Golden Opportunity: Iamgold Stock Upgraded By BMO Capital After Stellar Recovery

  • BMO Capital Markets analyst Jackie Przybylowski upgraded Iamgold Corp IAG to Outperform from Market Perform at an increased price target of $3.25 (from $2 earlier).
  • The analyst is bullish on IAG's business recovery following solid financial recovery in the last few months and divestiture of higher risk/higher cost assets (Rosebel/Saramacca and Boto). 
  • The analyst is also bullish on the appointment of Renaud Adams as CEO in March 2023, given his strong track record at New Gold and Richmont Mines as the CEO. Also, Przybylowski sees the appointment of Jerzy Orzechowski as Executive Project Director of the Cote construction project (in Decemeber 2021) as an encouraging move.
  • Although Przybylowski believes that IAG has funds to support the Cote construction project, they continue to see risks related to the project's startup until its completion, expecting above-guidance cost, first production behind schedule or slower production ramp-up.
  • For 2023, the analyst decreased the revenue and EPS estimate to $868 million ($908 million) and $0.22 (from $0.33), respectively.
  • For 2024, the analyst raised the revenue and EPS estimate to $1.229 billion (from $1.145 billion) and $0.80 (from $0.70), respectively.
  • Price Action: IAG shares are trading higher by 3.33% at $2.94 on the last check Monday.
Market News and Data brought to you by Benzinga APIs
Price Target
Posted In: Analyst ColorEquitiesNewsPenny StocksUpgradesPrice TargetSmall CapMarketsAnalyst RatingsBriefsExpert Ideas
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!