stockwatch Globe says Centerra Gold maintained at "neutral"
2022-10-14 07:33 ET - In the News
The Globe and Mail reports in its Friday, Oct. 14, edition that Credit Suisse analyst Fahad Tariq says he felt compelled to adjust his share target for Centerra Gold, as well as other gold stocks, because he sees that gold prices are "hanging in." The Globe's David Leeder writes that Mr. Tariq, while maintaining his "neutral" recommendation, boosted his share target for Centerra Gold to $7.50 from $7. Analysts on average target the shares at $8.35. Mr. Tariq says in a note: "Q2-22 results were characterized by upward cost guidance revisions (and in fewer instances, lower production guidance) from several companies in our coverage universe. From our recent conversations with management teams, overall costs appear to be flattish quarter-over-quarter in Q3, despite some benefit from lower fuel prices and higher production sequentially. In some cases, companies are still drawing down their higher cost inventory from earlier in the year. The messaging appears to be to expect similar costs as Q2, with potential for costs to decline in Q4 with higher production and favourable FX. We do not expect any companies in our coverage universe revising 2022 cost guidance higher with Q3 results."