Scotiabank Forecasts Strong Price Appreciation for Centerra Gold (NYSE:CGAU) Stock

Key Points

• Scotiabank raised its price target on Centerra Gold from $19 to $21 and kept a "sector outperform" rating, implying roughly a 12% upside from the prior close.
• Street sentiment is a "Moderate Buy" (six Buys, three Holds) with an average price target of $16.67, meaning Scotiabank's target is notably higher than the consensus.
• Centerra recently beat expectations (Q EPS $0.41 vs. $0.34; revenue $401.6M vs. $355.4M), trades near $18.74 with a PE of 6.6 and a $3.74B market cap, signaling solid fundamentals and valuation.

Centerra Gold (NYSE:CGAU - Get Free Report) had its price target boosted by investment analysts at Scotiabank from $19.00 to $21.00 in a research note issued to investors on Wednesday,Benzinga reports. The firm currently has a "sector outperform" rating on the stock. Scotiabank's target price would indicate a potential upside of 12.04% from the stock's previous close.

Other analysts have also recently issued reports about the stock. Canadian Imperial Bank of Commerce reiterated an "outperform" rating on shares of Centerra Gold in a research note on Wednesday, February 4th. Weiss Ratings reaffirmed a "buy (b)" rating on shares of Centerra Gold in a report on Friday, March 27th. Wall Street Zen raised shares of Centerra Gold from a "buy" rating to a "strong-buy" rating in a report on Saturday, March 28th. BMO Capital Markets raised shares of Centerra Gold from a "hold" rating to an "outperform" rating in a research report on Tuesday, January 20th. Finally, Zacks Research cut shares of Centerra Gold from a "strong-buy" rating to a "hold" rating in a report on Tuesday, March 24th. Six research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $16.67.

Centerra Gold Stock Up 2.4%

NYSE:CGAU traded up $0.44 during mid-day trading on Wednesday, hitting $18.74. 475,173 shares of the company's stock were exchanged, compared to its average volume of 2,120,420. Centerra Gold has a one year low of $6.30 and a one year high of $21.17. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.39 and a quick ratio of 1.65. The business has a fifty day moving average price of $18.56 and a 200 day moving average price of $15.59. The company has a market cap of $3.74 billion, a PE ratio of 6.60, a P/E/G ratio of 1.25 and a beta of 0.90.

Centerra Gold (NYSE:CGAU - Get Free Report) last posted its earnings results on Thursday, February 19th. The company reported $0.41 EPS for the quarter, topping analysts' consensus estimates of $0.34 by $0.07. Centerra Gold had a net margin of 42.18% and a return on equity of 12.42%. The business had revenue of $401.60 million during the quarter, compared to the consensus estimate of $355.39 million. Equities analysts predict that Centerra Gold will post 1.71 EPS for the current year.

Hedge Funds Weigh In On Centerra Gold

A number of institutional investors have recently made changes to their positions in CGAU. Janney Montgomery Scott LLC lifted its holdings in shares of Centerra Gold by 2.4% during the fourth quarter. Janney Montgomery Scott LLC now owns 24,860 shares of the company's stock valued at $357,000 after purchasing an additional 575 shares during the last quarter. Vanguard Personalized Indexing Management LLC lifted its stake in Centerra Gold by 2.1% in the 4th quarter. Vanguard Personalized Indexing Management LLC now owns 36,939 shares of the company's stock worth $531,000 after acquiring an additional 747 shares in the last quarter. Burkett Financial Services LLC raised its stake in shares of Centerra Gold by 27.5% during the 4th quarter. Burkett Financial Services LLC now owns 3,569 shares of the company's stock worth $51,000 after purchasing an additional 769 shares in the last quarter. CWM LLC raised its stake in shares of Centerra Gold by 5.3% during the 4th quarter. CWM LLC now owns 16,300 shares of the company's stock worth $234,000 after purchasing an additional 820 shares in the last quarter. Finally, Pictet Asset Management Holding SA raised its stake in shares of Centerra Gold by 3.5% during the 1st quarter. Pictet Asset Management Holding SA now owns 39,102 shares of the company's stock worth $693,000 after purchasing an additional 1,340 shares in the last quarter. 55.40% of the stock is owned by institutional investors and hedge funds.

About Centerra Gold

Centerra Gold Inc is a gold mining company incorporated in Canada and headquartered in Toronto. The company specializes in the exploration, development and operation of precious metals properties, with a focus on gold production. Centerra's portfolio includes the Mount Milligan mine in British Columbia, Canada, and the Otjikoto mine in Namibia. Both operations produce gold and copper concentrates and employ modern mining methods and processing facilities to optimize recovery rates and minimize environmental impact.

In addition to its producing assets, Centerra is advancing the development of its Greenstone Gold Project in Ontario, Canada, which, upon completion, is expected to become one of Canada's largest gold mines.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.