Goldman Sachs Upgrades Stillwater Mining (SWC) to Buy

Goldman Sachs upgraded Stillwater Mining (NYSE: SWC) from Neutral to Buy with a price target of $19.00 (from $16.00).

Analyst Andrew Quail said, "Our muted gold price deck of $1,200/oz for 2015 is unchanged. PGMs offer scope for higher returns, in our view, and remain our preferred commodity."

"We forecast robust global auto sales with a 3% CAGR FY15-18E, which combined with a sustainable deficit in supply drives our bullish view on palladium. We estimate SWC’s FCF yield will surge by more than 300% over the next three years, owing to higher PGM prices and declining operating costs," he added.

For an analyst ratings summary and ratings history on Stillwater Mining click here. For more ratings news on Stillwater Mining click here.

Shares of Stillwater Mining closed at $13.93 yesterday.

You May Also Be Interested In

• Citi Upgrades United Microelectronics Corp (2303:TT) (UMC) to Buy 'with limited downside'
• Boeing (BA) PT Lowered to $240 at Stifel
• Owens Corning (OC) PT Raised to $172 at Evercore ISI