Sigma Lithium (NASDAQ:SGML) Shares Gap Down – Should You Sell?

Sigma Lithium Corporation (NASDAQ:SGML)’s share price gapped down prior to trading on Monday . The stock had previously closed at $14.50, but opened at $13.39. Sigma Lithium shares last traded at $13.1950, with a volume of 1,260,032 shares changing hands.

Analyst Upgrades and Downgrades

SGML has been the subject of several recent research reports. Bank of America downgraded shares of Sigma Lithium from a “buy” rating to a “neutral” rating and set a $7.00 target price for the company. in a research note on Friday, October 24th. Weiss Ratings reissued a “sell (e+)” rating on shares of Sigma Lithium in a report on Monday, December 22nd. Finally, Zacks Research raised Sigma Lithium from a “strong sell” rating to a “hold” rating in a report on Tuesday, November 25th. Two investment analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Sigma Lithium currently has an average rating of “Reduce” and an average target price of $7.00.

Sigma Lithium Price Performance

The stock has a market capitalization of $1.51 billion, a PE ratio of -43.76 and a beta of 0.01. The business’s 50-day moving average price is $8.91 and its 200 day moving average price is $7.00. The company has a debt-to-equity ratio of 1.38, a quick ratio of 0.32 and a current ratio of 0.49.

Sigma Lithium (NASDAQ:SGML) last posted its quarterly earnings data on Friday, November 14th. The company reported ($0.10) earnings per share (EPS) for the quarter, meeting the consensus estimate of ($0.10). Sigma Lithium had a negative return on equity of 35.97% and a negative net margin of 24.13%.The company had revenue of $28.55 million during the quarter, compared to analyst estimates of $70.54 million. Research analysts forecast that Sigma Lithium Corporation will post -0.12 earnings per share for the current year.

Institutional Investors Weigh In On Sigma Lithium

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Waratah Capital Advisors Ltd. raised its stake in shares of Sigma Lithium by 93.0% during the second quarter. Waratah Capital Advisors Ltd. now owns 227,330 shares of the company’s stock worth $1,023,000 after acquiring an additional 109,530 shares in the last quarter. CenterBook Partners LP lifted its stake in Sigma Lithium by 416.8% in the second quarter. CenterBook Partners LP now owns 816,515 shares of the company’s stock worth $3,674,000 after purchasing an additional 658,533 shares during the last quarter. Amundi purchased a new stake in Sigma Lithium during the first quarter valued at about $2,478,000. Aberdeen Group plc bought a new position in shares of Sigma Lithium during the second quarter valued at about $187,000. Finally, Woodline Partners LP increased its holdings in shares of Sigma Lithium by 65.6% in the first quarter. Woodline Partners LP now owns 2,678,444 shares of the company’s stock worth $27,856,000 after buying an additional 1,060,771 shares during the period. 64.86% of the stock is owned by hedge funds and other institutional investors.

Sigma Lithium Company Profile

Sigma Lithium Corp. is a Canada-based mineral exploration and development company focused on the sustainable production of battery-grade lithium from hard rock deposits. The company’s flagship asset is the Grota do Cirilo lithium project, located in the state of Minas Gerais, Brazil. Grota do Cirilo comprises a fully permitted, low-altitude spodumene mine and processing plant designed to produce high-purity lithium concentrate and downstream lithium hydroxide for the global electric vehicle and energy storage markets.

Since its founding in 2018, Sigma Lithium has pursued a vertically integrated approach, overseeing each stage of production from ore extraction and beneficiation to chemical conversion.