Sibanye Gold Limited (SBSW) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Sibanye Gold Limited (SBSW) closed at $19.07, marking a +2.14% move from the previous day. This change outpaced the S&P 500's 0.82% gain on the day.
Coming into today, shares of the company had lost 0.05% in the past month. In that same time, the Basic Materials sector gained 8.18%, while the S&P 500 gained 2.31%.
Wall Street will be looking for positivity from SBSW as it approaches its next earnings report date.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.30 per share and revenue of $8.03 billion, which would represent changes of +67.97% and +59.25%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for SBSW. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. SBSW is currently a Zacks Rank #1 (Strong Buy).
In terms of valuation, SBSW is currently trading at a Forward P/E ratio of 4.34. Its industry sports an average Forward P/E of 12, so we one might conclude that SBSW is trading at a discount comparatively.
The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 175, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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