Investors Purchase High Volume of Call Options on Sibanye Gold (NYSE:SBSW)

Sibanye Gold Limited (NYSE:SBSW) saw unusually large options trading activity on Tuesday. Investors acquired 22,763 call options on the company. This represents an increase of 104% compared to the average daily volume of 11,148 call options.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the business. JPMorgan Chase & Co. grew its position in shares of Sibanye Gold by 32,992.0% during the 2nd quarter. JPMorgan Chase & Co. now owns 6,405,288 shares of the company’s stock valued at $46,246,000 after acquiring an additional 6,385,932 shares during the period. Arrowstreet Capital Limited Partnership grew its holdings in Sibanye Gold by 1,136.5% during the second quarter. Arrowstreet Capital Limited Partnership now owns 3,495,525 shares of the company’s stock valued at $25,238,000 after purchasing an additional 3,212,833 shares during the period. Assenagon Asset Management S.A. increased its position in Sibanye Gold by 2,449.8% in the third quarter. Assenagon Asset Management S.A. now owns 3,246,397 shares of the company’s stock worth $36,490,000 after buying an additional 3,119,075 shares in the last quarter. ABC Arbitrage SA raised its stake in shares of Sibanye Gold by 260.1% in the third quarter. ABC Arbitrage SA now owns 4,032,812 shares of the company’s stock worth $45,329,000 after buying an additional 2,912,995 shares during the period. Finally, Millennium Management LLC lifted its position in shares of Sibanye Gold by 363.7% during the 1st quarter. Millennium Management LLC now owns 3,171,659 shares of the company’s stock valued at $14,526,000 after buying an additional 2,487,648 shares in the last quarter. 34.93% of the stock is currently owned by institutional investors.

Sibanye Gold Stock Performance

Shares of Sibanye Gold stock traded up $1.00 during trading hours on Tuesday, reaching $16.14. 7,448,450 shares of the stock traded hands, compared to its average volume of 8,181,404. Sibanye Gold has a one year low of $3.05 and a one year high of $16.31. The company has a current ratio of 2.89, a quick ratio of 1.53 and a debt-to-equity ratio of 0.96. The company has a 50 day moving average price of $12.59 and a 200 day moving average price of $10.35.

Wall Street Analysts Forecast Growth

SBSW has been the subject of a number of research analyst reports. Zacks Research raised Sibanye Gold from a “hold” rating to a “strong-buy” rating in a report on Thursday, January 1st. Wall Street Zen raised Sibanye Gold from a “buy” rating to a “strong-buy” rating in a research report on Monday, December 22nd. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Sibanye Gold in a research report on Wednesday, October 8th. One analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $6.90.

About Sibanye Gold

Sibanye Gold (NYSE:SBSW) is a precious metals mining company headquartered in Johannesburg, South Africa. The company’s core operations focus on the extraction, processing and exploration of gold. Through its South African gold mining operations, Sibanye Gold produces doré bars, gold in concentrate and carbon-in-leach product, leveraging both underground and surface mining techniques. The company also generates by-products such as uranium, copper and nickel, reflecting its commitment to maximizing resource recovery.

In addition to its South African footprint, Sibanye Gold has expanded into the platinum‐group metals (PGM) sector through its acquisition of Stillwater Mining Company in 2017.