An interesting stock that came up in some of our conversations today is Sandstorm Gold Ltd. (NYSE:SAND). At current price of $7.05, the shares have already added 0.15 points (2.17% higher) from its previous close of $6.9. Should you buy or avoid them? The stock sets an active trading volume day with a reported 714560 contracts so far this session. SAND shares had a relatively better volume day versus average trading capacity of 1.64 million shares, but with a 0.17 billion float and a 1.62% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for SAND stock indicates that the average analyst price target is $5.94 per share. This means the stock has a potential decrease of -15.74% from where the SAND share price has been trading recently.
During the recent trading session for Sandstorm Gold Ltd. (NYSE:SAND), the company witnessed their stock rise $0.41 over a week and surge $0.13 from the price 20 days ago. When compared to their established 52-week high of $7.67, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 02/01/20. The recent low of $4.96 stood for a -8.08% since 05/30/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0 is also allocated to the stock. Since the beta is less than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.
Looking at the current readings for Sandstorm Gold Ltd., the two-week RSI stands at 58.01. This figure suggests that SAND stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current SAND readings is similarly very revealing as it has a stochastic reading of 73.75% at this stage. This figure means that SAND share price today is being oversold.
Technical chart claims that Sandstorm Gold Ltd. (SAND) would settle between $6.97/share to $7.04/share level. However, if the stock price goes below the $6.82 mark, then the market for Sandstorm Gold Ltd. becomes much weaker. If that happens, the stock price might even plunge as low as $6.74 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.14. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at CIBC raised their recommendation on shares of SAND from Neutral to Sector Outperform in their opinion released on October 31. Raymond James, analysts launched coverage of Sandstorm Gold Ltd. (NYSE:SAND) stock with a Outperform recommendation, according to their flash note issued to investors on July 14. Analysts at RBC Capital Mkts released an upgrade from Sector Perform to Outperform for the stock, in a research note that dated back to July 10.
SAND equity has an average rating of 2.25, with the figure leaning towards a bullish end. 4 analysts who tracked the company were contacted by Reuters. Amongst them, 1 rated the stock as a hold while the remaining 3 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 3 analysts rated Sandstorm Gold Ltd. (NYSE:SAND) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, SAND stock price is currently trading at 86.25X forward 12-month Consensus EPS estimates, and its P/E ratio is 98.6 while for the average stock in the same group, the multiple is 54.5. Sandstorm Gold Ltd. current P/B ratio of 2.2 means it is trading at a premium against its industry’s 2.1.