In a report released today, Heiko Ihle from H.C. Wainwright reiterated a Buy rating on McEwen Mining (MUX – Research Report), with a price target of $15.00.
Heiko Ihle’s rating is based on a thorough analysis of McEwen Mining’s recent financial performance and future prospects in the context of market developments. The company showcased a 19% year-over-year increase in revenue in the first quarter of 2024, attributed to a 13% rise in consolidated gold equivalent ounces sold and an improved average selling price. Despite a net loss, the reduction in loss compared to the previous year indicates an improving financial trajectory. Moreover, although cash costs and all-in sustaining costs at the Fox Complex were higher than expected, the Gold Bar Mine presented decreased costs, and overall cost trends are expected to align with guidance as operations progress.
Additionally, Ihle’s optimism is bolstered by the upward revision of precious metal price forecasts, reflecting the strength in gold and silver markets amid macroeconomic factors such as inflation and investment trends towards safe-haven assets. The revised price estimates for gold and silver, which are conservative compared to current market prices, suggest a favorable environment for McEwen Mining. This is particularly relevant given the company’s exposure to these commodities, and the revised pricing deck is expected to be applied across related research reports. The combination of McEwen Mining’s operational improvements and the positive outlook on precious metal prices underpin Ihle’s Buy rating for the stock.
In another report released today, Alliance Global Partners also maintained a Buy rating on the stock with a $12.00 price target.
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
McEwen Mining (MUX) Company Description:
McEwen Mining, Inc. is a mining and minerals production and exploration company, which focuses on base metals in Argentina, Mexico and the United States. It operates through the following geographical segments: Mexico, MSC, Nevada, Los Azules, Canada and Other. The company was founded on July 24, 1979 and is headquartered in Toronto, Canada.
