Hecla Mining's Fire At Lucky Friday Mine Causes More Damage Than Expected: Analyst
Portfolio Pulse from Nabaparna Bhattacharya
Roth MKM analyst Joe Reagor has reiterated a Neutral rating on Hecla Mining Company (HL), lowering the price target from $4.50 to $4.00 due to the greater than expected damage caused by a fire at the Lucky Friday Mine. The mine will not resume production this year, and all production from August to the end of 2023 has been removed from the model. The company has $50 million in property insurance to cover the damage and business interruption. FY23 revenue estimates have been cut to $711.5 million from $770.2 million.
September 19, 2023 | 6:32 pm
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NEGATIVE IMPACT
Hecla Mining's stock price may be negatively impacted due to the lowered price target and halted production at the Lucky Friday Mine.
The lowered price target and halted production due to fire damage at the Lucky Friday Mine are significant factors that could negatively impact Hecla Mining's stock price in the short term.
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IMPORTANCE 80
RELEVANCE 100