Kevin O’Halloran, an analyst from BMO Capital, maintained the Buy rating on MAG Silver (MAG – Research Report). The associated price target remains the same with C$27.00.
Kevin O’Halloran has given his Buy rating due to a combination of factors including MAG Silver’s solid financial performance and strategic initiatives. The company’s Q4 earnings per share were in line with expectations, and the introduction of a dividend policy is a positive development for investors, offering both a fixed quarterly dividend and a cash flow linked dividend.
Additionally, the Juanicipio mine, in which MAG Silver holds a significant stake, is expected to provide strong economic returns and free cash flow due to its high-grade silver production. As the mine continues to ramp up, there is potential for MAG’s stock to be re-rated, further enhancing its appeal to investors. The company’s exploration efforts and expansion plans also contribute to a positive outlook, supporting the Buy recommendation.
In another report released today, H.C. Wainwright also reiterated a Buy rating on the stock with a $22.00 price target.