Dundee Precious Mtl, the Basic Materials sector company, was revisited by a Wall Street analyst yesterday. Analyst Raj Ray from BMO Capital maintained a Buy rating on the stock and has a C$50.00 price target.
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Raj Ray has given his Buy rating due to a combination of factors related to Dundee Precious Metals’ operational performance and financial strength. The company’s 2025 gold and copper production met guidance, with copper output even exceeding prior estimates, underscoring reliable execution at its key assets Chelopech and Ada Tepe. While gold sales were slightly below expectations, this appears to stem from shipment timing rather than underlying demand or production issues. In addition, the Vareš mine is progressing as planned, with minimal current output but a clear path to higher production as it ramps up toward its targeted capacity by late 2026.
Ray also highlights Dundee’s strong balance sheet, featuring significant cash and no debt, which positions the company well to fund its growth pipeline while still generating attractive free cash flow yields in 2026–2027 at current gold prices. This robust cash generation potential supports both internal project development and capital returns to shareholders. Furthermore, the newly outlined copper-gold exploration portfolio and upcoming catalysts—such as resource and reserve additions at Čoka Rakita, Vareš mine updates, and further exploration results at Chelopech—provide meaningful upside optionality. Taken together, these factors support his view that Dundee Precious Metals offers an appealing risk‑reward profile at current levels, justifying a Buy recommendation.
In another report released on January 5, TipRanks – xAI also reiterated a Buy rating on the stock with a C$49.00 price target.