NEW YORK (TheStreet) -- Shares of Royal Gold (RGLD) - Get Royal Gold, Inc. Report are rising 4.72% to $78.33 on Wednesday morning after Raymond James boosted its rating on the stock to "outperform" from "market perform," the Fly reports.
The firm also increased its price target on shares to $85 from $72.
The upgrade comes after amended terms related to the company's streaming interest on Thompson Creek's Mount Milligan mine with new operator Centerra Gold.
Raymond James said higher certainty with Mount Milligan cash flow warrants increased investor confidence and valuation, according to the Fly.
Canaccord Genuity also raised its price target on Royal Gold stock, to $84 from $71, and maintained its "buy" rating.
"Royal Gold has revised its stream on Thompson Creek's Mt. Milligan asset as part of TCM's restructuring efforts...With TCM's proposed sale to Centerra Gold this significant overhang should be removed," the firm said.
Additionally, Royal Gold stock coverage was initiated with an "outperform" rating and $85 price target at Macquarie this morning. Shares were also upgraded to "buy" from "neutral" at Dundee, the Fly noted.
Denver-based Royal Gold is engaged in acquiring and managing precious metals royalties, metal streams and similar interests.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance.
But the team also finds weaknesses including deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: RGLD