Gold.com (NYSE:GOLD) Announces Earnings Results, Misses Estimates By $0.63 EPS

Gold.com (NYSE:GOLD) posted its quarterly earnings results on Wednesday. The company reported $0.05 EPS for the quarter, missing analysts’ consensus estimates of $0.68 by ($0.63), RTT News reports. Gold.com had a return on equity of 17.42% and a net margin of 0.34%. The business had revenue of $3.27 billion for the quarter, compared to the consensus estimate of $4.81 billion. During the same quarter in the previous year, the business posted ($0.04) EPS.

Here are the key takeaways from Gold.com’s conference call:

• Gold.com reported net income of $1.6 million, versus a year-ago loss of $0.9 million. Gross profit rose 23%, adjusted pretax net income increased 172%, and EBITDA grew 22%; revenue excluding hedging-related forward sales was up 51% year over year.
• Management described the quarter as exceptionally slow, with activity down from the prior quarter and some sales requiring lower margins. Gold and silver ounces sold were nevertheless higher year over year, while reported revenue declined 11% largely because of lower forward sales.
• The company is combining SilverTowne Mint and Sunshine Minting into a separate minting and refining segment, adding supply-chain control and capacity; refining utilization was about 65%. Management said integration is progressing and expects synergies, though stronger mint profitability depends on higher utilization.
• Cash fell to $126.8 million from $578 million at fiscal year-end, primarily reflecting lower deferred revenue and advances, while management said liquidity remains strong and precious-metal leases have been reduced to a level it considers appropriate. The board maintained the $0.20 quarterly dividend after the company paid a one-time $1 special dividend during the quarter.

Gold.com Stock Up 0.6%

Shares of Gold.com stock traded up $0.21 on Friday, hitting $37.73. The stock had a trading volume of 3,033,436 shares, compared to its average volume of 617,058. Gold.com has a twelve month low of $23.00 and a twelve month high of $66.70. The business’s 50 day moving average is $42.34 and its two-hundred day moving average is $44.70. The stock has a market cap of $1.10 billion, a price-to-earnings ratio of 12.53 and a beta of 0.63.

Gold.com Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 2nd. Stockholders of record on Thursday, November 19th will be issued a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date is Thursday, November 19th. Gold.com’s payout ratio is currently 26.58%.

Insider Transactions at Gold.com

In related news, CEO Gregory Roberts sold 25,000 shares of Gold.com stock in a transaction that occurred on Wednesday, September 9th. The stock was sold at an average price of $49.36, for a total transaction of $1,234,000.00. Following the completion of the sale, the chief executive officer directly owned 28,202 shares of the company’s stock, valued at approximately $1,392,050.72. This trade represents a 46.99% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, major shareholder Tether Global Investments Fund purchased 100,000 shares of Gold.com stock in a transaction that occurred on Thursday, September 3rd. The stock was purchased at an average price of $39.30 per share, with a total value of $3,930,000.00. Following the completion of the purchase, the insider directly owned 300,000 shares in the company, valued at $11,790,000. This trade represents a 50.00% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Over the last quarter, insiders have bought 300,000 shares of company stock worth $11,840,113 and have sold 124,859 shares worth $5,835,628. 16.50% of the stock is owned by corporate insiders.

Analyst Upgrades and Downgrades

GOLD has been the topic of a number of recent analyst reports. Northland Securities set a $55.00 target price on Gold.com in a report on Thursday, September 3rd. Canaccord Genuity Group cut their price target on Gold.com from $70.00 to $65.00 and set a “buy” rating for the company in a report on Thursday, September 3rd. Wall Street Zen cut shares of Gold.com from a “hold” rating to a “sell” rating in a research report on Saturday, October 31st. Weiss Ratings reiterated a “hold (c+)” rating on shares of Gold.com in a report on Monday, August 17th. Finally, DA Davidson reiterated a “buy” rating and issued a $60.00 price objective on shares of Gold.com in a report on Thursday, September 3rd. Four analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $58.00.

Gold.com Company Profile

Gold.com, Inc, together with its subsidiaries, operates as a precious metals company. It operates through three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The Wholesale Sales & Ancillary Services segment sells gold, silver, platinum, and palladium in the form of bars, plates, powders, wafers, grains, ingots, and coins. This segment also offers complementary services, such as receiving, handling, inventorying, processing, packing, and shipping of precious metals and custom coins on a secure basis; and designs and produces minted silver products.