Sibanye Stillwater (SBSW) AI Stock Analysis

• Market Cap: $6.13B
• Dividend Yield: N/A
• Average Volume (3M): 8.76M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.97
• Revenue Growth: -0.71%
• EPS Growth: 80.26%
• Country: US
• Employees: 57,857
• Sector: Basic Materials
• Sector Strength: 60
• Industry: Gold
• EPS (TTM): 0.12
• Shares Outstanding: 707,641,850
• 10 Day Avg. Volume: 9,294,150
• 30 Day Avg. Volume: 8,764,931
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $8.45
• Price Target Upside: -1.29% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 54 Neutral
• Price Target: $8.50 ▼(-0.70% Downside)

The overall stock score for Sibanye Stillwater reflects a mix of financial challenges and positive technical indicators. The company's financial struggles, including negative profitability and liquidity concerns, weigh heavily on the score. However, the stock's technical position is relatively positive, providing some balance. The negative P/E ratio further underscores the financial challenges.

Positive Factors

Tax Credits

The impending S45X tax credit should alleviate some cost pressures at the US PGM operations.

Negative Factors

Financial Performance

Sibanye-Stillwater reported adj. EBITDA of US$222M, lower than estimates due to higher costs and lower metal sales.

Operational Challenges

SA Gold operations were impacted by ore pass blockages at Kloof main shaft and pump station fire at Driefontein 5 shaft.

Sibanye Stillwater Business Overview & Revenue Model

Company Description

Sibanye Stillwater (SBSW) is a leading global precious metals mining company, primarily engaged in the extraction and processing of gold and platinum group metals (PGMs). Headquartered in South Africa, the company operates several mining operations in the country and in the United States, focusing on sustainable and responsible mining practices. Its core products include gold, platinum, palladium, and rhodium, catering to various industrial applications and investment demands in the global market.

How the Company Makes Money

Sibanye Stillwater generates revenue primarily through the sale of its mined precious metals, which are sold to various markets including jewelry, automotive, and industrial sectors. The company's key revenue streams include gold sales, PGM sales, and by-products from its mining operations. Additionally, Sibanye Stillwater has engaged in strategic partnerships and joint ventures to enhance its mining capabilities and expand its resource base. Factors such as fluctuating commodity prices, operational efficiency, and the successful execution of its growth strategies significantly contribute to its earnings. The company also benefits from investments in recycling operations, which provide additional revenue through the recovery of precious metals from waste materials.

Sibanye Stillwater Financial Statement Overview

Summary

Sibanye Stillwater is grappling with declining revenue and profitability, as seen in its income statement. The company faces profitability challenges and increasing leverage, despite maintaining a stable equity base. Cash flow issues are also evident, with recent negative free cash flow signaling potential liquidity constraints.

Income Statement

Sibanye Stillwater's income statement reveals a volatile financial performance. The company experienced a decline in total revenue from 2020 to 2024, with significant swings in net income, moving from substantial profits to losses. The net profit margin has been negative over the last two years, indicating profitability challenges. Despite a high EBIT margin in earlier years, recent EBIT figures show weakening performance. Overall, the company's revenue growth and profitability are under pressure.

Balance Sheet

The balance sheet of Sibanye Stillwater reflects a strong equity position, with stockholders' equity maintaining a substantial proportion of total assets, indicating a solid equity ratio. However, the increase in total debt over the years has led to a higher debt-to-equity ratio, indicating growing leverage. The return on equity has been negatively impacted by recent losses, although it was strong in earlier years. Overall, the balance sheet presents a stable equity base but rising leverage.

Cash Flow

Cash flow analysis shows fluctuating free cash flow, with recent negative figures indicating challenges in generating excess cash. Operating cash flow has been positive, but the free cash flow to net income ratio has been adversely affected by net losses. The operating cash flow to net income ratio demonstrated better stability in earlier periods. The cash flow trajectory indicates potential liquidity constraints if negative trends persist.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	112.13B	113.68B	138.29B	172.19B	127.39B
Gross Profit	6.30B	12.78B	34.83B	60.17B	42.26B
EBITDA	164.00M	-27.52B	37.13B	57.61B	45.42B
Net Income	-7.30B	-37.77B	18.40B	33.05B	29.31B
Balance Sheet
Total Assets	137.99B	142.94B	166.63B	152.99B	134.10B
Cash, Cash Equivalents and Short-Term Investments	16.05B	25.56B	26.08B	30.29B	20.24B
Total Debt	42.06B	41.01B	23.05B	20.58B	18.71B
Total Liabilities	89.70B	91.33B	75.63B	71.65B	63.39B
Stockholders Equity	43.98B	48.73B	91.00B	81.34B	70.72B
Cash Flow
Free Cash Flow	-11.28B	-15.32B	-356.00M	19.52B	17.53B
Operating Cash Flow	10.29B	7.09B	15.54B	32.26B	27.15B
Investing Cash Flow	-24.34B	-22.04B	-17.37B	-14.57B	-9.94B
Financing Cash Flow	4.56B	12.98B	-3.50B	-8.34B	-2.24B

Sibanye Stillwater Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 8.56
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SBSW, the sentiment is Neutral. The current price of 8.56 is below the 20-day moving average (MA) of 8.96, above the 50-day MA of 7.93, and above the 200-day MA of 5.14, indicating a neutral trend. The MACD of 0.20 indicates Positive momentum. The RSI at 50.83 is Neutral, neither overbought nor oversold. The STOCH value of 50.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SBSW.

Sibanye Stillwater Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HMY	78 Outperform	$9.73B	16.59	25.19%	1.12%	20.35%	20.44%
GFI	76 Outperform	$28.05B	22.39	25.72%	1.74%	14.83%	75.86%
AU	73 Outperform	$28.83B	24.53	19.42%	1.46%	26.43%	―
CDE	72 Outperform	$7.46B	29.77	9.88%	―	68.88%	―
HL	68 Neutral	$5.14B	49.01	4.67%	0.45%	36.30%	―
SBSW	54 Neutral	$6.13B	―	-15.89%	―	-0.71%	80.26%
Sector *	44 Neutral	C$923.76M	-8.68	-0.23%	2.69%	24.53%	-41.45%