What do you guys think of the Macquarie Equity Research note dated July 13, 2009, currently posted on Kagara's website?
Seems somewhat conservative, particular with reference to copper and nickel production and also the value of the gold assets. Also, no value accounted for any of the exploration upside, such as Admiral Bay, but this is typical of most analyst's assumptions. Implies that the only real risk with Kagara now is the fact that it previously came near to bankruptcy, implying that this might happen again despite the fact that the company is now net debt free and should be starting to make decent margins, particularly from copper production. Still, notes that Kagara is in their view now considered to be an investable mid cap miner and coverage re initiated.
KZL Price at posting:
69.0¢ Sentiment: Hold Disclosure: Held
