Upgrade 10:41 AM EDT, 10/26/2017 (MT Newswires) -- Credit Suisse analyst Anita Soni raised her rating for Detour Gold (DGC.TO), based on both near-term catalysts and the expectations of a weakening of the loonie, the Globe & Mail reported.
Also noting a valuation disparity versus its peers and on a Canadian dollar gold price basis, the analyst moved the stock to outperform from neutral in a research report on Wednesday prior to the release of its third-quarter financial results.
"We had downgraded the stock to neutral a month ago, based on our FX team's long-term $1.15 CAD-USD rate," she said. "Today, our FX team has called for a near-term USD rally, in addition, the BoC has held rates firm vs. an expectation of a rate hike causing weakening in the CAD."
Her target for the stock remains $16. Consensus is $21.21. DGC shares were down nearly 2% in early trading at $13.70.