Update shared on26 Sep 2025
Fair value Increased 1.31%Analysts have raised Lundin Gold's price target to CA$71.08, citing improved gold production, higher realized prices, and reserve upgrades, while some caution remains due to cost and regulatory risks.
Analyst Commentary
- Bullish analysts are increasing price targets due to improved gold production outlook and strong operational results at Lundin Gold’s flagship mine.
- Adjustments reflect higher realized gold prices and a supportive commodity price environment benefitting near-term cash flows.
- Recent target hikes incorporate upgrades to reserve estimates and life-of-mine extensions supporting higher medium-term valuation.
- Some analysts remain cautious with neutral or hold recommendations, pointing to balanced risk-reward after recent share price appreciation.
- One bearish adjustment notes ongoing cost inflation and regulatory uncertainties, leading to modest target reductions and a less constructive outlook.
What's in the News
- Lundin Gold added to the FTSE All-World Index.
- CEO Ron Hochstein to step down; Jamie Beck, former CEO of Filo Corp., appointed as successor effective November, following Beck’s strong track record in the sector and within the Lundin Group.
- Updated 2025 production guidance to 490,000–525,000 oz, reflecting strong H1 performance but anticipating lower average head grades in H2 due to mine sequencing.
- Near-mine exploration at Fruta del Norte confirmed and expanded copper-gold porphyry systems at Trancaloma and established a new system at Sandia, highlighting an emerging exploration corridor.
- Exploration and conversion drilling at Fruta del Norte and FDN East delivered positive results, confirming resource growth and additional mineralized zones, supporting long-term mine plan extension.
Valuation Changes
Summary of Valuation Changes for Lundin Gold
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from CA$70.17 to CA$71.08.
- The Consensus Revenue Growth forecasts for Lundin Gold has risen from -2.1% per annum to -2.0% per annum.
- The Net Profit Margin for Lundin Gold has risen from 61.55% to 65.55%.
Disclaimer
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