1205 GMT - Impala Platinum looks set for a turnaround from the recent underperformance versus peers, Citi analysts write in a research note. Looking ahead, the South African platinum miner has limited downside potential, as the acquisition of mid-tier peer Royal Bafokeng Platinum is complete and assets turnaround in coming quarters should lead to a rerating of the share price, they say. Also, the weak PGM prices "are deep into the cost curve and thus should get some support," they say. Additionally, the balance sheet is likely to remain in net-cash position despite flat PGM price estimates medium-term, "but whether the excess cash flows to shareholders or used in acquisitions is yet to be seen," Citi says. Shares are up 1.3% at ZAR71.05. (christian.moess@wsj.com)
(END) Dow Jones Newswires
February 02, 2024 07:06 ET (12:06 GMT)
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