Aurelia Metals sustained a soft performance in the March quarter, with gold production well below Macquarie’s estimates. This was because of an underperforming high-grade Chronos ore body.
Nevertheless, Macquarie expects a solid finish to FY19, with concentrate shipments returning to normal at Hera. Chronos is also expected to improve.
Outperform rating and $1 target maintained.
Sector: Materials.
Target price is $1.00.Current Price is $0.68. Difference: $0.32 – (brackets indicate current price is over target). If AMI meets the Macquarie target it will return approximately 32% (excluding dividends, fees and charges – negative figures indicate an expected loss)
