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Investing.com - BMO Capital upgraded Metalla Royalty & Streaming Ltd. (NYSE:MTA) from Market Perform to Outperform on Wednesday, while raising its price target to Cdn$8.00 from Cdn$7.00.
The upgrade comes as BMO Capital sees a turning point for the royalty and streaming company in the second half of 2025, when new assets are expected to come online and cash flow is projected to improve.
BMO Capital noted that Metalla shares have declined over 50% since March 2021 and have underperformed royalty and streaming peers during this period.
The firm highlighted that Metalla shares are currently trading at a "meaningful discount to NAV" despite what it characterized as a slower portfolio start to 2025.
The upgrade was announced in conjunction with BMO Capital’s quarterly commodity update, with the firm suggesting the expected second-half improvements should "underpin a re-rating" of the stock.
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