CITI analyst, Alexander Hacking raised his target for IVN... to $24 from $15, maintaining a “buy” recommendation. The average is currently $23.49.
“Ivanhoe has successfully delivered the 600ktpa Kamoa-Kakula mine – maybe the best mining project of the past 20 years. De-bottlenecking will likely creep output higher-near term but grades are peak & Phase IV will ultimately be required to offset this with more tonnage.
The main valuation differentiator for IVN vs peers is exploration upside at Western Foreland. The odds of finding another Kamoa-Kakula are low but the odds of finding a lesser deposit with strong economics at $10,000/ton appear reasonably high, e.g. Makoko, Kiala and Kitoko. This exploration upside is unique amongst our coverage & gives IVN incremental leverage to the copper price.”