EYE ON EQUITIES / STOCKS THAT SHOULD BE ON YOUR RADAR SCREEN
Intact Financial Corp. (IFC-TSX) Close: $60.03, down 22¢
Now is a good time to accumulate shares of Intact Financial Corp., given the pullback in its shares and the benefits of its acquisition of Jevco Insurance Co., the largest underwriter of non-standard auto and motorcycle insurance, said CIBC World Markets analyst Paul Holden. He upgraded Intact to "sector outperformer." Upside: Mr. Holden raised his price target by $4 to $71.
AuRico Gold Inc. (AUQ-TSX) Close: $5.63, up 14¢
AuRico Gold Inc. reduced production guidance for this year and 2013, and increased its forecasts for cash costs, as it revised mine plans at its Ocampo project in Mexico to put greater emphasis on its underground development work for the next six to nine months.
Downside: CIBC World Markets analyst Barry Cooper cut his price target by $3 to $7.
Agnico-Eagle Mines Ltd. (AEM-TSX) Close: $47.45, up 10¢
While the change of government in Quebec could result in higher royalties and taxes, Agnico-Eagle Mines Ltd. will still benefit from low political risk, given its operating mines are located in Canada, Mexico and Finland, said UBS. Meanwhile, the company's shares should benefit from this week's decision to develop the $158-million La India open pit project in Mexico.
Upside: UBS raised its price target to $50 (U.S.) from $46.50.
Harry Winston Diamond (HW-TSX) Close: $12.63, up 52¢
Harry Winston Diamond Corp. reported earnings that were less than half of what analysts were expecting, with the shortfall driven primarily by disappointing diamond sales at the company's mining division. While diamond production guidance for the year remains intact, Desjardins Securities analyst John Hughes believes the company is likely to come up short.
Downside: Mr. Hughes cut his price target to $14.25 a share from $14.70.
WesternOne Equity (WEQ.UN-TSX) Close: $8.52, up 22¢
WesternOne Equity Income Fund offers investors an attractive income stream as well as an opportunity for capital appreciation, concludes Raymond James analyst Frederic Bastien. He says the fund "offers leverage to Western Canada's infrastructure and construction markets and direct exposure to increasing demand for work force accommodations."
Upside: Mr. Bastien initiated coverage with a $10 price target.
