New Analyst Coverage & $2.00 Price Target from Cormark New Analyst Coverage & $2.00 Price Target for Heliostar Metals (HSTR.v HSTXF) From Cormark (Current Price: $0.65) Following reporting of exceptional high-grade gold results from its 2024 drill program which successfully expanded the high-grade panel, increased resource confidence and improved grades compared to previous models, Cormark Securities put out new analyst coverage for Heliostar Metals (HSTR.v HSTXF) with a $2.00 price target:
https://x.com/AllStreetsWolf/status/1866149243913953446 Emerging Producer:
- Transitioned into a junior producer
- Projected gold production of over 150,000 ounces annually by 2028
- Primarily driven by its flagship Ana Paula project.
Ana Paula Project:
- Located in Guerrero State, Mexico
- Advanced-stage development asset
- Resource estimate of 1.16 Moz of gold grading 5.43 g/t.
- Projected to produce over 100,000 ounces annually by 2028.
Other Projects:
- La Colorada and San Agustin, two Mexican mines acquired recently,
- Forecasted to produce approximately 200,000 ounces in 2024,
- La Colorada to become a cash flow generator starting in 2026.
Production Growth Potential:
- Ramp-up at La Colorada in 2025
- Ana Paula's high-grade core production likely to elevate HSTR into a sustainable producer with significant free cash flow.
Experienced Team:
- Management team led by industry veterans
- Team owns about 5% of outstanding shares and is steadily increasing its stake.
Valuation:
- Cormark initiating coverage with a "Buy" rating and a target price of C$2.00, based on a 0.6x multiple of NAV of C$3.30.
- Trading at a steep discount relative to peers.
- If open-pit mining permits for La Colorada and San Agustin permits are granted, NAV could rise to C$3.90.
Positioned as a high-growth opportunity with clear milestones in gold production and asset de-risking by 2025, HSTR stands as a unique opportunity.
Recent News Release:
https://www.heliostarmetals.com/news-articles/heliostar-metals-adds-to-board-of-directors Posted on Behalf of Heliostar Metals Ltd.