Globe says new coverage rates Galway Metals “buy”

2020-07-07 08:22 ET – In the News

The Globe and Mail reports in its Tuesday, July 7, edition that Laurentian Bank Securities analyst Jacques Wortman rates Galway Metals “buy” in new coverage. The Globe’s David Leeder writes in the Eye On Equities column that Mr. Wortman set a $1.20 share target. Analysts on average target the shares at $1. Mr. Wortman says Galway is key player in the East Coast gold renaissance. He says in a note: “We believe that Clarence Stream is an emerging gold camp, with significant upside potential. Although there is a very good likelihood that the resource estimates for the North and South zones will increase in Q1/21, we conservatively assume no change from the Sept/17 resource estimate in our NAV [net asset value]. For the George Murphy, Richard and Jubilee zones, we conceptually estimate 647,000 ounces of gold inventory may be added in the new resource based on drilling to date and the success in filling in the gaps between these zones. That said, we view our 1.31 mm ounce total resource inventory as a snapshot, with excellent potential for future growth. … In our view, GWM has benefited from both increased interest in junior gold developers and market recognition of a new frontier in East Coast gold assets.”

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