RBC downgrades Equinox to Underperform on potential 'funding gap' - InvestingChannel

RBC downgrades Equinox to Underperform on potential ‘funding gap’

RBC Capital analyst Wayne Lam downgraded Equinox Gold to Underperform from Sector Perform with a price target of C$5.50, down from C$8. Due to elevated costs across the portfolio amid “large-scale” construction at Greenstone, Equinox faces a potential “funding gap” of $125M at spot prices, which could result in further share price compression, Lam tells investors in a research note. The analyst views the Los Filos expansion as a potential drag of free cash flow during the Greenstone investment period.

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