New Gold Inc (NYSEAMERICAN:NGD) Stock Jumps 9% in a Week: But Why?
Over the course of the past week, plenty of stocks have managed to make strong moves and one of those is the New Gold Inc (NYSEAMERICAN:NGD) stock. During the period, the stock has rallied strongly and delivered gains of as much as 9% to its investors.
Market Stats
On Wednesday, NGD stock gained 1.14% at $1.77 with more than 9.04 million shares, compared to its average volume of 7.79 million shares. The stock has moved within a range of $1.7450 – 1.8061 after opening trading at $1.75.
Q3 Earnings Review
The rally in the stock may have been driven by the announcement of the financial results for the third fiscal quarter from New Gold back on November 12. In this situation, it might be a good idea for investors to take a look at some of the highlights in order to make their minds up about the stock one way or another.
The company announced that the combined production of gold, silver and copper for the quarter stood at 105,628 gold equivalent ounces. On the other hand, the production for the nine month period that ended on September 30, 2021 stood at 307,359 ounces.
More importantly, the company also announced that it was on course to meet the updated projection for consolidated production for the year. The updated range for the same had been set in the 405,000 to 450000 gold equivalent ounces. Investors could do well to add the stock to their watch lists at this point.
Key Quote
“The Company responded well to the challenges experienced in the third quarter, positioning us to meet our updated guidance,” stated Renaud Adams, President & CEO. “On a consolidated basis, all-in sustaining costs were down over 9% compared to the first half, with Rainy River’s all-in sustaining costs improving by almost 16%. We continue to expect an improvement in fourth quarter production from Rainy River with lower contribution from the East Lobe.”
Traders Corner
NGD stock is trading above the 20-Day and 50-Day Moving averages of $1.56 and $1.34 respectively. Moreover, the stock is trading above the 200-Day moving average of $1.60. The stock is down 30% in the past month.
