Analyst Heiko Ihle of H.C. Wainwright reiterated a Buy rating on Endeavour Silver (EXK – Research Report), retaining the price target of $7.25.
Heiko Ihle has given his Buy rating due to a combination of factors, primarily focusing on Endeavour Silver’s strategic acquisition of Compañia Minera Kolpa. This acquisition is expected to significantly enhance Endeavour’s growth profile by expanding its operations beyond Mexico and diversifying its asset base. The Huachocolpa Uno Mine, acquired through this deal, is anticipated to generate substantial revenue, which aligns with the company’s ambition to become a senior silver producer.
Furthermore, Ihle highlights the expertise of Endeavour’s management team in optimizing production and exploring resource expansion opportunities, which is expected to support the company’s long-term growth in Latin America. The valuation of Endeavour remains based on a discounted cash flow analysis of its core assets, with adjustments for liquid assets and debt, leading to a price target of $7.25. This comprehensive analysis underpins the Buy rating, reflecting confidence in Endeavour’s ability to enhance shareholder value through strategic growth initiatives.
In another report released on March 21, Raymond James also initiated coverage with a Buy rating on the stock with a C$7.50 price target.