UPDATE: Credit Suisse Upgrades Kinross Gold Corporation to Outperform on Valuation, Sentiment

Credit Suisse upgraded Kinross Gold Corporation

from Neutral to Outperform. Credit Suisse noted, "With the overhang removed from an impending writedown and clarity achieved on the choice for a 30ktpd mill option at Tasiast we are upgrading our target multiple for KGC to 1.3x P/NAV (from 1.1x), in line with the senior average of 1.3x. KGC also provided clarity on production, costs and capex for 2013 and thus our OpCFa multiple has increased to 18x (from 13x) in-line with KGC's implied reserve life of ~18 years. Our DCF and CF declined by 30% and 20%. … Negative news was expected and the stock has traded off 16% over the past two months likely on the impending negative newsflow. After modelling the results, we believe negative guidance has been adequately priced into the stock." Kinross Gold Corporation closed at $8.33 on Thursday.