New Gold (NYSE:NGD) Trading Down 6.6% – Here’s Why

New Gold Inc. (NYSE:NGD) shares fell 6.6% on Wednesday . The stock traded as low as $8.80 and last traded at $8.8960. 2,837,939 shares changed hands during mid-day trading, a decline of 81% from the average session volume of 14,645,169 shares. The stock had previously closed at $9.52.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on NGD shares. Raymond James Financial reiterated a “market perform” rating and set a $7.00 target price on shares of New Gold in a research report on Friday, October 10th. CIBC raised their price objective on shares of New Gold from $6.50 to $9.50 and gave the stock an “outperformer” rating in a report on Friday, October 10th. National Bankshares reissued an “outperform” rating on shares of New Gold in a report on Thursday, October 30th. Scotiabank raised their price target on New Gold from $5.50 to $8.00 and gave the stock an “outperform” rating in a report on Thursday, October 23rd. Finally, TD Securities upgraded New Gold from a “hold” rating to a “buy” rating and set a $12.00 price target for the company in a research report on Monday, December 1st. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Buy” and an average price target of $7.38.

New Gold Stock Performance

The company has a debt-to-equity ratio of 0.38, a current ratio of 1.39 and a quick ratio of 0.84. The stock has a market cap of $7.57 billion, a P/E ratio of 73.54 and a beta of 0.62. The company has a 50 day simple moving average of $8.00 and a 200-day simple moving average of $6.53.

Institutional Trading of New Gold

Several institutional investors have recently added to or reduced their stakes in NGD. Employees Retirement System of Texas bought a new position in New Gold during the 2nd quarter valued at approximately $32,000. Aventura Private Wealth LLC purchased a new position in New Gold in the fourth quarter worth about $34,000. Wealth Enhancement Advisory Services LLC bought a new position in shares of New Gold in the third quarter worth approximately $41,000. MAI Capital Management purchased a new stake in shares of New Gold during the third quarter valued at $43,000. Finally, SBI Securities Co. Ltd. raised its position in New Gold by 1,837.7% in the 2nd quarter. SBI Securities Co. Ltd. now owns 8,933 shares of the company’s stock worth $44,000 after buying an additional 8,472 shares during the last quarter. 42.82% of the stock is currently owned by hedge funds and other institutional investors.

New Gold Company Profile

New Gold Inc is a Canadian-based intermediate precious metals producer focused on the exploration, development and operation of gold and copper mining assets. The company was formed in 2008 through the merger of two exploration firms and has since grown into a multi-asset mining platform. Headquartered in Toronto, New Gold emphasizes a disciplined approach to capital allocation and operational execution, with a commitment to environmental stewardship and strong community relations.

New Gold’s principal producing assets include the New Afton Mine in British Columbia and the Rainy River Mine in northwestern Ontario.