Allied Gold initiated with an Outperformer at CIBC

CIBC initiated coverage of Allied Gold with an Outperformer rating and C$8 price target. The mid-tier producer is trading at a steep discount compared to peers, which the firm believes relates to execution risk and geographic risk. However, the firm expects the experience of the management team to mitigate the risks associated with the development of Allied’s Kurmuk project and the Sadiola expansion, the analyst tells investors.