Chartwell Investment Partners LLC, an American investment management firm based in Pennsylvania, recently sold 13.6% of its stake in Alamos Gold Inc. Chartwell had originally owned 736,900 shares of the Canadian-based basic materials company’s stock but reduced it by 100,000 shares over the first quarter of this year. As a result, Chartwell now holds approximately 0.16% of Alamos Gold’s shares after selling its stake for an estimated $7,789,000.
Alamos Gold (NYSE:AGI) (TSE:AGI) is a precious metals mining company that primarily explores gold and silver deposits across Canada and Mexico. The company operates four mines and has one exploration project underway. In April this year, Alamos Gold released their quarterly earnings report which showed $251.50 million in revenue during the same period that analysts had previously predicted would only reach $231.55 million.
For the same quarter last year, Alamos Gold reports earning only $0.05 EPS while this year’s Q1 earnings came to $0.12 EPS — a substantial increase from the previous year and above forecasted expectations by $0.04 EPS per share. With a healthy net margin of 10.58% as well as a return on equity of 4.98%, analysts are optimistic that Alamos might post an EPS of at least $0.47 for their current fiscal year.
The company seems to be maintaining its trajectory towards success with its positive Q1 results from this year and adding to its list of assets through exploration projects like Lynn Lake located in Manitoba, Canada set to begin soon.
Although Chartwell has divested some of their stake in Alamos Gold Inc., other investors hold steady to theirs such as Renaissance Technologies LLC who own around 5 million shares according to their latest SEC filing before trading on May 25th closed at USD8.11/share. Alamos Gold might be a solid recommendation for investors who are interested in investing in mining companies that deal with precious metals. Its diversified portfolio of holdings across North America seems to ensure long-term stability and growth opportunities for seasoned stockholders and new investors alike.
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Alamos Gold Inc. Expands Production and Mineral Resources with Trillium Mining Acquisition
Canada-based Alamos Gold Inc. recently announced the closing of its acquisition of Trillium Mining Corp, which owns an interest in the advanced stage Goldboro Project located in Nova Scotia for a cash consideration of C $25 million. The project has indicated resources of 810,000 ounces and inferred resources totalling 890,000 ounces. This acquisition is part of Alamos’ ongoing strategy to increase its production and mineral resources. The gold mining company seeks to continue generating efficiencies through its current streams whilst advancing exploration to unlock new opportunities.
Over recent months, several large financial organisations have bought and sold shares in Alamos Gold Inc. United Capital Financial Advisers LLC lifted its position by 4.6% during the third quarter whilst RiverGlades Family Offices LLC purchased a new position in shares during the fourth quarter worth $182,000. Blueshift Asset Management LLC also bought into shares during last year’s third quarter. Intact Investment Management Inc. acquired a new position valued at $2,650,000 during Q4 whilst National Bank of Canada FI increased their holding by 31.1% earlier this year.
AGI stock opened at $11.72 on Friday and has reached both a twelve month low and high over that period; $6.35 and $14.12 respectively with a market capitalization of $4.64 billion, P/E ratio of 48:83 and beta value of 1:09.
Alamos Gold Inc engages in the acquisition, exploration, development and extraction of precious metals primarily exploring for gold and silver deposits across Canada and Mexico with holdings including Young-Davidson mine located in Ontario Canada Island Gold mine located in Ontario Canada; Mulatos mine situated in Sonora Mexico as well as Lynn Lake project located Manitoba Canada.
Investors currently stand to benefit from quarterly dividend payments after Alamos disclosed it would be paying dividends on Thursday June 29th to shareholders who were listed in the records on Thursday June 15th. The payout ratio presently stands at 41:67%.
Several brokerages have analysed AGI, with Laurentian lowering their rating to “hold” status. In contrast, StockNews.com recently upgraded shares from “hold” to “buy”, and Scotiabank issued an “outperform” rating with a price objective of $14.50 whilst TD Securities reduced Alamos Gold from a “buy” rating to a “hold” rating. At present, Bloomberg.com suggest that Alamos Gold currently holds an average consensus rating of “Hold” with an estimated average target price of $16.08.
As Alamos’ expansion continues with its acquisition of Trillium Mining Corp (Goldboro Project), investors and shareholders alike eagerly anticipate the continued growth and success for this international company.