On 10 January, shares of Randgold Resources Limited (NYSE:GOLD) closed lower after a volatile session. The shares dropped -0.09 points or -0.72 percent at $12.36 with a light trade volume of 12.586 million shares. After opening the session at $12.48, the shares went as high as $12.535 and as low as $12.3, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $1.17 billion and now has 94.46 million shares outstanding. Randgold Resources Limited (GOLD) stock has lost -10.69 percent of market value in 21 trading days.
GOLD stock has a trailing 3-year beta of 0, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $2.58 a share in the trailing twelve months. The stock’s value has fallen -8.71 percent year to date (YTD) against a decline of -15.11 percent in 12 month’s time. The company’s shares still trade -20.36 percent away from its 1-year high of $15.52 and 29.7 percent up from 52-week low of $9.53. The average consensus rating on the company is 0, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a buy.
Randgold Resources Limited (GOLD) will probably climb 668.53 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $17price as 12-month high target. This represents a whopping 37.54 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $14, which represents a return potential of 13.27 percent when compared to the closing price of the stock of $12.36 on Thursday, January 10. The lowest price target for the stock is $12 — slightly more than -2.91 percent from GOLD’s current share price.
History has shown that shares in Randgold Resources Limited have gone down on 14 different earnings reaction days and are predicted to add 0.03 percent when the company reports upcoming earnings.
The stock is currently hovering around the first support level of $12.26. Below this, the next support is placed in the zone of $12.16. Till the time, the GOLD stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 39.03 on daily chart, which may remain a cause for comfort. If the price breaks below $12.16 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $12.5 mark may result into a pull-back move towards $12.63 level.
Shares of Randgold Resources Limited (GOLD) are trading at a P/E ratio of 8.18 times earnings reported for the past 12 months. The industry GOLD operates in has an average P/E of 2.05. Its P/E ratio went as low as 28.42X and as high as 28.42 over the 5-year span.Further, it is sporting a 1.03 on the Price-to-Sales ratio. Compare this with the industry average P/S of 3.74.