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SSW

Sibanye StillwaterJSE:SSW Stock Report

Last Price

R58.83

Market Cap

R165.2b

7D

4.6%

1Y

-6.0%

Updated

23 Jan, 2022

Data

Company Financials +
SSW fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance5/6
Financial Health6/6
Dividends4/6

SSW Stock Overview

Sibanye Stillwater Limited operates as a precious metals mining company in South Africa, the United States, Zimbabwe, Canada, and Argentina.

Sibanye Stillwater Competitors

Anglo American Platinum

JSE:AMS

R469.3b

Impala Platinum Holdings

JSE:IMP

R194.1b

Northam Platinum Holdings

JSE:NPH

R77.1b

Vale

BOVESPA:VALE3

R$415.4b

Price History & Performance

Summary of all time highs, changes and price drops for Sibanye Stillwater
Historical stock prices
Current Share PriceR58.83
52 Week HighR76.65
52 Week LowR44.79
Beta1.4
1 Month Change20.93%
3 Month Change13.59%
1 Year Change-5.96%
3 Year Change461.89%
5 Year Change117.45%
Change since IPO360.23%

Recent News & Updates

Shareholder Returns

SSWZA Metals and MiningZA Market
7D4.6%2.6%-0.3%
1Y-6.0%3.4%13.9%

Return vs Industry: SSW underperformed the ZA Metals and Mining industry which returned 3.4% over the past year.

Return vs Market: SSW underperformed the ZA Market which returned 13.9% over the past year.

Price Volatility

Is SSW's price volatile compared to industry and market?
SSW volatility
SSW Average Weekly Movement5.7%
Metals and Mining Industry Average Movement7.0%
Market Average Movement5.7%
10% most volatile stocks in ZA Market12.1%
10% least volatile stocks in ZA Market3.3%

Stable Share Price: SSW is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: SSW's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
201380,000Neal Fronemanhttps://www.sibanyestillwater.com

Sibanye Stillwater Limited operates as a precious metals mining company in South Africa, the United States, Zimbabwe, Canada, and Argentina. The company produces gold; platinum group metals (PGMs), including palladium, platinum, and rhodium; and by-products, such as iridium, ruthenium, nickel, copper, and chrome. It owns the East Boulder and Stillwater mines located in Montana, the United States; and Columbus metallurgical complex, which smelts the material mined to produce PGM-rich filter cake, as well as conducts PGM recycling activities.

Sibanye Stillwater Fundamentals Summary

How do Sibanye Stillwater's earnings and revenue compare to its market cap?
SSW fundamental statistics
Market CapR165.22b
Earnings (TTM)R44.76b
Revenue (TTM)R162.33b

3.7x

P/E Ratio

1.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SSW income statement (TTM)
RevenueR162.33b
Cost of RevenueR93.80b
Gross ProfitR68.53b
ExpensesR23.77b
EarningsR44.76b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Feb 17, 2022

Earnings per share (EPS)15.94
Gross Margin42.22%
Net Profit Margin27.58%
Debt/Equity Ratio20.6%

How did SSW perform over the long term?

See historical performance and comparison

Dividends

10.4%

Current Dividend Yield

39%

Payout Ratio

Valuation

Is Sibanye Stillwater undervalued compared to its fair value and its price relative to the market?

25.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SSW (ZAR58.83) is trading below our estimate of fair value (ZAR79.17)

Significantly Below Fair Value: SSW is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SSW is good value based on its PE Ratio (3.7x) compared to the ZA Metals and Mining industry average (6x).

PE vs Market: SSW is good value based on its PE Ratio (3.7x) compared to the ZA market (10.9x).


Price to Earnings Growth Ratio

PEG Ratio: SSW's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: SSW is overvalued based on its PB Ratio (2x) compared to the ZA Metals and Mining industry average (1.3x).


Future Growth

How is Sibanye Stillwater forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

-8.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SSW's earnings are forecast to decline over the next 3 years (-8.6% per year).

Earnings vs Market: SSW's earnings are forecast to decline over the next 3 years (-8.6% per year).

High Growth Earnings: SSW's earnings are forecast to decline over the next 3 years.

Revenue vs Market: SSW's revenue is expected to decline over the next 3 years (-4.5% per year).

High Growth Revenue: SSW's revenue is forecast to decline over the next 3 years (-4.5% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SSW's Return on Equity is forecast to be high in 3 years time (26.7%)


Past Performance

How has Sibanye Stillwater performed over the past 5 years?

75.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SSW has a high level of non-cash earnings.

Growing Profit Margin: SSW's current net profit margins (27.6%) are higher than last year (9.3%).


Past Earnings Growth Analysis

Earnings Trend: SSW's earnings have grown significantly by 75.5% per year over the past 5 years.

Accelerating Growth: SSW's earnings growth over the past year (361.4%) exceeds its 5-year average (75.5% per year).

Earnings vs Industry: SSW earnings growth over the past year (361.4%) exceeded the Metals and Mining industry 218.4%.


Return on Equity

High ROE: SSW's Return on Equity (55.4%) is considered outstanding.


Financial Health

How is Sibanye Stillwater's financial position?


Financial Position Analysis

Short Term Liabilities: SSW's short term assets (ZAR63.8B) exceed its short term liabilities (ZAR23.3B).

Long Term Liabilities: SSW's short term assets (ZAR63.8B) exceed its long term liabilities (ZAR39.8B).


Debt to Equity History and Analysis

Debt Level: SSW has more cash than its total debt.

Reducing Debt: SSW's debt to equity ratio has reduced from 49% to 20.6% over the past 5 years.

Debt Coverage: SSW's debt is well covered by operating cash flow (216.5%).

Interest Coverage: SSW's interest payments on its debt are well covered by EBIT (80.7x coverage).


Balance Sheet


Dividend

What is Sibanye Stillwater current dividend yield, its reliability and sustainability?

10.42%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SSW's dividend (10.42%) is higher than the bottom 25% of dividend payers in the ZA market (2.87%).

High Dividend: SSW's dividend (10.42%) is in the top 25% of dividend payers in the ZA market (7.34%)


Stability and Growth of Payments

Stable Dividend: SSW has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SSW's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (39.2%), SSW's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SSW's dividends in 3 years are forecast to be well covered by earnings (49.1% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Neal Froneman (61 yo)

9yrs

Tenure

R57,973,000

Compensation

Mr. Neal John Froneman, PR Eng., B.Sc. (Mech Eng.) (Ind. Opt), University of the Witwatersra, BCompt UNISA, has been the Chief Executive Officer of Sibanye-Stillwater Limited (formerly Sibanye Stillwater L...


CEO Compensation Analysis

Compensation vs Market: Neal's total compensation ($USD3.85M) is above average for companies of similar size in the ZA market ($USD2.58M).

Compensation vs Earnings: Neal's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: SSW's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: SSW's board of directors are considered experienced (8.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Sibanye Stillwater Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Sibanye Stillwater Limited
  • Ticker: SSW
  • Exchange: JSE
  • Founded: 2013
  • Industry: Precious Metals and Minerals
  • Sector: Materials
  • Implied Market Cap: R165.219b
  • Shares outstanding: 2.81b
  • Website: https://www.sibanyestillwater.com

Number of Employees


Location

  • Sibanye Stillwater Limited
  • Bridgeview House, Building 11
  • Ground Floor (Lakeview Avenue)
  • Weltevredenpark
  • Gauteng
  • 1709
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/23 17:01
End of Day Share Price2022/01/21 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.