- Alamos Gold (AGI +0.6%) is upgraded to Buy from Hold with a C$9 price target, up from C$8.50, at Canaccord, reflecting recent weakness that has created the opportunity for a 39% upside.
- With the completion of the merger with AuRico Gold, the firm now views AGI as a “higher-quality intermediate gold producer, combining Alamos' strong balance sheet, AuRico's attractive asset base (underpinned by the Young-Davidson mine in Ontario) and Alamos' current growth pipeline.”
- The firm sees potential for long-term growth via a successful overhaul at the San Carlos underground operation and concession of the forestry and operating permits necessary for Turkish assets to operate.