A focus on opportunistic stocks: Yamana Gold Inc. (AUY), Tenet Healthcare Corporation (THC)

Yamana Gold Inc. (NYSE: AUY) shares are 55.95% up in the year-to-date (YTD) period and have moved 3.88% or $0.23 higher in the latest trading session. However, stock’s trailing 12-month performance remains nearly +176.23% lower. Comparatively, the stock is -12.25% down YTD and 20.31% over the trailing 3-month period. If we look at the shorter duration, its week performance is 2.16% and -6.38% over the month.

Analyst Recommendations

On December 05, 2019, RBC Capital Mkts recommended the AUY stock is a Sector Perform, while earlier, Scotiabank had Upgrade the stock as a Sector Outperform on April 16, 2020. 15 analysts offering the recommendations for the stock have a consensus rating of 2.60 to suggest that the AUY stock is a “Moderate Buy. 1 of the 15 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 7 recommend buying, with 1 rating it as an Overweight.

The stock currently trades at $6.16 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $3.92. The forecasts give the Yamana Gold Inc. stock a price target range of $8.50 on the higher side while at least one analyst think the stock could plunge to a low of $4.50. The two limits represent an upside potential of 27.53% or -36.89%.

Earnings Forecast

Analysts estimate the earnings to decrease 0.00% in the current quarter to $0.03, up from the $0 reported in the same quarter a year ago. For the current year, earnings should grow to an average of $0.05, up 0.20% from $0.05 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $0 and $0.03. Wall Street estimates earnings per share to be at an average of $0.14 for the next year.

Tenet Healthcare Corporation (NYSE:THC), on the other hand, is trading around $26.21 with a market cap of $2.82B and analyst research firms have a negative stance on its shares. Analysts predict that the stock will reach $29.81 and spell out a more modest performance – a 12.08% return. Some analysts are even forecasting $3.9 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Tenet Healthcare Corporation (THC) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

THC’s operating expenses over the recent quarter were at $702.0 million. This represented a 80.76% of the company’s total revenues which amounted $3.65 billion. With this in place, we can see that the company’s diluted EPS inclined $0.83 on the year-over-year period, growing to $0.23 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $26.25 billion from $23.82 billion over the previous quarter. The cash flow from operating activities totaled $2.37 billion, significantly higher than the $294.0 million reported in the year-ago quarter. The company’s free cash flow for the quarter was $2.08 billion.

Insider activity

Insiders have transacted a total of 59 times at Tenet Healthcare Corporation over the last 6 months, with insider purchases undertaken 38 times and accounting for 443,659 shares. Insider sales totaled 97,979 shares over the same period, with these deals completed in 21 transactions. Looking at these numbers, we realize that net purchases over that period are 17.0 shares. Insiders now hold a total of 1.71M shares after the latest sales, with 41.90% net shares purchased.

Major holders

Insiders own 1.30% of the company shares, while shares held by institutions stand at 98.80% with a share float percentage of 103.52M. Investors are also buoyed by the number of investors in a company, with Tenet Healthcare Corporation having a total of 352 institutions that hold shares in the company.