Sigma Lithium (NASDAQ:SGML) Shares Gap Up – Still a Buy?

Sigma Lithium Corporation (NASDAQ:SGML) gapped up prior to trading on Wednesday. The stock had previously closed at $9.71, but opened at $10.32. Sigma Lithium shares last traded at $9.9330, with a volume of 667,620 shares.

Analysts Set New Price Targets

SGML has been the subject of a number of recent research reports. BMO Capital Markets cut Sigma Lithium from an “outperform” rating to a “market perform” rating and set a $10.00 price objective for the company. in a research report on Thursday, October 1st. JPMorgan Chase & Co. lowered shares of Sigma Lithium from an “overweight” rating to a “neutral” rating and set a $11.00 target price on the stock. in a report on Friday, October 2nd. Zacks Research cut shares of Sigma Lithium from a “hold” rating to a “strong sell” rating in a research note on Wednesday, August 19th. ATB Cormark Capital Markets cut shares of Sigma Lithium from a “moderate buy” rating to a “hold” rating and decreased their price target for the stock from $19.50 to $13.00 in a research note on Friday, October 2nd. Finally, Wall Street Zen downgraded shares of Sigma Lithium from a “buy” rating to a “hold” rating in a report on Saturday, August 8th. Two research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Reduce” and a consensus price target of $14.30.

Sigma Lithium Stock Up 2.5%

The firm has a fifty day moving average price of $10.75 and a 200-day moving average price of $13.35. The company has a quick ratio of 0.25, a current ratio of 0.34 and a debt-to-equity ratio of 1.25. The firm has a market cap of $1.12 billion, a price-to-earnings ratio of -41.46 and a beta of 0.67.

Sigma Lithium (NASDAQ:SGML) last announced its quarterly earnings data on Friday, August 14th. The company reported ($0.02) EPS for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.25). The business had revenue of $54.70 million during the quarter, compared to analysts’ expectations of $68.34 million. Sigma Lithium had a negative net margin of 19.36% and a negative return on equity of 37.40%. As a group, sell-side analysts forecast that Sigma Lithium Corporation will post 0.27 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. State of Wyoming purchased a new position in shares of Sigma Lithium during the 2nd quarter worth about $109,000. Deutsche Bank AG purchased a new stake in Sigma Lithium in the second quarter valued at approximately $116,000. Public Employees Retirement System of Ohio acquired a new position in Sigma Lithium during the second quarter worth approximately $128,000. Wellington Management Group LLP acquired a new position in Sigma Lithium during the second quarter worth approximately $286,000. Finally, Man Group plc purchased a new position in Sigma Lithium during the second quarter worth approximately $295,000. Institutional investors and hedge funds own 64.86% of the company’s stock.

About Sigma Lithium

Sigma Lithium Corporation is a Canadian mining and development company focused on producing lithium concentrate for the electric vehicle and energy storage industries. Its primary asset is the Grota do Cirilo project in Minas Gerais, Brazil, which includes hard-rock lithium deposits, mining operations and a processing facility.

The company produces lithium concentrate designed for use in lithium-ion batteries. Its processing approach emphasizes the recovery of lithium-bearing material while seeking to reduce the use of hazardous chemicals and minimize environmental impacts.