Sibanye Stillwater (SBSW) shares are experiencing a pre-market plunge of 7.24% on Friday. This decline is attributed to the company's weaker-than-expected guidance for 2025, particularly regarding higher costs and capital expenditures in its Stillwater and South African platinum group metals operations.

According to analysts at RBC Capital Markets, Sibanye's 2025 capital expenditure guidance for its South African PGM operations is around $360 million, which is 16% higher than their expectations. Additionally, the company's all-in sustaining cost guidance of between $1,420 and $1,460 per ounce at its Stillwater facility is 23% higher than analysts' projections.

While Sibanye's 2024 results were broadly in line with expectations, the higher-than-anticipated cost and capital expenditure projections for 2025 have raised concerns among investors, leading to the significant pre-market sell-off.