Mexico- focused Endeavour Silver Corp (NYSE:EXK) got a mention in an analyst note, which repeated the stock as an ‘outperform’ and hiked the price target.
The miner had its share price target raised by analyst Chris Thompson from financial services group Raymond James, according to a report in the Globe and Mail.
The target moves to $5.50 from $4.75 a share. Analysts reportedly on average target the shares at $5.78. Shares closed on Wednesday in New York at $4.67 each.
Thompson is reported to say his thesis for gold and silver equities remains unchanged and he continues to recommend investors “maintain exposure with core positions in top quality names, taking advantage of short-term opportunities created by valuation dislocations, potential upcoming catalysts and possible impending market reratings”.
“While valuations are currently elevated since the pullback late last year, we recommend investors look for attractive entry points for our preferred names.”
Last month, the firm told investors that silver production was expected to be in the range of 5.2 million to 5.7 million ounces, while gold production was expected be in the 50,000-to-53,000-ounce range.
Silver-equivalent production is forecast to be 8.9 million to 9.7 million ounces using a 75:1 silver:gold ratio
“We expect 2017 to be a transformative year for Endeavour as our attention turns to growth,” Bradford Cooke, chief executive, said in a regulatory statement.
“The emergence of our exciting new Terronera discovery and the acquisition of two attractive projects last year, El Compas and Parral, have positioned us for significant growth over the next three years which we think could coincide with rising precious metal prices.
We believe now is the right time to invest for the future across our portfolio.
The group has three producing mines in Mexico: the Guanacevi mine in Durango state as well as the Bolanitos and El Cubo mines in Guanajuato state.
Story by ProactiveInvestors