Movers and SHAKERS
Sierra Metals (SMTS)(SMT:CA)
Growth Outlook Supported by Planned Expansions and Rising Metals Prices
As of April 24, 2020, Noble Capital Markets research on Sierra Metals is published under ticker symbols (SMTS and SMT:CA). The price target is in USD and based on ticker symbol SMTS. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target. Sierra Metals Inc is a precious and base metals producer in Latin America. The company acquires, explores, extracts, and produces mineral concentrates consisting of silver, copper, lead, zinc and gold in Mexico and Peru. Its activity includes the operation of the Yauricocha Mine in Peru, and the Bolivar and Cusi mines in Mexico. Yauricocha is an underground polymetallic mine using the sublevel block caving and cut-and-fill mining methods. Bolivar is a copper-silver-zinc-gold underground mine using room-and-pillar mining method. The majority of the revenue is earned by selling of the mineral concentrates to its customers in Peru.
Mark Reichman, Senior Research Analyst of Natural Resources, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
First quarter 2021 financial results. Sierra Metals reported first quarter 2021 adjusted net income attributable to shareholders of $4.4 million, or $0.03 per share, compared with $1.2 million, or $0.01 per share, during the prior year period. Adjusted EBITDA increased 57.1% to $25.3 million compared with $16.1 million in the prior year period. Our EPS and EBITDA estimates were $0.05 and $28.4 million. First quarter production results were impacted by some transitory operational issues that resulted in production from lower grades of ore mined at the Yauricocha and Bolivar mines.
Updating estimates. We have trimmed our 2021 EPS and EBITDA estimates to $0.32 and $163.3 million from $0.36 and $166.1 million, respectively. Our estimates reflect modestly lower metal production, increased costs, and a higher tax rate. These impacts are partially offset by higher metals price assumptions. We forecast 2021 production of 4.4 million ounces of silver, 11.4 thousand ounces of gold ...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.