Analyst Actions: RBC D-S Upgrades Labrador Iron Ore Royalty, Raises Price Target

By Staff,

Shutterstock photo

RBC Dominion Securities analyst Robin B. Kozar upgraded Labrador Iron Ore Royalty Corp. (LIF-UN.TO) to "outperform" from "sector perform," expecting higher production volumes and lower costs to drive growth in free cash flow in 2013, the Globe & Mail reported.

"LIF's royalty stream provides investors with excellent leverage to iron ore while limiting exposure to rising input costs. In the near term, we expect rising sustainable sales volumes, lower unit costs and reduced capital requirements to provide a meaningful boost to LIF's distributions," Kozar said.

Labrador Iron Ore owns a 15.1% equity stake in Iron Ore Company of Canada and receives royalties and commissions from the producer.

Kozar raised his price target by $2 to $35.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2014 All rights reserved. Unauthorized reproduction is strictly prohibited.

This article appears in: Investing Commodities
Referenced Stocks:

More from MT Newswires


MT Newswires

MT Newswires

Follow on:

Find a Credit Card

Select a credit card product by:
Select an offer:
Data Provided by