Piper Jaffray reiterated its Neutral rating on Molycorp MCP but reduced its price target from $13 to $8.
Piper Jaffray commented, "We remain skeptical on MCP's output at Mountain Pass and have slashed our CY13 estimates again to 8,000MT (previously 14,250MT). With $436m in cash on hand and capex outlay of $475m over the next 3 quarters, we remain concerned about Molycorp's liquidity needs. Finally, the company has been subjected to a inquiry by SEC regarding its public disclosures and consistency. We are reducing our PT to $8 based on 1x CY13 sales of $975m. Reiterate Neutral with a negative bias."
Molycorp closed at $7.50 on Friday.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in