Investors Purchase High Volume of Call Options on Sibanye Gold (NYSE:SBSW)

Key Points

• On Thursday, **Sibanye Gold** (NYSE:SBSW) experienced a significant surge in call options trading, with **18,482 call options** purchased, marking a **60% increase** over the usual daily volume.
• The stock price of Sibanye Gold climbed **4.9%**, reaching **$10.69**, with a trading volume of over **6.3 million shares**, which is lower than its average volume.
• Recent institutional investments in Sibanye Gold saw **GAMMA Investing LLC** boost its stake by **112.2%**, while various hedge funds collectively own **34.93%** of the stock.

Sibanye Gold Limited (NYSE:SBSW - Get Free Report) saw unusually large options trading activity on Thursday. Stock investors bought 18,482 call options on the company. This represents an increase of approximately 60% compared to the typical daily volume of 11,561 call options.

Sibanye Gold Stock Up 4.9%

NYSE:SBSW traded up $0.50 during mid-day trading on Thursday, hitting $10.69. 6,316,933 shares of the company's stock were exchanged, compared to its average volume of 9,506,979. Sibanye Gold has a one year low of $3.05 and a one year high of $10.97. The company has a debt-to-equity ratio of 0.96, a current ratio of 2.89 and a quick ratio of 1.53. The business has a fifty day moving average price of $8.70 and a 200 day moving average price of $6.63. The company has a market cap of $7.56 billion, a PE ratio of 20.47 and a beta of 0.65.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. GAMMA Investing LLC increased its holdings in Sibanye Gold by 112.2% during the second quarter. GAMMA Investing LLC now owns 4,213 shares of the company's stock valued at $30,000 after buying an additional 2,228 shares during the last quarter. Ameriprise Financial Inc. purchased a new stake in Sibanye Gold during the fourth quarter valued at approximately $35,000. Strategic Investment Solutions Inc. IL purchased a new stake in Sibanye Gold during the second quarter valued at approximately $36,000. Creative Financial Designs Inc. ADV increased its holdings in Sibanye Gold by 35.8% during the first quarter. Creative Financial Designs Inc. ADV now owns 9,100 shares of the company's stock valued at $42,000 after buying an additional 2,400 shares during the last quarter. Finally, Farther Finance Advisors LLC increased its holdings in Sibanye Gold by 745.3% during the second quarter. Farther Finance Advisors LLC now owns 6,805 shares of the company's stock valued at $49,000 after buying an additional 6,000 shares during the last quarter. 34.93% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on SBSW shares. Wall Street Zen cut shares of Sibanye Gold from a "strong-buy" rating to a "buy" rating in a research report on Saturday, September 20th. BMO Capital Markets raised their price target on shares of Sibanye Gold from $7.00 to $8.50 and gave the stock a "market perform" rating in a report on Tuesday, September 2nd. One analyst has rated the stock with a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $6.07.

About Sibanye Gold

Sibanye Stillwater Limited, together with its subsidiaries, operates as a precious metals mining company in South Africa, the United States, Europe, and Australia. The company produces gold; platinum group metals (PGMs), including palladium, platinum, rhodium, iridium, and ruthenium; chrome; nickel; and silver, cobalt, and copper.

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