UPDATE: National Bank Financial Downgrades AuRico Gold to Underperform on Dutch Auction Effect
National Bank Financial downgraded AuRico Gold Inc. (NYSE: AUQ) from Sector Perform to Underperform and lowered the price target from $8.50 to $7.00.
National Bank Financial commented, "Based on updated guidance, we believe that AUQ could see some share price weakness post the Dutch Auction. We believe the share price could be supported by a potential dividend between $0.20/sh and $0.40/sh (Exhibit 7 & 8). We … believe that AUQ's shares would start to look attractive below $7.00/sh – assuming at least $0.20/sh dividend."
AuRico Gold closed at $7.96 on Friday.
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