Cadiz initiated with a Buy at Roth Capital

Roth Capital initiated coverage of Cadiz (CDZI) with a Buy rating and $10 price target The company’s Mojave Ground Water Bank and Supply system is “ideally positioned” to help Southern California mitigate increasing water supply risk, the analyst tells investors in a research note. The firm says that with the majority of permitting completed, the project offers multiple cash flow generation levers. Further, Cadiz’s public private partnership structure should provide an asset light structure for the company to reduce infrastructure investment costs, adds Roth.