FoggyIsle.XYZ | Market's view on Hochschild

Aclara Resources Inc. announced the completion of a strategic investment transaction with CAP S.A., involving the acquisition of a 20% equity stake in Aclara’s Chilean subsidiary REE Uno SpA by CAP. The transaction includes an initial payment of US$9.7 million, with further payments scheduled for 2025 and 2026.
Hochschild Mining has been praised for improved public relations under new management, with a recent corporate video highlighting the Mara Rosa project’s progress toward commercial operation.
Eduardo Landin, as CEO, and Rodrigo Nunes, as COO, are credited with improving operations and profitability at Hochschild Mining, focusing on projects in Brazil and Peru. The management changes are seen as beneficial, particularly for project operations in Brazil due to state-level permitting.
Hochschild Mining’s share price is noted to be on the rise, with expectations of increased profitability as operations in Brazil, like the Mara Rosa project, ramp up.
RBC has upgraded Hochschild Mining’s price target from 150 pence to 175 pence, maintaining an ‘outperform’ rating.
Current operational and financial performance of Hochschild Mining is on track, with the Mara Rosa mine expected to commence commercial production soon. The company’s Q1 2024 production and financial results reflect a strong start to the year, with robust cash flow expected due to full production in Brazil and rising metal prices.
The company has secured an option to acquire the Monte do Carmo project in Brazil, indicating expansion plans.
Despite the positive operational updates, there are concerns about the lack of dividend payments, with speculation about potential dividends in the second half of the year.
The strategic sale of the Crespo project has been completed, providing cash and a future revenue stream through royalties.
Stock watchers anticipate further institutional investment following a target price upgrade by JPMorgan to 235 pence, citing the potential for increased investment attractiveness.