Sibanye Gold (NYSE:SBSW) Trading 9.3% Higher – Still a Buy?

Sibanye Gold Limited (NYSE:SBSW)’s share price was up 9.3% during trading on Wednesday . The stock traded as high as $12.59 and last traded at $12.7450. 945,580 shares were traded during mid-day trading, a decline of 84% from the average session volume of 6,043,111 shares. The stock had previously closed at $11.66.

Analysts Set New Price Targets

SBSW has been the topic of a number of recent research reports. Weiss Ratings reiterated a “sell (d-)” rating on shares of Sibanye Gold in a research note on Friday, July 17th. BMO Capital Markets reduced their price target on Sibanye Gold from $14.00 to $12.00 and set a “market perform” rating for the company in a research note on Tuesday, July 14th. Wall Street Zen raised Sibanye Gold from a “hold” rating to a “buy” rating in a report on Saturday. Citigroup upgraded Sibanye Gold from a “neutral” rating to a “buy” rating and set a $13.50 price objective on the stock in a research report on Thursday, August 13th. Finally, Zacks Research downgraded Sibanye Gold from a “hold” rating to a “strong sell” rating in a report on Thursday, July 9th. Three research analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $16.82.

Sibanye Gold Price Performance

The company has a debt-to-equity ratio of 0.73, a current ratio of 1.78 and a quick ratio of 0.86. The business’s 50-day moving average price is $9.69 and its two-hundred day moving average price is $11.68.

Insider Buying and Selling

In related news, Director Richard Peter Menell acquired 15,000 shares of the company’s stock in a transaction on Tuesday, June 30th. The stock was purchased at an average cost of $2.19 per share, with a total value of $32,850.00. Following the acquisition, the director directly owned 25,125 shares of the company’s stock, valued at approximately $55,023.75. The trade was a 148.15% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.05% of the stock is currently owned by company insiders.

Institutional Trading of Sibanye Gold

Large investors have recently modified their holdings of the stock. Burford Brothers Inc. acquired a new position in Sibanye Gold in the second quarter valued at about $255,000. Nykredit A S bought a new stake in Sibanye Gold during the second quarter worth about $140,000. Headlands Technologies LLC grew its stake in Sibanye Gold by 7.8% during the second quarter. Headlands Technologies LLC now owns 156,819 shares of the company’s stock worth $1,331,000 after buying an additional 11,294 shares in the last quarter. Quantitative Investment Management LLC grew its stake in Sibanye Gold by 97.7% during the second quarter. Quantitative Investment Management LLC now owns 59,894 shares of the company’s stock worth $508,000 after buying an additional 29,600 shares in the last quarter. Finally, SwitchPoint Financial Planning LLC acquired a new stake in Sibanye Gold during the second quarter worth about $92,000. 34.93% of the stock is owned by institutional investors and hedge funds.

Sibanye Gold Company Profile

Sibanye Gold (NYSE:SBSW) is a precious metals mining company headquartered in Johannesburg, South Africa. The company’s core operations focus on the extraction, processing and exploration of gold. Through its South African gold mining operations, Sibanye Gold produces doré bars, gold in concentrate and carbon-in-leach product, leveraging both underground and surface mining techniques. The company also generates by-products such as uranium, copper and nickel, reflecting its commitment to maximizing resource recovery.

In addition to its South African footprint, Sibanye Gold has expanded into the platinum‐group metals (PGM) sector through its acquisition of Stillwater Mining Company in 2017.