Ternium (NYSE:TX) Sees Strong Trading Volume – Still a Buy?

Ternium S.A. (NYSE:TX) shares saw strong trading volume on Wednesday . 289,010 shares changed hands during trading, an increase of 62% from the previous session’s volume of 177,875 shares.The stock last traded at $29.91 and had previously closed at $29.13.

Wall Street Analysts Forecast Growth

Separately, StockNews.com downgraded shares of Ternium from a “buy” rating to a “hold” rating in a research report on Thursday, November 14th.

Ternium Stock Up 2.7 %

The firm has a 50-day moving average of $30.35 and a two-hundred day moving average of $33.24. The stock has a market capitalization of $5.87 billion, a price-to-earnings ratio of 74.80, a price-to-earnings-growth ratio of 0.34 and a beta of 1.76. The company has a quick ratio of 1.67, a current ratio of 2.92 and a debt-to-equity ratio of 0.11.

Ternium (NYSE:TX) last issued its earnings results on Tuesday, November 5th. The basic materials company reported $0.16 earnings per share for the quarter, beating analysts’ consensus estimates of $0.12 by $0.04. The company had revenue of $4.48 billion for the quarter, compared to the consensus estimate of $4.45 billion. Ternium had a return on equity of 4.70% and a net margin of 0.42%. The firm’s quarterly revenue was down 13.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.38 EPS. As a group, sell-side analysts anticipate that Ternium S.A. will post 3.7 earnings per share for the current year.

Ternium Cuts Dividend

The business also recently announced a Semi-Annual dividend, which was paid on Tuesday, November 26th. Shareholders of record on Monday, November 18th were given a $0.09 dividend. The ex-dividend date of this dividend was Monday, November 18th. This represents a yield of 8.5%. Ternium’s payout ratio is 450.01%.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of TX. GAMMA Investing LLC lifted its stake in shares of Ternium by 72.1% in the 3rd quarter. GAMMA Investing LLC now owns 919 shares of the basic materials company’s stock valued at $34,000 after purchasing an additional 385 shares during the last quarter. R Squared Ltd bought a new position in Ternium during the fourth quarter valued at about $88,000. Blue Trust Inc. lifted its position in shares of Ternium by 216.9% in the third quarter. Blue Trust Inc. now owns 4,535 shares of the basic materials company’s stock worth $170,000 after buying an additional 3,104 shares during the last quarter. Quantbot Technologies LP bought a new stake in shares of Ternium during the 3rd quarter worth about $242,000. Finally, Verition Fund Management LLC acquired a new position in shares of Ternium during the 3rd quarter valued at about $244,000. 11.98% of the stock is owned by institutional investors and hedge funds.

About Ternium

Ternium SA, together with its subsidiaries, manufactures and distributes steel products in Mexico, Southern Region, Brazil, and internationally. It operates through three segments: Steel, Mining, and Usiminas. The Steel segment offers slabs, hot and cold rolled products, coated products, roll formed and tubular products, bars, billets, and other products.