Globe says Lesiak hikes Eldorado Gold to "buy" 2017-03-30 08:55 ET - In the News
The Globe and Mail reports in its Thursday, March 30, edition that as its valuation metrics improve with the payability terms for its Olympias mine in Greece, Canaccord Genuity analyst Tony Lesiak upgraded Eldorado Gold ($4.67). The Globe's David Leeder writes in the Eye On Equities column that Mr. Lesiak says, "Eldorado has underperformed its peers 7 per cent year to date with the peer group also having underperformed bullion by 5 per cent. Given the improved valuation metrics relative to our revised target (now offering potential upside of 29 per cent), we are revising our rating." Mr. Lesiak moved Eldorado to "buy" from "hold," raising his target to $5.50 from $5. Analysts on average target the shares at $4.65. Mr. Lesiak says in a note: "Our target multiple remains suppressed (average 1.0 times target multiple for the group) mainly given the social/political situation in Greece where 60 per cent of ELD's assets by NAV are located. We note that ELD is expected to host a tour of its Greek asset in early June, and the Syriza government are currently in bailout discussions again." RBC analyst Dan Rollins rated Eldorado "outperform" in the Eye column on Sept. 27, 2016. It was then worth $5.33.