Nickel Mines' recent steep price drop is an "acquisition opportunity" with its operating and development fundamentals unchanged, equity analysts at Bell Potter say.
Shares in the ASX-listed nickel miner faced a battering at the start of this month on investor speculation a toxic short position by its shareholder and Chinese nickel major Tsingshan Holding Group will flow through to its operations.
In their latest note to clients, UBS analysts lower CY22 and CY23 earnings forecasts by 15 per cent and 9 per cent, respectively, on higher costs, but continue to forecast aggressive earnings per share growth.
They retain Nickel Mines' buy recommendation with a target price increase of 7 per cen to $1.88, from $1.76 previously.
Shares in the business are trading 3 per cent higher at $1.33 at 12.44pm AEDT
