Parex Resources (TSE:PXT) Shares Down 9.6% – Should You Sell?

Parex Resources Inc. (TSE:PXT) traded down 9.6% on Wednesday . The company traded as low as C$24.83 and last traded at C$24.83. 64,755 shares were traded during trading, a decline of 93% from the average session volume of 877,145 shares. The stock had previously closed at C$27.48.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on the company. Jefferies Financial Group raised their price objective on Parex Resources from C$18.00 to C$20.50 in a research note on Monday, December 15th. Royal Bank Of Canada raised their target price on Parex Resources from C$23.00 to C$28.00 and gave the company a “sector perform” rating in a report on Friday, March 13th. Finally, Roth Mkm set a C$24.00 target price on Parex Resources and gave the company a “buy” rating in a report on Friday, December 12th. Two equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of C$22.50.

Parex Resources Stock Performance

The stock has a fifty day simple moving average of C$23.46 and a two-hundred day simple moving average of C$20.21. The stock has a market cap of C$2.39 billion, a price-to-earnings ratio of 9.50, a P/E/G ratio of 0.21 and a beta of 0.02. The company has a debt-to-equity ratio of 2.16, a quick ratio of 1.45 and a current ratio of 1.11.

Parex Resources (TSE:PXT) last issued its earnings results on Wednesday, March 4th. The company reported C$0.43 earnings per share for the quarter. The firm had revenue of C$223.53 million for the quarter. Parex Resources had a return on equity of 13.39% and a net margin of 26.85%.

Parex Resources Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, March 25th. Shareholders of record on Wednesday, March 25th were issued a $0.385 dividend. This represents a $1.54 dividend on an annualized basis and a dividend yield of 6.2%. The ex-dividend date of this dividend was Wednesday, March 18th. Parex Resources’s dividend payout ratio (DPR) is currently 42.29%.

About Parex Resources

Parex Resources Inc engages in exploration, development, and production of crude oil. The company brings technology utilized in the Western Canada Sedimentary Basin to South American basins with large oil-in-place potential. Majority of the company’s properties are focused in Colombia, where it pays a royalty or tax to the government for its operations. Parex depends on a team of geologists and geophysicists, in partnership with technologies such as 3D seismic surveying, to help exploration efforts.