NovaGold Resources Inc. (USA) (NYSEMKT:NG) on a downtrend


Dallas, Texas 09/19/2013 (Financialstrend) – NovaGold Resources Inc. (USA) (NYSEMKT:NG)’s shares have been on the downslide since 11 September. Over the last 30 days, the company has lost more than 15% of its market-value. In Wednesday’s trading the company’s stock traded up 8.59%. The opening price of the shares was $2.54 which reached an intraday high of $2.79 and dropped to close at $2.78. Approximately 3.49 million shares exchanged hands on Wednesday while the average volume of shares that were traded over a period of 30 days was 1.99 million. The shares had a 52-week low of 1.90 and its 52-week high is 6.30.

The company has a market cap of $880.28 million. NovaGold Resources Inc. (USA) (NYSEMKT:NG) stock has been performing below the market index by a sizeable margin. The Doe Jones index is now trading at 0.23 percent and the basics-materials index is now hinged at 0.05%.

No revenue streams

With the drop in its share price, the company’s market-cap has dropped to $842M with 316M outstanding shares. NovaGold Resources Inc. (USA) (NYSEMKT:NG) has not paid-out  a divided in the past 2 years. The consistent lack in upward-momentum in the company’s stock is directly-linked to its dismal second-quarter numbers that were reported in July for quarter that ended 30 May.  The company is considered to be an in-development mining firm and thus has no revenue-streams right now to fund its operations.

NovaGold Resources Inc. (USA) (NYSEMKT:NG) plans to provide for cash-flow that is required to sustain its operations till the point when the company starts production. It might then offer common-stock on sale in open markets. As of 30 May, its long-term convertible debt was $22.2M which will be due on 15 May. NovaGold is a precious-metals company. It is involved in exploring and developing precious minerals in the North American regions. It has assets in the United States, Alaska, Canada and British Columbia.