As of Thursday close, Vale S.A.’s (NYSE:VALE) stock was down -$0.16, moving down -1.20 percent to $13.17. The average number of shares traded per day over the past five days has been 14,267,240 shares. 4 times new highs have been achieved over the past 5 days, with a $0.44 gain in that time frame. In the last twenty days, the average volume was 19,338,301, while in the previous 50 days, it was 20,239,383.
Since last month, VALE stock retreated -2.27%. Shares of the company fell to $12.22 on 08/16/23, the lowest level in the past month. A 52-week high of $18.72 was reached on 01/26/23 after having rallying from a 52-week low of $11.32. Since the beginning of this year, VALE’s stock price has dropped by -19.95% or -$3.80, and marked a new high 9 times. However, the stock has declined by -29.65% since its 52-week high.
Valuation Metrics
Right now, Vale S.A. (VALE) has a P/E ratio of about 5.10. The stock’s beta is 0.89. Besides these, the trailing price-to-sales (P/S) ratio of 1.41, the price-to-book (PB) ratio of 1.51.
The latest dividend of $0.4056 per share was paid out, which is 14.51% more than last year’s $0.3542. On Friday July 28 2023, a $0.0515 dividend increase was announced.
Financial Health
In the three months ended June 29, Vale S.A.’s quick ratio stood at 0.80, while its current ratio was 1.10, showing that the company is not able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.34, and the total debt-to-equity ratio was 0.36. On the profitability front, the trailing twelve-month gross margin is 39.10% percent. In the year ended June 29, EBITDA margin amounted to 48.19%, whereas operating margins totaled 30.40%. Based on annual data, VALE earned $19.81 billion in gross profit and brought in $43.84 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 29.60%. Return on equity (ROE) for the past 12 months was 30.60%.
According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. While analysts expected Vale S.A. to report $0.55 quarterly earnings, the actual figure was $0.2 per share, beating the consensus estimate by -63.60%. During the quarter, the company generated $3.65 billion in EBITDA. The liabilities of Vale S.A. were 51.23 billion at the end of its most recent quarter ended June 29, and its total debt was $16.47 billion.
Technical Picture
This quick technical analysis looks at Vale S.A.’s (VALE) price momentum. With a historical volatility rate of 26.34%, the RSI 9-day stood at 53.49% on 31 August.
With respect to its five-day moving average, the current Vale S.A. price is up by +3.46% percent or $0.44. At present, VALE shares trade -4.57% below its 20-day simple moving average and -14.31% percent below its 100-day simple moving average. However, the stock is currently trading approximately -5.79% below its SMA50 and -14.76% below its SMA200.
Stochastic coefficient K was 77.86% and Stochastic coefficient D was 64.26%, while ATR was 0.30. Given the Stochastic reading of 76.61% for the 14-day period, the RSI (14) reading has been calculated as 49.16%. As of today, the MACD Oscillator reading stands at 0.37, while the 14-day reading stands at 0.57.
Analyst Ratings
Wolfe Research upgraded its rating on Vale S.A. (NYSE: VALE) to an Outperform in a note to investors on July 11, 2023. The analysts firm previously had a Peer perform rating on the stock.
With a median target price of $17.00, the current consensus forecast for the stock is $11.70 – $20.13. Based on these forecasts, analysts predict Vale S.A. (VALE) will achieve an average price target of $16.49.
