Gear Energy (TSE:GXE) Hits New 52-Week Low – Should You Sell?

Gear Energy Ltd. (TSE:GXE)’s stock price hit a new 52-week low on Wednesday . The stock traded as low as C$0.57 and last traded at C$0.58, with a volume of 273680 shares changing hands. The stock had previously closed at C$0.60.

Wall Street Analyst Weigh In

Separately, Atb Cap Markets cut shares of Gear Energy from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, October 15th.

Gear Energy Stock Down 5.0 %

The company has a market cap of C$150.24 million, a price-to-earnings ratio of 12.00 and a beta of 3.52. The stock has a 50-day simple moving average of C$0.62 and a 200-day simple moving average of C$0.68. The company has a current ratio of 0.95, a quick ratio of 0.56 and a debt-to-equity ratio of 6.26.

Gear Energy (TSE:GXE) last released its earnings results on Wednesday, July 31st. The company reported C$0.04 EPS for the quarter, meeting the consensus estimate of C$0.04. Gear Energy had a net margin of 9.65% and a return on equity of 5.36%. The firm had revenue of C$40.76 million for the quarter, compared to analysts’ expectations of C$40.20 million. As a group, analysts predict that Gear Energy Ltd. will post 0.1399549 EPS for the current year.

Gear Energy Announces Dividend

The company also recently announced a monthly dividend, which will be paid on Thursday, October 31st. Investors of record on Tuesday, October 15th will be issued a dividend of $0.005 per share. The ex-dividend date of this dividend is Tuesday, October 15th. This represents a $0.06 annualized dividend and a yield of 10.53%. Gear Energy’s payout ratio is 120.00%.

Insider Buying and Selling at Gear Energy

In other Gear Energy news, Director Scott Robinson purchased 74,000 shares of the company’s stock in a transaction on Thursday, October 3rd. The shares were purchased at an average cost of C$0.59 per share, for a total transaction of C$43,978.20. 7.62% of the stock is currently owned by corporate insiders.

About Gear Energy

Gear Energy Ltd., an exploration and production company, engages in the acquiring, developing, and holding of interests in petroleum and natural gas properties and assets in Canada. The company's oil properties are located in Central Alberta, West Central Saskatchewan, and Southeast Saskatchewan.