RE: RE: RE: RE: RE: Interesting... Valuation Updated; New Target Price of Cdn$12.75
Valuation changes include: the Q2’12 operational results, the
one-time investment writedown, increased Kiniero production.
Our new TP of Cdn$12.75 (was Cdn$13.00) reflects the
reduced investment. We reiterate our OP rating. While SMF
has sold off with its peer group and continues to trade at a
discount (0.78x P/NAV and 9.6x P/CFPS FY vs. NBF peers at
1.01x and 10.5x), positive results from SMF’s open-pit mining
review and resource update at Mana (due in coming days)
could be the catalyst event needed to reignite its share price.