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NEW YORK (TheStreet) -- Kinross Gold Corp. (KGC) - Get Kinross Gold Corporation Report  shares are jumping 7.14% to $1.87 on Tuesday after analysts at RBC Capital Markets upgraded the company to "sector perform" from "underperform" and increased their price target to $2.50 from $2.25.

The firm applauded the $610 million acquisition of BarrickGold's (ABX) 50% share of Round Mountain operation in Nevada and 100% of Bald Mountain, adding that these assets "improve the geopolitical risk profile, adds reserves/resources, and reduces operating costs."

Regarding the price target lift, analysts' upside scenario is based on continued strong execution with better-than-expected results at the key Paracatu, Ft. Knox and Maricunga mines, along with an improvement in the Russian geopolitical climate.

However, downsides include higher-than-expected capital spending and/or operating costs in 2016, the firm said.

Additionally, Kinross Gold stock is being helped by climbing gold prices.

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Gold for December delivery is rising 0.71% to $1074.40 per ounce on the COMEX on Tuesday. 

Based in Toronto, Kinross Gold engages in the acquisition, exploration, and development of gold bearing properties. It is involved in mining and processing gold and silver ores.

Separately, TheStreet Ratings team rates KINROSS GOLD CORP as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:

We rate KINROSS GOLD CORP (KGC) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity and weak operating cash flow.

Highlights from the analysis by TheStreet Ratings Team goes as follows:

  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Metals & Mining industry. The net income has significantly decreased by 933.3% when compared to the same quarter one year ago, falling from -$5.10 million to -$52.70 million.
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Metals & Mining industry and the overall market, KINROSS GOLD CORP's return on equity significantly trails that of both the industry average and the S&P 500.
  • Net operating cash flow has decreased to $232.10 million or 23.39% when compared to the same quarter last year. Despite a decrease in cash flow KINROSS GOLD CORP is still fairing well by exceeding its industry average cash flow growth rate of -54.42%.
  • This stock's share value has moved by only 31.76% over the past year. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
  • Despite the weak revenue results, KGC has significantly outperformed against the industry average of 45.4%. Since the same quarter one year prior, revenues fell by 14.4%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.
  • You can view the full analysis from the report here: KGC