May 25, 2023 – Shares of Century Aluminum (NASDAQ:CENX) opened at $7.99 on Thursday, with the industrial products company continuing to face scrutiny from analysts and investors due to a volatile year. The stock’s 50-day simple moving average was recorded at $8.77, while its 200 day simple moving average stood at $9.28. Century Aluminum had seen a low of $5.27 and a high of $12.97 over the last 52 weeks, resulting in a market capitalization of $737.64 million.
The stock currently trades at a price-to-earnings ratio of -9.18 and has a beta of 2.67, which is significantly higher than the S&P 500 index. The company’s debt-to-equity ratio is standing at 1.08 with a quick ratio that stands below one while the current ratio stands considerably above one.
Century Aluminum faced multiple rating cuts from various research reports, generating mixed recommendations from analysts and industry specialists alike. TheStreet cut Century Aluminum from a “c” rating to a “d+” rating earlier this year in February, showing ill sentiments towards future prospects of the company. Moreover, Bank of America Merrill Lynch downgraded Century Aluminium’s shares only two months ago giving them an underperform rating and decreasing their price targets form $$11 “due to bearish macro-adjustments across markets”.
Century Aluminum recently reported its quarterly earnings for Q1 in February with better-than-expected earnings per share (EPS) results but missed revenue expectations compared to analysts consensus numbers for both its top-line revenues and bottom line profits Ultimately ,the business reportedly registered negative returns on equity (-10.56%) along with negative net margins (-2.93%).
Institutional investors around the world have been making significant changes in their investment portfolios including investments in CENX shares.Major names that have bought or sold shares in Century Aluminum recently include Envestnet Asset Management Inc., Raymond James & Associates, Bank of New York Mellon Corp, MetLife Investment Management LLC and Commonwealth of Pennsylvania Public School Empls Retrmt SYS – all of which have reported significant changes to their allocations in the company.
Despite mixed reviews and concerns regarding the volatile year for Century Aluminum, investors around the globe are keeping a close eye on how the company continues to perform. The industry heavyweight has been making several strategic moves, including its acquisitions and disposals of shares, that could impact its long-term growth strategies. Only time will tell whether or not these moves pay off for its shareholders.
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Century Aluminum’s Q2 2023 Earnings Projections and Insider Investment
Century Aluminum’s Q2 2023 earnings per share estimates have been published by Zacks Research, and the figures are worth analyzing. According to their report on Monday, May 22nd, industrial products company Century Aluminum is anticipated to earn $0.08 per share for the quarter. The consensus estimate for the present annual earnings of Century Aluminum is $0.55 per share.
It should be noted that Zacks Research has also issued projected estimates for Century Aluminum’s subsequent quarters regarding earnings in 2023, as well as FY2023 earnings. It estimates a $0.22 EPS on Q3 and a $0.37 EPS on Q4 for 2023 with total FY2023 earnings at $0.56 EPS. There are also projections for the following year -Q1 of 2024 is predicted to have negative ($0.07) EPS; Q2 has an estimated return of $0.08 EPS, and Q3 could net up to $0.64 EPS, while Q4 would see a gain of up to $0.39. Based on these predictions, the total yearly earning for FY2024 is expected to reach $1.04 in earnings per share with Q1 2025 posting an estimated $0.07 EPS.
Furthermore, a purchase transaction involving SVP Matt Aboud was reported on Thursday, May 11th: 18,000 shares of Century Aluminum stock were acquired at an average cost of $7.25 per share which amounts to a total transaction sum of $130,500 USD dollars.
This action raised Aboud’s stake in the company directly as he now owns about 46,678 shares valued at around USD338,415.50 dollars according to reports that have been filed with the Securities & Exchange Commission (SEC) website.
From this information we can conclude that Zacks Research seems positive about Century Aluminum’s financial prospects especially its immediate future for the earnings projection in Q2, 2023. Furthermore, given SVP Matt Aboud’s investment in the company, the transaction could reflect a positive outlook from insiders about Century Aluminum’s performance and its potential for growth. Only time will tell if these projections come to fruition and bring wealth to investors.
