Is New Gold, Inc. (NYSE:NGD) A Safe Bet For Investors?


New Gold, Inc. (NYSE:NGD) closed its last session at $2.84. The stock traded within a range of $2.64 and $2.92. The company operates in the Basic Materials sector with a market capitalization of 1.78 Million. Trading volume for New Gold, Inc. was 11.62 Million in its previous trading session. Currently, New Gold, Inc. (NYSE:NGD) has an average volume of 4.89 Million.

Company Profile

New Gold Inc. is focused on the exploration and development of the Afton Copper-Gold Project, located 6 miles (10 km) west of Kamloops, British Columbia.

Analyst Views

New Gold, Inc. (NYSE:NGD) received a Buy rating from 4 analysts. 1 analysts gave its stock an Outperform rating. 7 analysts say it’s a Hold while 0 analysts provided their expert opinion as Sell.

New Gold, Inc. (NYSE:NGD) touched its 1-Year High price of $4.25 on 09/07/17 and its 1-Year Low price of $2.54 on 02/09/18.

EPS & Financials

New Gold, Inc. (NYSE:NGD) reported its EPS in the last quarter as $0.01/Share lagging the analyst estimate of $0.01/Share by a difference of $0. This showed a surprise of 0% in the last quarter earnings.

For the current quarter, 12 analysts are projecting a mean EPS of $0.01/share. According to their observations and findings, the stock could provide a high EPS of $0.03/share and a low EPS of $-0.02/share.

Analysts believe that the company has the potential to earn average revenue of $227.3 Million for the current quarter. According to their predictions high & low revenue estimates are 252 Million and 156.4 Million respectively.

Technical Analysis

By taking a look at the stock’s current statistics it can gauged that the stock candle is BULLISH with HIGH volatility. New Gold, Inc. (NYSE:NGD) has a 20-Day average volume of 6.44 Million. According to today’s trading volume New Gold, Inc. is ABOVE its 20-Day Avg. volume with the stock showing ABOVE Abnormal volume in the past 150 days.

Moving average convergence divergence (MACD) shows that the stock is on a PRICE RELATIVITY trend. The trend for the past 10-days shows that the company was in BEARISH territory while an analysis of the last 40-Day trend shows a BEARISH signal. The 100-Day trend also shows a BEARISH trend as well.

The company currently has an insider ownership of 3.6 Percent and Institutional ownership of 55.1 Percent. The return on assets stands at 3%, Return on Equity currently is 5.6% and the Return on Investment value is 0.5%.

New Gold, Inc. (NYSE:NGD) gross margin percentage stands at 72.8% while its operating margin for the past trailing twelve month is 18.8 percent and its overall profit margin (ttm) is 21.5 Percent. The stock is currently moving below its 20-Day Simple Moving Average of -4.68% with a 50-Day Simple Moving Average of -8.71 percent. As of today, the company has a SMA200 (200-day simple moving average) of -12.88 Percent. The Stock has YTD (year to date) performance of -13.68 percent.

The TTM operating margin for the company stands at 18.8%. The return on invested capital is at 0.5%, which is good, compared to its peers. The Free Cash Flow or FCF margin is 0.

The company’s stock is currently moving with a -ve distance from the 200 day SMA of approximately -12.88%, and has a solid year to date (YTD) performance of -13.68% which means that the stock is constantly adding to its value from the previous fiscal year end price.