Market Overview

UPDATE: BMO Capital Markets Downgrades IAMGOLD Corporation to Market Perform, Lowers PT

Related IAG
Indicated Resource Increase of 6% at Essakane Mine, Burkina Faso and Diamond Drilling Update at Boto Gold Project, Senegal
Separating The Precious Metals Saints From The Sinners
Iamgold's Cost Reduction Will Lead to Strong Margin Growth (GuruFocus)

In a report published Wednesday, BMO Capital Markets downgraded its rating on IAMGOLD Corporation (NYSE: IAG) from Outperform to Market Perform, and lowered its price target from $16.00 to $14.00.

BMO Capital Markets noted, “Attributable gold sales of 214koz on production of 205koz at cash costs expected to be ~US$674-716/oz are in line with BMO Research forecast of 211koz at US$715/oz; while niobium production of 4.7kt for 2012 was in line with expectations. For 2013, IAMGOLD reiterates production of 875-950koz gold, but cash costs of US$850-925/oz are higher than forecast of US$730/oz. The company ascribed the higher costs to one-third inflation and one-third lower grades (especially Essakane), while production mix (high cost Sadiola and Yatela) and harder ore (Essakene and Rosebel) also contributed. Niobium production guidance of 4.7-5.1kt is higher than forecast for 4.4kt. The Côté Gold resource estimate now stands at 269Mt at 0.88g/t (or 7.61Moz) in the Indicated category and 44Mt at 0.74g/t (or 1.04Moz) in the Inferred category.”

IAMGOLD Corporation closed on Tuesday at $10.87.

Latest Ratings for IAG

Feb 2015HSBCUpgradesUnderweightOverweight
Jan 2015HSBCDowngradesOverweightUnderweight
Jan 2015HSBCDowngradesOverweightUnderweight

View More Analyst Ratings for IAG
View the Latest Analyst Ratings

Posted-In: BMO Capital MarketsAnalyst Color Downgrades Analyst Ratings


Related Articles (IAG)

Around the Web, We're Loving...