Sigma Lithium (NASDAQ:SGML) Trading Down 5.1% – Time to Sell?

Sigma Lithium Corporation (NASDAQ:SGML) dropped 5.1% during mid-day trading on Thursday . The company traded as low as $15.59 and last traded at $15.7440. Approximately 1,179,554 shares changed hands during trading, a decline of 74% from the average daily volume of 4,616,104 shares. The stock had previously closed at $16.59.

Analysts Set New Price Targets

Several research firms have issued reports on SGML. Citigroup downgraded Sigma Lithium from an “overweight” rating to an “underperform” rating in a report on Thursday, January 8th. BMO Capital Markets restated an “outperform” rating and issued a $18.00 price target on shares of Sigma Lithium in a research note on Wednesday. Weiss Ratings reissued a “sell (e+)” rating on shares of Sigma Lithium in a report on Monday, December 29th. Bank of America reissued an “underperform” rating and issued a $13.00 target price (up previously from $11.00) on shares of Sigma Lithium in a research report on Thursday, January 8th. Finally, Zacks Research raised shares of Sigma Lithium from a “strong sell” rating to a “hold” rating in a research report on Tuesday, November 25th. One investment analyst has rated the stock with a Buy rating, one has given a Hold rating and three have given a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Reduce” and an average target price of $15.50.

Sigma Lithium Price Performance

The company has a debt-to-equity ratio of 1.38, a current ratio of 0.49 and a quick ratio of 0.32. The company has a 50-day simple moving average of $11.17 and a two-hundred day simple moving average of $7.87. The stock has a market capitalization of $1.75 billion and a price-to-earnings ratio of -50.86.

Sigma Lithium (NASDAQ:SGML) last announced its quarterly earnings results on Friday, November 14th. The company reported ($0.10) EPS for the quarter, meeting the consensus estimate of ($0.10). The company had revenue of $28.55 million for the quarter, compared to analyst estimates of $70.54 million. Sigma Lithium had a negative net margin of 24.13% and a negative return on equity of 35.97%. On average, equities research analysts predict that Sigma Lithium Corporation will post -0.12 earnings per share for the current year.

Hedge Funds Weigh In On Sigma Lithium

Large investors have recently bought and sold shares of the stock. BNP Paribas Financial Markets lifted its stake in shares of Sigma Lithium by 15.9% in the 2nd quarter. BNP Paribas Financial Markets now owns 21,897 shares of the company’s stock worth $99,000 after acquiring an additional 3,005 shares during the period. Virtu Financial LLC lifted its position in Sigma Lithium by 26.6% in the third quarter. Virtu Financial LLC now owns 20,053 shares of the company’s stock worth $129,000 after purchasing an additional 4,210 shares during the period. Electron Capital Partners LLC boosted its stake in Sigma Lithium by 0.4% during the 2nd quarter. Electron Capital Partners LLC now owns 1,067,947 shares of the company’s stock valued at $4,806,000 after purchasing an additional 4,557 shares in the last quarter. Millennium Management LLC increased its position in shares of Sigma Lithium by 6.4% during the 3rd quarter. Millennium Management LLC now owns 81,543 shares of the company’s stock valued at $520,000 after purchasing an additional 4,909 shares during the period. Finally, Legal & General Group Plc lifted its holdings in shares of Sigma Lithium by 0.5% in the third quarter. Legal & General Group Plc now owns 1,312,232 shares of the company’s stock valued at $8,416,000 after buying an additional 7,157 shares during the period. Institutional investors and hedge funds own 64.86% of the company’s stock.

About Sigma Lithium

Sigma Lithium Corp. is a Canada-based mineral exploration and development company focused on the sustainable production of battery-grade lithium from hard rock deposits. The company’s flagship asset is the Grota do Cirilo lithium project, located in the state of Minas Gerais, Brazil. Grota do Cirilo comprises a fully permitted, low-altitude spodumene mine and processing plant designed to produce high-purity lithium concentrate and downstream lithium hydroxide for the global electric vehicle and energy storage markets.

Since its founding in 2018, Sigma Lithium has pursued a vertically integrated approach, overseeing each stage of production from ore extraction and beneficiation to chemical conversion.