Bank of America Issues Pessimistic Forecast for Sigma Lithium (NASDAQ:SGML) Stock Price

Key Points

• Bank of America has reduced its price target for Sigma Lithium from $12.00 to $10.00, still maintaining a "buy" rating despite the adjustment.
• Sigma Lithium recently reported a quarterly loss of ($0.17) per share, missing expectations and resulting in a negative net margin of 35.69%.
• Institutional investors hold a significant stake in Sigma Lithium, with 64.86% of the stock currently owned by hedge funds and other institutional investors.

Sigma Lithium (NASDAQ:SGML - Get Free Report) had its price target reduced by investment analysts at Bank of America from $12.00 to $10.00 in a research note issued on Tuesday,Benzinga reports. The firm presently has a "buy" rating on the stock. Bank of America's price objective would suggest a potential upside of 44.30% from the stock's previous close.

SGML has been the topic of several other research reports. Wall Street Zen lowered shares of Sigma Lithium from a "hold" rating to a "sell" rating in a research report on Saturday, August 16th. Cormark upgraded shares of Sigma Lithium to a "moderate buy" rating in a research report on Thursday, August 21st. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of Sigma Lithium in a research report on Wednesday, October 8th. One equities research analyst has rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $10.00.

Sigma Lithium Stock Up 11.1%

SGML stock opened at $6.93 on Tuesday. The firm's fifty day moving average is $6.28 and its 200 day moving average is $6.39. Sigma Lithium has a one year low of $4.25 and a one year high of $15.56. The firm has a market cap of $771.72 million, a PE ratio of -15.75 and a beta of 0.08. The company has a debt-to-equity ratio of 1.26, a quick ratio of 0.39 and a current ratio of 0.60.

Sigma Lithium (NASDAQ:SGML - Get Free Report) last announced its earnings results on Thursday, August 14th. The company reported ($0.17) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.03) by ($0.14). Sigma Lithium had a negative net margin of 35.69% and a negative return on equity of 47.19%. The company had revenue of $16.89 million during the quarter, compared to analyst estimates of $50.44 million. On average, research analysts forecast that Sigma Lithium will post -0.12 EPS for the current year.

Hedge Funds Weigh In On Sigma Lithium

A number of institutional investors and hedge funds have recently bought and sold shares of SGML. Appian Way Asset Management LP raised its stake in Sigma Lithium by 5.3% during the first quarter. Appian Way Asset Management LP now owns 4,963,006 shares of the company's stock worth $51,615,000 after purchasing an additional 250,581 shares during the period. Woodline Partners LP raised its stake in Sigma Lithium by 65.6% during the first quarter. Woodline Partners LP now owns 2,678,444 shares of the company's stock worth $27,856,000 after purchasing an additional 1,060,771 shares during the period. Norges Bank purchased a new position in Sigma Lithium during the second quarter worth about $11,250,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in Sigma Lithium by 24.9% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,550,713 shares of the company's stock worth $7,091,000 after purchasing an additional 309,338 shares during the period. Finally, Legal & General Group Plc raised its stake in Sigma Lithium by 31.8% during the second quarter. Legal & General Group Plc now owns 1,305,075 shares of the company's stock worth $5,948,000 after purchasing an additional 314,711 shares during the period. 64.86% of the stock is currently owned by institutional investors and hedge funds.

About Sigma Lithium

Sigma Lithium Corporation engages in the exploration and development of lithium deposits in Brazil. It holds a 100% interest in the Grota do Cirilo, Genipapo, Santa Clara, and São José properties comprising 29 mineral rights covering an area of approximately 185 square kilometers located in the Araçuaí and Itinga regions of the state of Minas Gerais, Brazil.

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