Fresnillo (LON:FRES) Trading Down 5.6% – Should You Sell?

Shares of Fresnillo plc (LON:FRES) dropped 5.6% during mid-day trading on Friday . The stock traded as low as GBX 1,007 ($13.39) and last traded at GBX 1,021 ($13.58). Approximately 1,248,325 shares were traded during trading, a decline of 63% from the average daily volume of 3,374,354 shares. The stock had previously closed at GBX 1,081 ($14.37).

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on FRES. Royal Bank of Canada reaffirmed a “sector perform” rating and issued a GBX 880 ($11.70) price target on shares of Fresnillo in a research note on Thursday, March 13th. Berenberg Bank upgraded shares of Fresnillo to a “buy” rating and lifted their price target for the company from GBX 840 ($11.17) to GBX 1,020 ($13.56) in a research report on Thursday, March 6th. Finally, Canaccord Genuity Group increased their price objective on shares of Fresnillo from GBX 760 ($10.11) to GBX 805 ($10.70) and gave the stock a “hold” rating in a research report on Tuesday, February 25th. Three analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of GBX 824 ($10.96).

Fresnillo Stock Performance

The stock has a market capitalization of £9.43 billion, a PE ratio of 38.05, a P/E/G ratio of -1.58 and a beta of 0.15. The company has a debt-to-equity ratio of 23.55, a quick ratio of 3.28 and a current ratio of 5.88. The firm’s 50 day moving average is GBX 877.31 and its two-hundred day moving average is GBX 744.33.

Fresnillo Increases Dividend

The business also recently disclosed a dividend, which will be paid on Friday, May 30th. Stockholders of record on Thursday, April 17th will be paid a $0.68 dividend. This is a boost from Fresnillo’s previous dividend of $0.06. This represents a dividend yield of 5.49%. The ex-dividend date of this dividend is Thursday, April 17th. Fresnillo’s dividend payout ratio (DPR) is presently 29.82%.

Fresnillo Company Profile

Fresnillo plc is the world’s largest silver producer and Mexico’s largest gold producer, listed on the London and Mexican stock exchanges.
The Group seeks to create value for stakeholders across precious metal cycles, focusing on high-potential silver and gold projects that can be developed into low cost, world-class mines.
Following a decade of consistent and successful progress, the Group is now focused on consolidating its growth and advancing its pipeline in order to deliver further growth in the years ahead.