Gold Miners: The Latest Must-Read Wall Street Ratings
Upgrades for Eldorado
Eldorado Gold (EGO) was upgraded by Credit Suisse (CS) on April 7 to “outperform” from “neutral.” The target price also rose from $3.25 to $4.00. According to the CS analyst, Eldorado’s growing production base and environmental approvals for Skouries could present an upside for the stock.
On April 7, CIBC also increased its target price for Eldorado, from $3.25 to $3.50, but it maintained its “sector perform” rating.
JPMorgan Chase (JPM) maintained its “overweight” rating for the stock at a target price of $6.50.
Yamana’s 1Q16 production
Yamana Gold (AUY) released its 1Q16 production results on April 11. A lot of analysts released updated target prices for the stock after its in-line results. Canaccord Genuity maintained its “buy” rating while increasing the target price 14% to $4.65. BMO Research also increased the target price for the stock from $3.25 to $4 while maintaining its “market perform” rating.
CIBC raised its target price on April 11 while maintaining its “sector perform” rating. CIBC’s new target price is 19% higher than its previous target price of $2.70.
Downgrades for New Gold
RBC Capital Markets downgraded New Gold (NGD) to “Sector Perform” from “Outperform” on March 21. According to an RBC analyst, “While we remain positive on the company’s long-term fundamentals, we believe the near-term direction of New Gold’s shares will be more aligned to movements in gold/copper prices than a further fundamental re-rating.” This comment means the stock is more sensitive to changes in commodity prices (COMT).
BMO Capital Markets also downgraded New Gold to “market perform” from “outperform” on March 14.
Recent ratings for Agnico Eagle
Barclays maintained its “neutral” rating in Agnico Eagle on April 4 and maintained its target price of $38.
UBS downgraded Agnico-Eagle Mines (AEM) from “buy” to “neutral” on March 28. It also reduced its target price to $36.
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