Source: Sharecast
Berenberg updated its model on Endeavour following the company's Q225 results a day earlier, in which Endeavour delivered "a broadly in-line quarter operationally", with the analysts' key takeaways being maintained production and unit cost guidance for 2025, and the declaration of a record $150m interim dividend, which was in addition to $69m in share buybacks for H1.
"Shareholders are now seeing capital returns in earnest, reaping the rewards of increasing FCF generation from Endeavour's, in our view, underappreciated portfolio of low-cost West African gold mines," said Berenberg, which reiterated its 'buy' rating on the stock.
"We update our model for the results, with moderately increased cost assumptions trimming our price targets to 3,200p/CAD $59. The shares are currently trading on 1.34x NAV and 3.1x/2.3x 2025/26E EBITDA; with 39% upside in our price targets."
Reporting by Iain Gilbert at Sharecast.com