Forest Avenue Capital Management LP Invests $33.31 Million in Teck Resources Limited (NYSE:TECK)

Forest Avenue Capital Management LP acquired a new stake in shares of Teck Resources Limited (NYSE:TECK) (TSE:TECK) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund acquired 695,490 shares of the basic materials company’s stock, valued at approximately $33,314,000. Teck Resources comprises 4.6% of Forest Avenue Capital Management LP’s portfolio, making the stock its 11th largest holding. Forest Avenue Capital Management LP owned approximately 0.14% of Teck Resources as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors have also recently made changes to their positions in the company. FIL Ltd increased its stake in Teck Resources by 98.8% in the fourth quarter. FIL Ltd now owns 11,937,233 shares of the basic materials company’s stock worth $504,588,000 after purchasing an additional 5,933,226 shares during the period. AMF Tjanstepension AB raised its stake in shares of Teck Resources by 846.6% during the second quarter. AMF Tjanstepension AB now owns 4,383,031 shares of the basic materials company’s stock valued at $210,034,000 after acquiring an additional 3,919,984 shares in the last quarter. Asia Research & Capital Management Ltd purchased a new stake in shares of Teck Resources in the first quarter valued at approximately $158,976,000. Principal Financial Group Inc. grew its stake in Teck Resources by 115.4% in the first quarter. Principal Financial Group Inc. now owns 5,687,670 shares of the basic materials company’s stock worth $260,584,000 after purchasing an additional 3,047,570 shares in the last quarter. Finally, Castle Hook Partners LP purchased a new position in Teck Resources during the 1st quarter worth $90,980,000. 78.06% of the stock is owned by hedge funds and other institutional investors.

Teck Resources Trading Down 0.1 %

Teck Resources stock opened at $48.91 on Friday. Teck Resources Limited has a 52 week low of $34.38 and a 52 week high of $55.13. The stock has a 50-day moving average price of $46.85 and a 200 day moving average price of $47.63. The company has a quick ratio of 0.77, a current ratio of 1.48 and a debt-to-equity ratio of 0.19. The company has a market capitalization of $25.02 billion, a price-to-earnings ratio of 21.64 and a beta of 1.01.

Teck Resources (NYSE:TECK) (TSE:TECK) last released its quarterly earnings data on Wednesday, July 24th. The basic materials company reported $0.79 EPS for the quarter, beating the consensus estimate of $0.47 by $0.32. The business had revenue of $3.87 billion for the quarter, compared to the consensus estimate of $2.67 billion. Teck Resources had a net margin of 9.40% and a return on equity of 6.52%. The business’s revenue for the quarter was up 10.1% on a year-over-year basis. During the same period in the prior year, the firm earned $0.91 EPS. Sell-side analysts anticipate that Teck Resources Limited will post 2.02 EPS for the current year.

Teck Resources Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, September 27th. Investors of record on Friday, September 13th will be issued a dividend of $0.625 per share. This represents a $2.50 annualized dividend and a yield of 5.11%. This is a positive change from Teck Resources’s previous quarterly dividend of $0.09. The ex-dividend date is Friday, September 13th. Teck Resources’s dividend payout ratio (DPR) is 16.37%.

Analyst Upgrades and Downgrades

A number of research firms have commented on TECK. JPMorgan Chase & Co. cut their target price on shares of Teck Resources from $56.00 to $54.00 and set an “overweight” rating on the stock in a research report on Thursday, July 25th. Paradigm Capital raised shares of Teck Resources to a “moderate buy” rating in a research note on Friday, July 26th. Morgan Stanley upped their price objective on Teck Resources from $55.00 to $60.00 and gave the stock an “overweight” rating in a research note on Friday, June 21st. CIBC increased their price target on shares of Teck Resources from $70.00 to $80.00 and gave the company an “outperformer” rating in a research report on Friday, July 12th. Finally, UBS Group raised shares of Teck Resources from a “neutral” rating to a “buy” rating and lifted their price target for the stock from $76.00 to $78.00 in a report on Wednesday, September 4th. Three analysts have rated the stock with a hold rating, seven have issued a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $65.00.

About Teck Resources

Teck Resources Limited engages in exploring for, acquiring, developing, and producing natural resources in Asia, Europe, and North America. The company operates through Steelmaking Coal, Copper, Zinc, and Energy segments. Its principal products include copper, zinc, steelmaking coal, and blended bitumen.