Alamos Gold downgraded to "market perform"

03/12/08 - Raymond James

NEW YORK, March 12 (newratings.com) - Analyst Paul O'Brien of Raymond James downgrades Alamos Gold Inc (A4L) from "outperform" to "market perform," while reducing his estimates for the company. The target price is set to C$7.50.

In a research note published this morning, the analyst mentions that the company has reported its 4Q07 EPS short of the estimates. Alamos Gold’s recoveries in the quarter were lower than expected and are likely to be 50% in 2008, as compared to 60%-70% indicated by the independent tests, the analyst says. The EPS estimate for 2008 has been reduced from $0.49 to $0.47.