Canada's OceanaGold on track to achieve annual production target
Overview
Global gold and copper producer's Q3 revenue rises but fell short of analyst expectations
Company reported Q3 net profit and adjusted EPS up year over year
Company returned $79 mln to shareholders through buybacks and dividends
Outlook
Company says it's on track to achieve midpoint of full year production guidance, with the fourth quarter expected to be the strongest of the year
2026 gold production guidance at 520-590 koz; copper at 13-15 kt
OceanaGold sees 2026 consolidated AISC towards upper end of guidance range
Result Drivers
COST IMPROVEMENTS - Co said AISC fell 13% from prior qtr, driven by lower costs at several operations
MINE PLAN CHANGES - Co said focus on lower-grade ore at Haile in Q3 limited production, with access to higher-grade ore expected to boost output in Q4
EXPLORATION SPEND - Co increased exploration spending due to expanded drilling programs
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Miss | $655 mln | $714 mln (1 Analyst) |
Q3 Net Income | $198 mln | ||
Q3 Adjusted Free Cash Flow | $325 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the gold peer group is "buy"
Wall Street's median 12-month price target for OceanaGold Corp is C$57.00, about 72.2% above its November 3 closing price of C$33.10
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago
Reuters Recommended Reads
Nov 4 - Royal Gold Q3 revenue rises 84% on higher metal prices
Nov 2 - Canada's Ero Copper Q3 revenue slightly beats on higher metal prices
Nov 3 - Canada's Ivanhoe Mines Q3 profit rises, lowers 2027 Kamoa-Kakula copper guidance
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)