The broker has cut its Panoramic target to 80c from 85c to reflect exploration expenses, but reiterates that PAN is the only pure-play nickel stock offering value at current nickel spot prices, and Savannah North could add materially to mine life.
The stock has fallen 30% in three weeks. Outperform retained.
Target price is $0.80.Current Price is $0.36. Difference: $0.45 – (brackets indicate current price is over target). If PAN meets the Macquarie target it will return approximately 56% (excluding dividends, fees and charges – negative figures indicate an expected loss).