SSR Mining (NASDAQ:SSRM) Stock Price Drops 8% - What's Next?

On Monday, shares of SSR Mining Inc. (NASDAQ:SSRM) experienced a significant decline, closing down by 8%. The shares traded at a low of $10.09, ultimately settling at $10.01 at the end of the day. In total, around 1,074,891 shares changed hands, which marks a noticeable drop of 62% compared to the average daily trading volume of about 2,806,963 shares. Just the previous trading day, the stock had closed at $10.88.

Analyst Ratings and Predictions

Several research analysts have recently evaluated SSR Mining's stock. National Bank Financial provided an upgrade to a "hold" rating on March 21st. In a report issued by UBS Group on February 18th, the price target for SSR Mining was increased from $7.15 to $12.05, accompanied by a "buy" rating. Meanwhile, CIBC raised its price objective from $8.25 to $9.75 and categorized the stock with a "neutral" rating on February 19th. StockNews.com recently upgraded SSR Mining from a "sell" to a "hold" rating on January 17th. Additionally, Royal Bank of Canada upgraded the company from an "underperform" rating to a "sector perform" and adjusted their price target from $5.50 to $8.00 on February 5th. Currently, four analysts have classified the stock with a hold rating, while one has a buy rating. As cited by MarketBeat, the consensus rating for the company is "Hold" with an average price target of $9.93.

Market Performance Overview

SSR Mining has a market capitalization of approximately $2.04 billion. The stock is noted for a P/E ratio of -7.83 and a price-to-earnings-growth ratio of 0.37, with a beta of 0.53. Currently, the 50-day moving average stands at $9.59, whereas the two-hundred day moving average is at $7.48. SSR Mining has a low debt-to-equity ratio of 0.08, with a robust current ratio of 4.70 and a quick ratio of 1.97.

The company's most recent earnings report was announced on February 18th, revealing an earnings per share (EPS) of $0.10 that fell short of the expected $0.18 by $0.08. The revenue for the quarter was reported at $323.19 million, exceeding analysts' expectations of $262.20 million. With a return on equity of 1.46% and a net margin of -26.24%, analysts forecast that SSR Mining will achieve an EPS of 0.73 for the current year.

Institutional Investment Activities

Institutional investors have been actively reshuffling their stakes in SSR Mining. For instance, US Bancorp DE increased its holdings by 62.4% in the fourth quarter, now owning 3,540 shares valued at around $25,000 after purchasing an additional 1,360 shares. Similarly, SBI Securities Co. Ltd. acquired a new stake in SSR Mining worth $29,000 during the same quarter. Allianz SE also entered the picture with a purchase valued at $30,000. Point72 DIFC Ltd bought a new position valued at $47,000 in the third quarter, and Lincoln Capital LLC made a new stake valued at $70,000 in the fourth quarter. Overall, institutional investors control about 68.30% of SSR Mining's stock.

Company Overview

SSR Mining Inc., along with its subsidiaries, focuses on the operation, acquisition, exploration, and development of precious metal properties across the United States, Turkey, Canada, and Argentina. The company explores for resources such as gold doré, copper, silver, lead, and zinc. Key mining sites include Çöpler in Turkey, Marigold in Nevada, Seabee in Canada, and Puna in Argentina.

What Investors Should Consider

As investors contemplate their positions in SSR Mining following the recent stock drop, it's essential to evaluate market trends, analyst ratings, and institutional moves. Understanding these factors can assist in deciding whether it is prudent to hold or sell shares in the current market environment.

SSRMining, Stocks, Investment