Shares of Resolute Forest Products (NYSE:RFP) (TSE:RFP) dropped 15.6% on Thursday following a weaker than expected earnings announcement. The stock traded as low as $7.40 and last traded at $7.80. Approximately 1,050,750 shares changed hands during trading, an increase of 129% from the average daily volume of 459,336 shares. The stock had previously closed at $9.24.
The basic materials company reported $0.04 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.52 by ($0.48). Resolute Forest Products had a net margin of 6.26% and a return on equity of 10.73%. The firm had revenue of $932.00 million for the quarter.
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RFP has been the topic of several research analyst reports. Royal Bank of Canada boosted their price target on shares of Resolute Forest Products from $13.00 to $14.00 and gave the company a “sector perform” rating in a report on Friday, November 2nd. TD Securities lowered their price target on shares of Resolute Forest Products from $14.00 to $13.50 and set a “hold” rating on the stock in a report on Friday, November 2nd. Four research analysts have rated the stock with a hold rating and two have issued a buy rating to the company. The stock presently has an average rating of “Hold” and an average price target of $11.88.
In other news, SVP John Lafave sold 12,500 shares of the business’s stock in a transaction on Wednesday, December 12th. The shares were sold at an average price of $9.40, for a total transaction of $117,500.00. Following the transaction, the senior vice president now directly owns 87,556 shares in the company, valued at approximately $823,026.40. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Insiders own 1.00% of the company’s stock.
Several institutional investors have recently bought and sold shares of RFP. Acadian Asset Management LLC grew its holdings in shares of Resolute Forest Products by 43.2% during the 3rd quarter. Acadian Asset Management LLC now owns 2,462,276 shares of the basic materials company’s stock valued at $31,886,000 after acquiring an additional 742,825 shares in the last quarter. Robeco Institutional Asset Management B.V. bought a new stake in Resolute Forest Products in the third quarter worth $6,692,000. Renaissance Technologies LLC boosted its holdings in Resolute Forest Products by 27.3% in the third quarter. Renaissance Technologies LLC now owns 1,603,017 shares of the basic materials company’s stock worth $20,759,000 after purchasing an additional 344,217 shares in the last quarter. Morgan Stanley boosted its holdings in Resolute Forest Products by 78.8% in the third quarter. Morgan Stanley now owns 654,446 shares of the basic materials company’s stock worth $8,476,000 after purchasing an additional 288,389 shares in the last quarter. Finally, Allianz Asset Management GmbH boosted its holdings in Resolute Forest Products by 792.8% in the third quarter. Allianz Asset Management GmbH now owns 323,406 shares of the basic materials company’s stock worth $4,189,000 after purchasing an additional 287,181 shares in the last quarter. Institutional investors and hedge funds own 91.30% of the company’s stock.
The firm has a market capitalization of $708.27 million, a PE ratio of 3.98 and a beta of 1.24. The company has a debt-to-equity ratio of 0.36, a quick ratio of 1.59 and a current ratio of 2.56.
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Resolute Forest Products Company Profile (NYSE:RFP)
Resolute Forest Products Inc operates in the forest products industry in the United States, Canada, Mexico, and internationally. The company operates in five segments: Market Pulp, Tissue, Wood Products, Newsprint, and Specialty Papers. The Market Pulp segment offers market, recycled bleached Kraft, and bleached hardwood Kraft pulp used to make a range of consumer products, including tissue, packaging, specialty paper products, diapers, and other absorbent products.
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