TECK RESOURCES LTD. (TCK $36.67, rating Neutral; Price Target cut to $66 from $94) HIGHLIGHTS OF VISITS TO ANTAMINA AND ANDACOLLO COPPER MINES; SIMULATIONS WITH DILUTED BITUMEN CUT TO $60 FROM $80 4/16/2012
LOW EXPECTATIONS OF WORLD GROWTH DEPRESS METALS PRICES AND STOCK PRICES 4/12/2012
ALCOA (AA $10.76, rating raised to NEUTRAL from Underweight; PRICE TARGET remains at $13/share) NEAR TERM EARNINGS ESTIMATES RAISED SLIGHTLY REFLECTING HIGHER FLAT-ROLLED MARGINS, NO INGOT LOSSES AND EFFECTIVE ALUMINUM/ALUMINA COST CURTAILMENTS 4/11/2012
MERCATOR MINERALS (MLKKF US $1.28, Rating remains NEUTRAL; price target lowered to $2.50 from $4.00) REVISED EL PILAR and MINERAL PARK OPERATING ESTIMATES, HIGHER ESTIMATED INTEREST COSTS, and ESTIMATED HEDGE LOSSES LEAD TO LOWER EARNINGS; CURRENT FINANCIAL POSITION IS STRAINED …
GOLDCORP (GG $46.12, rated Underweight with $32 price target) VARIOUS OFFSETTING MODEL CHANGES; MINE PRODUCTION PROFILES EXCLUDE PENASQUITO U/G, RED LAKE OPEN PIT, AND CUT GOLD PRODUCTION FROM PENASQUITO; PARTLY OFFSET BY OVER $765 MM IN GG “NET CASH” AND …
HUDBAY MINERALS (HBM US $11.26; Rating remains at Neutral; Price Target RAISED from $11/share to $12/share) ESTIMATED INITIAL CAPITAL EX RAISED TO $1.5 BILLION AT CONSTANCIA; INITIAL RESOURCES PUBLISHED FOR PAMPACANCHA WITH Cu-EQUIVALENT GRADES of 0.74% 4/3/2012
DISCUSSION OF WHETHER APPROPRIATE DISCOUNT RATES IN OUR NPV OR DCF MODELS SHOULD BE 5%, 8% OR 12% FOR TYPICAL RESOURCE STOCKS 5/31/2012
RIO TINTO (RIO $43.22, rating raised to Neutral from Underweight, price target cut to $45 from $50) RATING RAISED TO NEUTRAL AS SHARE PRICE FALLS TO OUR TARGET 5/31/2012
BARRICK (ABX $38.73 rated Overweight with $54 price target) RATING INCREASED TO OVERWEIGHT FROM NEUTRAL AS STOCK PRICE HAS FALLEN. POTENTIAL TURQUIOSE RIDGE “SUPERPIT” INCLUDED IN MODEL. REVISIONS TO AU, CU, AND AG PRICE ESTIMATES 5/29/2012
GLENCORE INTERNATIONAL PLC (GLCNF, $5.31; RATED OVERWEIGHT; PRICE TARGET RAISED To USD 7$/share from USD $5/share ) INCLUSION OF VITERRA INTO MODELS; XSTRATA MERGER UPDATE; and NEAR TERM METALS PRICING SCENARIO ADJUSTED 5/29/2012