Equinox Gold Price Target Lowered to US$14 at RBC
RBC Capital Markets lowered its price target on Equinox Gold (EQX.TO, EQX) to US$14 from US$17 on Monday.Analyst Josh Wolfson maintained an Outperform rating on shares of the Canadian mining company.On May 13, Equinox announced its acquisition of Orla Mining (OLA.TO) in a US$5.1 Billion cash and stock transaction."As compared to our positive first impressions of the transaction, our views are now more balanced - we see mixed valuation implications, while high growth is maintained at a now larger scale," Wolfson said in a note to clients."At spot, EQX-OLA pro forma valuation is fair versus a narrow new comparable group; however, the company's high torque to gold can materially change this conclusion," the analyst said."We reduce our target... as a result of lower estimates and modestly lower target multiples to reflect integration uncertainty," Wolfson said.