Sigma Lithium (NASDAQ:SGML) Shares Down 8.9% - Should You Sell?

Key Points

• Sigma Lithium's shares dropped by 8.9% to $5.97, well below the previous closing price of $6.55, with trading volume down 19% compared to the average.
• Wall Street Zen has recently changed Sigma Lithium's rating from "sell" to "hold," reflecting a cautious but stable outlook for investors.
• Institutional investors currently own 64.86% of Sigma Lithium's stock, with significant stakes being increased by major firms such as JPMorgan Chase & Co. and Norges Bank.

Sigma Lithium Corporation (NASDAQ:SGML - Get Free Report) dropped 8.9% during trading on Tuesday . The company traded as low as $5.99 and last traded at $5.97. Approximately 976,992 shares traded hands during mid-day trading, a decline of 19% from the average daily volume of 1,213,639 shares. The stock had previously closed at $6.55.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen raised shares of Sigma Lithium from a "sell" rating to a "hold" rating in a research note on Thursday, May 22nd.

Sigma Lithium Stock Performance

The company has a market capitalization of $572.54 million, a PE ratio of -13.91 and a beta of 0.05. The company has a debt-to-equity ratio of 1.08, a quick ratio of 0.67 and a current ratio of 0.85. The stock's fifty day simple moving average is $5.47 and its 200-day simple moving average is $8.36.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SGML. Norges Bank purchased a new position in Sigma Lithium in the 4th quarter valued at about $28,050,000. Bamco Inc. NY purchased a new position in Sigma Lithium in the 4th quarter valued at about $13,539,000. Woodline Partners LP lifted its holdings in Sigma Lithium by 65.6% in the 1st quarter. Woodline Partners LP now owns 2,678,444 shares of the company's stock valued at $27,856,000 after purchasing an additional 1,060,771 shares in the last quarter. Invesco Ltd. lifted its holdings in Sigma Lithium by 171.3% in the 4th quarter. Invesco Ltd. now owns 1,088,992 shares of the company's stock valued at $12,218,000 after purchasing an additional 687,639 shares in the last quarter. Finally, Appian Way Asset Management LP lifted its holdings in shares of Sigma Lithium by 15.2% during the 4th quarter. Appian Way Asset Management LP now owns 4,712,425 shares of the company's stock worth $52,873,000 after acquiring an additional 620,024 shares during the period. 64.86% of the stock is currently owned by hedge funds and other 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.