the latest momentum, and Return on Invested Capital for the company is 1.40. Return on Equity for this stock inclined to 1.67, with Return on Assets sitting at 0.99. When it comes to the capital structure of this company, IAMGOLD Corporation [IAG] has a Total Debt to Total Equity ratio set at 21.70. Additionally, IAG Total Debt to Total Capital is recorded at 17.83, with Total Debt to Total Assets ending up at 12.57. Long-Term Debt to Equity for the company is recorded at 20.65, with the Long-Term Debt to Total Capital now at 16.96.
Reflecting on the efficiency of the workforce at the company, IAMGOLD Corporation [IAG] managed to generate an average of $9,889 per employee. Receivables Turnover for the company is 19.66 with a Total Asset Turnover recorded at a value of 0.32.IAMGOLD Corporation’s liquidity data is similarly interesting compelling, with a Quick Ratio of 2.70 and a Current Ratio set at 3.50.
IAG Stock EPS
With the latest financial reports released by the company, IAMGOLD Corporation posted 0.01/share EPS, while the average EPS was predicted by analysts to be reported at -0.02/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 150.00%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for IAG. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for IAMGOLD Corporation go to 3.00%.
IAMGOLD Corporation [IAG] Insider Position Details
There are presently around $753 million, or 76.80% of IAG stock, in the hands of institutional investors. The top three institutional holders of IAG stocks are: VAN ECK ASSOCIATES CORP with ownership of 47,421,683, which is approximately -7.402% of the company’s market cap and around 1.70% of the total institutional ownership; DONALD SMITH & CO., INC., holding 41,973,817 shares of the stock with an approximate value of $138.51 million in IAG stocks shares; and RENAISSANCE TECHNOLOGIES LLC, currently with $72.47 million in IAG stock with ownership of nearly -9.065% of the company’s market capitalization.
Positions in IAMGOLD Corporation stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 66 institutional holders increased their position in IAMGOLD Corporation [NYSE:IAG] by around 13,800,364 shares. Additionally, 66 investors decreased positions by around 34,027,074 shares, while 31 investors held positions by with 180,212,099 shares. The mentioned changes placed institutional holdings at 228,039,537 shares, according to the latest SEC report filing. IAG stock had 20 new institutional investments in for a total of 4,513,956 shares, while 17 institutional investors sold positions of 6,961,072 shares during the same period.