Ascendant Resources Inc (ASND), the Materials sector company was revisited today, and remains undervalued for at least one analyst on the street. The company received a Buy rating from H.C. Wainwright’s analyst Heiko Ihle, with a C$2.30 price target.
Ihle noted:
“We note that the FY18 results were below our estimated revenue of C$89.6 million and net income of 7.5 million or C$0.09 per share. This was partly due to our lower than actual expectation of direct operating costs of C$75 per tonne milled amid higher anticipated silver prices in our model than what the company actually realized. We highlight the company’s continued focus on operational improvements as management increased milled tonnage by 15% YoY, during which time direct operating costs only increased by 3%. This led to a 10% YoY decrease in total direct operating costs to C$78.98 per tonne milled. While we expect the company to experience a slight increase in costs in 1H19, we believe that the firm can likely build upon these successful operating results in order to drive further strong performance and longer- term profitability.”
According to TipRanks.com, Ihle is a 1-star analyst with an average return of -0.1% and a 46.5% success rate. Ihle covers the Basic Materials sector, focusing on stocks such as Solitario Exploration & Royalty, Golden Star Resources Ltd, and Northern Dynasty Minerals.
The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Ascendant Resources Inc with a C$2.30 average price target.
The company has a one-year high of C$1.16 and a one-year low of C$0.35. Currently, Ascendant Resources Inc has an average volume of 32.03K.
Ascendant Resources, Inc. engages in the exploration of mineral properties. It focuses on producing zinc-lead-silver El Mochito mine property in Honduras. The company was founded by Mark Peter Brennan, Cliff Hale-Sanders, Thomas J. Loch, and Stephen M. Shefsky on May 1, 2006 and is headquartered in Toronto, Canada.
The company’s shares closed on Thursday at C$0.54.
