Globe says Paradigm's Davidson keen on Imperial Metals
Globe says Paradigm's Davidson keen on Imperial Metals
2020-01-09 08:52 ET - In the News
The Globe and Mail reports in its Thursday, Jan. 9, edition that Paradigm Capital analysts David Davidson and Jeff Woolley say investors are likely to see "considerable" volatility in base metals in the near term given the escalating tension in the Middle East. The Globe's David Leeder writes in the Eye On Equities column that the analysts, however, expect the "overall theme" of the first year to be higher copper prices, noting the market is beginning to look at supply/demand fundamentals. Mr. Davidson has a "buy" rating on Imperial Metal. He targets the shares at $4.10. Analysts on average target the shares at $2.90. Mr. Davidson says in a note: "While not a true development story as it has a 30-per-cent interest in Red Chris, the potential restart of Mount Polley and ultimate expansion of Red Chris to a combined open pit/block cave fits the bill. Red Chris in its current form should deliver solid operating and financial results during the first half of 2020, owing to higher grade and mill efficiencies to be executed by operator Newcrest Mining. An aggressive drill program is underway to better define the underground development opportunity -- we expect initial drill results in Q1."