Sigma Lithium (NASDAQ:SGML) Trading Up 6.6% - Here's What Happened

Key Points

• Sigma Lithium shares rose 6.6% to approximately $11.12, although trading volume was 88% below the average daily session.
• Analyst sentiment is mixed: three analysts rate the stock Buy and three rate it Sell, resulting in a consensus Hold rating with an average price target of $18.50.
• The company missed quarterly expectations, reporting a loss of $0.02 per share versus the anticipated $0.23 profit and revenue of $54.7 million versus estimates of $68.34 million.

Shares of Sigma Lithium Corporation (NASDAQ:SGML - Get Free Report) traded up 6.6% on Wednesday . The stock traded as high as $11.25 and last traded at $11.1210. Approximately 374,176 shares traded hands during trading, a decline of 88% from the average session volume of 3,240,316 shares. The stock had previously closed at $10.43.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on SGML shares. Zacks Research downgraded shares of Sigma Lithium from a "hold" rating to a "strong sell" rating in a report on Wednesday, August 19th. Weiss Ratings cut shares of Sigma Lithium from a "sell (d-)" rating to a "sell (e+)" rating in a research note on Thursday, August 13th. Finally, Wall Street Zen downgraded shares of Sigma Lithium from a "buy" rating to a "hold" rating in a report on Saturday, August 8th. Three equities research analysts have rated the stock with a Buy rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Sigma Lithium presently has a consensus rating of "Hold" and an average target price of $18.50.

Sigma Lithium Stock Performance

The firm's fifty day simple moving average is $11.35 and its 200 day simple moving average is $13.81. The company has a market capitalization of $1.23 billion, a price-to-earnings ratio of -45.40 and a beta of 0.64. The company has a debt-to-equity ratio of 1.25, a current ratio of 0.34 and a quick ratio of 0.25.

Sigma Lithium (NASDAQ:SGML - Get Free Report) last posted its quarterly earnings results on Friday, August 14th. The company reported ($0.02) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.23 by ($0.25). The company had revenue of $54.70 million during the quarter, compared to analysts' expectations of $68.34 million. Sigma Lithium had a negative return on equity of 37.40% and a negative net margin of 19.36%. On average, sell-side analysts forecast that Sigma Lithium Corporation will post 0.45 EPS for the current year.

Institutional Trading of Sigma Lithium

Several large investors have recently modified their holdings of SGML. Handelsbanken Fonder AB raised its position in shares of Sigma Lithium by 23.2% during the second quarter. Handelsbanken Fonder AB now owns 1,498,133 shares of the company's stock worth $18,951,000 after purchasing an additional 282,595 shares during the period. GSA Capital Partners LLP bought a new position in shares of Sigma Lithium during the 2nd quarter valued at about $2,512,000. Bank of America Corp DE grew its position in shares of Sigma Lithium by 138.4% in the 1st quarter. Bank of America Corp DE now owns 288,418 shares of the company's stock valued at $3,559,000 after purchasing an additional 167,443 shares during the period. BlackRock Inc. acquired a new position in shares of Sigma Lithium in the 2nd quarter valued at approximately $29,727,000. Finally, The Manufacturers Life Insurance Company bought a new stake in Sigma Lithium during the 2nd quarter worth approximately $2,989,000. 64.86% of the stock is owned by institutional investors.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.