Feb. 3 at 1:16 PM
$SGML Rating Change — BofA
BofA upgrades
$SGML → Neutral (from Underperform)
PT:
$14
Key points:
• Mining activities resumed, reducing risk of production delays
• Major operational overhang alleviated
• Liquidity risk still present during ~3-month ramp to sellable volumes
• Cash flow near-term relies on lower-margin tailings + potential capital
• Only 2 of 5 waste piles permitted + no mining contractor → execution risk
Shares have pulled back, and valuation now better reflects remaining risks.