Sibanye Gold (NYSE:SBSW) Stock Price Up 5.1% - Still a Buy?

Key Points

• Sibanye Gold's stock price increased by 5.1% to $10.87 with a trading volume of approximately 8 million shares, representing a 16% decrease from the average daily volume.
• Recent analyst ratings reflect mixed opinions, with Wall Street Zen upgrading the stock to "strong-buy" while Weiss Ratings maintained a "sell" rating, leading to a consensus rating of "Hold" with an average target price of $6.07.
• Several institutional investors, including JPMorgan Chase and Goldman Sachs, significantly increased their holdings in Sibanye Gold, indicating growing confidence in the stock.

Sibanye Gold Limited (NYSE:SBSW - Get Free Report)'s share price rose 5.1% during mid-day trading on Wednesday . The company traded as high as $10.84 and last traded at $10.87. Approximately 8,062,164 shares traded hands during mid-day trading, a decline of 16% from the average daily volume of 9,560,062 shares. The stock had previously closed at $10.35.

Analysts Set New Price Targets

SBSW has been the topic of several recent research reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Sibanye Gold in a research note on Wednesday, October 8th. Wall Street Zen raised shares of Sibanye Gold from a "buy" rating to a "strong-buy" rating in a research note on Friday, October 3rd. Zacks Research raised shares of Sibanye Gold to a "hold" rating in a research note on Monday. Finally, BMO Capital Markets lifted their target price on shares of Sibanye Gold from $7.00 to $8.50 and gave the stock a "market perform" rating in a research note on Tuesday, September 2nd. One research analyst has rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average target price of $6.07.

Sibanye Gold Stock Performance

The company has a current ratio of 2.89, a quick ratio of 1.53 and a debt-to-equity ratio of 0.96. The firm has a fifty day moving average price of $9.63 and a 200 day moving average price of $7.60. The firm has a market cap of $7.75 billion, a PE ratio of 21.07 and a beta of 0.71.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Lingotto Investment Management LLP raised its holdings in shares of Sibanye Gold by 0.9% during the 2nd quarter. Lingotto Investment Management LLP now owns 28,430,409 shares of the company's stock worth $205,268,000 after acquiring an additional 263,600 shares during the period. JPMorgan Chase & Co. boosted its stake in Sibanye Gold by 32,992.0% during the second quarter. JPMorgan Chase & Co. now owns 6,405,288 shares of the company's stock worth $46,246,000 after buying an additional 6,385,932 shares during the period. Marshall Wace LLP boosted its stake in Sibanye Gold by 77.0% during the second quarter. Marshall Wace LLP now owns 4,752,858 shares of the company's stock worth $34,316,000 after buying an additional 2,068,178 shares during the period. Goldman Sachs Group Inc. boosted its stake in Sibanye Gold by 196.6% during the first quarter. Goldman Sachs Group Inc. now owns 3,576,255 shares of the company's stock worth $16,379,000 after buying an additional 2,370,443 shares during the period. Finally, Arrowstreet Capital Limited Partnership boosted its stake in Sibanye Gold by 1,136.5% during the second quarter. Arrowstreet Capital Limited Partnership now owns 3,495,525 shares of the company's stock worth $25,238,000 after buying an additional 3,212,833 shares during the period. Hedge funds and other institutional investors own 34.93% of the company's stock.

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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