Sibanye Gold (NYSE:SBSW) Stock Price Up 6.6% - Should You Buy?

Key Points

• Sibanye Gold Limited's share price increased by 6.6% during mid-day trading, reaching a high of $9.31 after closing at $8.73.
• Analysts have upgraded Sibanye Gold's rating from "buy" to "strong-buy", and BMO Capital Markets raised its price target from $7.00 to $8.50.
• Institutional investors hold 34.93% of Sibanye Gold's stock, with significant increases in stakes from firms like Ameriprise and Northern Trust in recent quarters.

Sibanye Gold Limited (NYSE:SBSW - Get Free Report) was up 6.6% on Friday . The stock traded as high as $9.28 and last traded at $9.31. Approximately 1,967,037 shares were traded during trading, a decline of 79% from the average daily volume of 9,463,552 shares. The stock had previously closed at $8.73.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on SBSW shares. Wall Street Zen cut Sibanye Gold from a "strong-buy" rating to a "buy" rating in a research report on Saturday. BMO Capital Markets upped their price objective on Sibanye Gold from $7.00 to $8.50 and gave the company a "market perform" rating in a research note on Tuesday, September 2nd. One analyst has rated the stock with a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, the stock has an average rating of "Hold" and an average target price of $6.07.

Sibanye Gold Price Performance

The stock has a market capitalization of $7.12 billion, a P/E ratio of 19.36 and a beta of 0.65. The company has a debt-to-equity ratio of 0.96, a quick ratio of 1.53 and a current ratio of 2.89. The stock has a 50-day simple moving average of $8.60 and a 200 day simple moving average of $6.53.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Osaic Holdings Inc. boosted its position in shares of Sibanye Gold by 46.8% in the 2nd quarter. Osaic Holdings Inc. now owns 28,506 shares of the company's stock worth $206,000 after purchasing an additional 9,086 shares during the last quarter. Marex Group plc bought a new position in shares of Sibanye Gold in the 2nd quarter worth $136,000. Nomura Holdings Inc. boosted its position in shares of Sibanye Gold by 304.3% in the 2nd quarter. Nomura Holdings Inc. now owns 225,593 shares of the company's stock worth $1,629,000 after purchasing an additional 169,793 shares during the last quarter. Headlands Technologies LLC boosted its position in shares of Sibanye Gold by 10,564.4% in the 2nd quarter. Headlands Technologies LLC now owns 104,724 shares of the company's stock worth $756,000 after purchasing an additional 103,742 shares during the last quarter. Finally, Corient Private Wealth LLC boosted its position in shares of Sibanye Gold by 35.1% in the 2nd quarter. Corient Private Wealth LLC now owns 31,424 shares of the company's stock worth $227,000 after purchasing an additional 8,161 shares during the last quarter. 34.93% of the stock is currently owned by institutional investors.

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.