Fresnillo: UBS plays scarcity of gold miners
(CercleFinance.com) - This morning UBS has upgraded its neutral rating on the Mexican miner Fresnillo stock to buy.
The broker has increased its 12-month target price from 900 pence to 1,100 pence (as the stock has also been listed in London for over 10 years), meaning upside potential of around 20%.
Remember that Fresnillo is the world's largest producer of silver and the largest gold producer in Mexico.
The risk of a tightening of Mexico's mining policy weighed on the group in the fourth quarter of 2018, although the stock has since recovered by around 15%.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The broker has increased its 12-month target price from 900 pence to 1,100 pence (as the stock has also been listed in London for over 10 years), meaning upside potential of around 20%.
Remember that Fresnillo is the world's largest producer of silver and the largest gold producer in Mexico.
The risk of a tightening of Mexico's mining policy weighed on the group in the fourth quarter of 2018, although the stock has since recovered by around 15%.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.