Fortuna Silver Mines (NYSE:FSM) Stock Price Down 6.8% on Disappointing Earnings

Fortuna Silver Mines Inc. (NYSE:FSM) (TSE:FVI) shares traded down 6.8% during trading on Thursday following a weaker than expected earnings announcement. The stock traded as low as $5.74 and last traded at $5.74. 2,866,513 shares traded hands during mid-day trading, a decline of 71% from the average session volume of 9,746,590 shares. The stock had previously closed at $6.16.

The basic materials company reported $0.20 earnings per share for the quarter, missing the consensus estimate of $0.21 by ($0.01). The firm had revenue of $290.15 million during the quarter, compared to analysts’ expectations of $291.00 million. Fortuna Silver Mines had a return on equity of 10.08% and a net margin of 2.45%.

Wall Street Analyst Weigh In

Several research analysts have weighed in on FSM shares. CIBC downgraded shares of Fortuna Silver Mines from a “neutral” rating to a “sector underperform” rating in a research report on Tuesday, February 18th. Scotiabank lifted their target price on Fortuna Silver Mines from $6.00 to $7.00 and gave the company a “sector perform” rating in a research report on Monday, April 14th. National Bank Financial raised Fortuna Silver Mines to a “hold” rating in a report on Friday, March 21st. Finally, Cibc World Mkts downgraded Fortuna Silver Mines from a “hold” rating to a “strong sell” rating in a research note on Tuesday, February 18th.

Institutional Trading of Fortuna Silver Mines

Several hedge funds and other institutional investors have recently bought and sold shares of FSM. Franklin Resources Inc. boosted its holdings in Fortuna Silver Mines by 616.1% during the 3rd quarter. Franklin Resources Inc. now owns 253,500 shares of the basic materials company’s stock valued at $1,231,000 after acquiring an additional 218,100 shares during the period. Barclays PLC purchased a new stake in shares of Fortuna Silver Mines during the third quarter valued at $2,227,000. Legal & General Group Plc grew its holdings in shares of Fortuna Silver Mines by 10.0% in the fourth quarter. Legal & General Group Plc now owns 863,406 shares of the basic materials company’s stock worth $3,704,000 after purchasing an additional 78,284 shares during the last quarter. Y Intercept Hong Kong Ltd purchased a new position in Fortuna Silver Mines in the 4th quarter worth about $67,000. Finally, Swiss National Bank lifted its holdings in Fortuna Silver Mines by 2.8% during the 4th quarter. Swiss National Bank now owns 618,830 shares of the basic materials company’s stock valued at $2,655,000 after buying an additional 16,800 shares in the last quarter. Hedge funds and other institutional investors own 33.80% of the company’s stock.

Fortuna Silver Mines Stock Performance

The company has a market capitalization of $1.75 billion, a PE ratio of 71.13 and a beta of 1.10. The firm’s 50-day simple moving average is $5.86 and its 200-day simple moving average is $5.12. The company has a current ratio of 1.94, a quick ratio of 1.37 and a debt-to-equity ratio of 0.12.

Fortuna Silver Mines Company Profile

Fortuna Mining Corp. engages in the precious and base metal mining in Argentina, Burkina Faso, Mexico, Peru, and Côte d’Ivoire. It operates through Mansfield, Sanu, Sango, Cuzcatlan, Bateas, and Corporate segments. The company primarily explores for silver, lead, zinc, and gold. Its flagship project is the Séguéla gold mine, which consists of approximately 62,000 hectares and is located in the Worodougou Region of the Woroba District, Côte d’Ivoire.