Vale S.A. (NYSE:VALE) finished Thursday with a subtraction of -$0.24 to close at $12.73, a downside of -1.85 percent. An average of 17,975,961 shares of common stock have been traded in the last five days. There was a gain of $0.34 in the past week, and it reached a new high 25 times over the past 12 months. The last 20 days have seen an average of 21,712,635 shares traded, while the 50-day average volume stands at 21,209,078.
VALE stock has decreased by -13.05% in the last month. The company shares reached their 1-month lowest point of $12.22 on 08/16/23. With the stock rallying to its 52-week high on 01/26/23, shares of the company touched a low of $11.32 and a high of $18.72 in 52 weeks. It has reached a new high 9 times so far this year and lost -22.63% or -$4.24 in price. In spite of this, the price is down -32.00% from the 52-week high.
Valuation Metrics
Vale S.A. (VALE) has a trailing price-to-earnings (P/E) ratio of 5.03. The stock’s beta is 0.90. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 1.41, the price-to-book (PB) ratio at 1.49.
The company has a payout ratio of 220.20%. The company’s most recent quarterly dividend payment was $0.4056 a share, representing a up of 14.51% from $0.3542 last year. Its latest increase dividend $0.0515 reported on Friday July 28 2023.
Financial Health
The quick ratio of Vale S.A. for the three months ended June 29 was 0.80, and the current ratio was 1.10, indicating that the company is not able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.34 and a total debt to equity ratio of 0.36 for the quarter ending June 29. Vale S.A.’s EBITDA margin for the year ending June 29 is 48.19%, while its operating margin for the same period stands at 30.40%. Its gross profit as reported stood at $19.81 billion compared to revenue of $43.84 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Vale S.A.’s return on assets was 12.80%.
Earnings Surprise
The analyst consensus anticipated Vale S.A.’s latest quarter earnings to come in at $0.55 per share, but it turned out to be $0.2, a -63.60% surprise. For the quarter, EBITDA amounted to $3.65 billion.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Vale S.A. (VALE) price momentum. RSI 9-day as of the close on 24 August was 41.71%, suggesting the stock is Neutral, with historical volatility in this time frame at 41.81%.
As of today, VALE’s price is $12.60 +2.74% or $0.34 from its 5-day moving average. VALE is currently trading -13.93% lower than its 20-day SMA and -19.33% lower than its 100-day SMA. However, the stock’s current price level is -8.42% below the SMA50 and -11.54% below the SMA200.
The stochastic %K and %D were 32.16% and 22.32%, respectively, and the average true range (ATR) was 0.33. With the 14-day stochastic at 30.36% and the average true range at 0.34, the RSI (14) stands at 40.75%. The stock has reached 0.31 on the 9-day MACD Oscillator while the 14-day reading was at -0.09.
Analyst Ratings
Wolfe Research upgraded Vale S.A. (NYSE: VALE) to a an Outperform rating in its most recent analyst report. Previously, the stock was rated as a Peer perform. The consensus rating for Vale S.A. (VALE) among analysts is Overweight. According to current brokerage recommendations, 2 brokerage firms advise that investors sell VALE, while 9 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 2 analysts, while 13 others rate it as a “buy”.
