UPDATE 1-RESEARCH ALERT-UBS upgrades Barrick Gold, 4 others
Wed Feb 4, 2009 11:43am EST
reuters.com
Feb 4 (Reuters) - UBS upgraded five North American gold
producers, including the world's largest gold miner Barrick
Gold Corp, saying investor and speculative demand are boosting
gold prices, even as jewellery demand falls and U.S. dollar
strengthens.
The brokerage raised its 2009 gold price target to $1,000
per ounce from its prior view of $700 per ounce.
Gold has been one of the best-performing assets of late,
and demand for gold as a safe store of value has surged
recently as other assets have become increasingly volatile.
UBS upgraded Agnico Eagle Mines (AEM.TO) (AEM.N), Barrick
Gold (ABX.N) (ABX.TO), Eldorado Gold Corp (ELD.TO), Newmont
Mining (NEM.N) and Goldcorp Inc (GG.N) (G.TO) to "buy" from
"neutral."
The brokerage, which also raised its 2009 profit view and
price targets for the companies, maintained its "buy" rating on
Centerra Gold (CG.TO) and Franco-Nevada (FNV.TO).
Following are the price target and estimate changes made by
the brokerage on the gold producers:
Company Price target 2009 Estimates*
Current Prior Current Prior
Agnico-Eagle Mines $62 $44 $1.05 $0.29
Barrick Gold $46 $33.50 $2.81 $0.92
Centerra Gold C$7 C$4.50 C$1.75 C$0.79
Eldorado Gold C$11.25 C$8.75 C$0.38 C$0.18
Goldcorp $36 $28 $0.87 $0.15
Newmont Mining $48 $38 $2.82 $0.66
Franco-Nevada C$30.50 C$25 C$0.40 C$0.14
* Per share
(Reporting by R. Manikandan in Bangalore; Editing by Deepak
Kannan) |
