Blackmont Still Likes Jaguar Despite Missing 4Q Estimates

Jaguar Mining Inc.'s (JAG) fourth quarter results may have fallen below Blackmont analyst Richard Gray's expectations, but the analyst still rates the gold miner one of his top picks for investors.

Jaguar's C$0.10 adjusted fourth quarter loss compared negatively to Mr. Gray's C$0.02 loss prediction, primarily due to lower ounces sold, and increased general and administration and exploration spending, the analyst told clients in a report.

But on the bright side, he added, the company used a portion of its C$110-million financing to eliminate its hedge book worth C$22.1-million, and also repaid the C$9.8-million Turmelina project debt. And going forward, the analyst said commissioning at the Pacienca mine, the company's "best asset," is slated to begin in early April.

Mr. Gray maintained his "buy" recommendation and left his C$18.25 price target unchanged.