Stock Pick of the Week, Brought to You By: SteemitSteve

The Pick

Here's what I have for my fellow Steemiters this week: Sibanye Gold LTD (SBGL).  

Quick Profile

SBGL is a gold mining company based out of South Africa. It is currently trading at bargain value ($5.70/share) and has a lot of upside (that is simply based upon its 52 week price range). It is my opinion that after a long-winded bull market, we are going to see a steady market decline for the next 5 years (give or take). SBGL's beta (beta measures correlation with the overall movement of the stock market; a negative beta meaning that stock does well when the overall market is performing poorly) is an intimidating -0.79. In other words, this pick is going to KILL IT when the market inevitably turns bearish. 

This stock has also CONSISTENTLY paid its investors (myself included- I do NOT pitch investments that I don't personally believe in and have my own $ invested in!) a whopping 5% dividend. 

SBGL's cash flow has also risen for the past 3 years (indicating a safety net as far as remaining operational) & lastly, SBGL's return on equity (ROE- one of Warren Buffett's favorite tools for evaluation) stands at a sexy 3 year average of 14.86%.

My Verdict

Try putting a couple hundred bucks into this stock (for smaller investors, for whales let's say an allocation of 10-20% of total assets) and holding it for the next 3-5 years. I bought 250 shares of SBGL only a few weeks ago and I have already earned a return of 7.5%.