Sigma Lithium (NASDAQ:SGML) Shares Gap Down - What's Next?

Key Points

• Sigma Lithium's share price gapped down from $6.24 to $5.85 ahead of trading on Tuesday, last traded at $5.84 with significant volume.
• The company reported disappointing quarterly earnings, with an EPS of ($0.17), missing estimates of ($0.03) and revenue of $16.89 million, well below the expected $50.44 million.
• Analyst ratings for Sigma Lithium vary, with one upgrade to "moderate buy" and a consensus target price of $12.00.

Sigma Lithium Corporation (NASDAQ:SGML - Get Free Report)'s stock price gapped down prior to trading on Tuesday . The stock had previously closed at $6.24, but opened at $5.85. Sigma Lithium shares last traded at $5.84, with a volume of 940,474 shares trading hands.

Analysts Set New Price Targets

SGML has been the subject of several research analyst reports. Cormark upgraded shares of Sigma Lithium to a "moderate buy" rating in a research note on Thursday, August 21st. Bank of America initiated coverage on shares of Sigma Lithium in a research report on Tuesday, August 26th. They issued a "buy" rating and a $12.00 price target for the company. Finally, Wall Street Zen downgraded shares of Sigma Lithium from a "hold" rating to a "sell" rating in a research report on Saturday, August 16th. One equities research analyst has rated the stock with a Buy rating, Based on data from MarketBeat, the stock currently has an average rating of "Buy" and an average price target of $12.00.

Sigma Lithium Stock Down 0.4%

The company has a current ratio of 0.60, a quick ratio of 0.39 and a debt-to-equity ratio of 1.26. The stock has a market capitalization of $602.19 million, a PE ratio of -12.30 and a beta of 0.09. The stock's fifty day simple moving average is $6.03 and its 200-day simple moving average is $7.14.

Sigma Lithium (NASDAQ:SGML - Get Free Report) last posted its quarterly earnings data on Thursday, August 14th. The company reported ($0.17) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.03) by ($0.14). The firm had revenue of $16.89 million for the quarter, compared to analysts' expectations of $50.44 million. Sigma Lithium had a negative return on equity of 47.19% and a negative net margin of 35.69%. As a group, sell-side analysts forecast that Sigma Lithium Corporation will post -0.12 EPS for the current fiscal year.

Institutional Investors Weigh In On Sigma Lithium

A number of hedge funds have recently made changes to their positions in the business. Northern Trust Corp raised its stake in Sigma Lithium by 40.4% in the 4th quarter. Northern Trust Corp now owns 124,554 shares of the company's stock valued at $1,397,000 after acquiring an additional 35,848 shares during the period. BNP Paribas Financial Markets bought a new stake in Sigma Lithium in the 4th quarter valued at about $185,000. Janus Henderson Group PLC bought a new stake in Sigma Lithium in the 4th quarter valued at about $3,337,000. Point72 Asset Management L.P. raised its stake in Sigma Lithium by 349.0% in the 4th quarter. Point72 Asset Management L.P. now owns 405,274 shares of the company's stock valued at $4,547,000 after acquiring an additional 315,008 shares during the period. Finally, Squarepoint Ops LLC bought a new stake in Sigma Lithium in the 4th quarter valued at about $150,000. 64.86% of the stock is currently owned by institutional investors.

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.