BMO Capital Keeps a Buy Rating on NewCastle Gold

By Carrie Williams

NewCastle Gold (TSX: NCA), the Materials sector company, was revisited by a Wall Street analyst yesterday. Analyst Andrew Kaip from BMO Capital reiterated a Buy rating, with a C$1.25 price target.

According to, Kaip is a 1-star analyst with an average return of -1.2% and a 34.4% success rate. Kaip covers the Basic Materials sector, focusing on stocks such as Newmont Mining Corporation, First Majestic Silver, and Endeavour Silver Corp.

Currently, the analyst consensus on NewCastle Gold is Strong Buy and the average price target is C$1.58, representing a 90.4% upside.

In a report released yesterday, TD Securities also reiterated a Buy rating on the stock with a C$2 price target.

Based on NewCastle Gold’s latest earnings report for the quarter ending March 31, the company posted quarterly revenue of C$0 and GAAP net loss of C$10.34 million. In comparison, last year the company earned revenue of C$0 and had a GAAP net loss of C$783.5K.

NewCastle Gold Ltd. is a mineral exploration company, which engages in exploration and development of gold mines. Its projects include Castle Mountain, located in San Benardino, California; and La Verde, located in West Central Mexico. The company was founded on December 16, 2009 and is headquartered in Ontario, Canada.

The company’s shares closed last Tuesday at $0.83.