- Hochschild Mining
- 13 October 2025 13:38:50
Source: Sharecast
Canaccord Genuity said headlines at Hochschild Mining in the past few quarters have centred around the operational issues and subsequent shutdown and restart of its Mara Rosa project.
However, the Canadian bank stated that, despite this being an operational focus for the company, it should be highlighted that its Inmaculada and San Jose assets still provide 75-80% of underlying earnings generation.
"With a near $4,000/oz gold price going into 2026, we now forecast HOC group EBITDA of US$959m in FY26E. Even without Mara Rosa, we still forecast HOC to be able to generate circa $350m of EBITDA per half," said Canaccord.
"That should be enough to pay for all its capex and dividend requirements in 2026 as well as all of its current net debt in the next 12 months, not including any cash flows from Mara Rosa."
Canaccord, which reiterated its 'buy' rating on the stock, stated that, in its view, the cash flow and deleveraging outlook at Hochschild remains strong.
Reporting by Iain Gilbert at Sharecast.com