11:06 AM EDT, 05/05/2020 (MT Newswires) -- Credit Suisse on Tuesday reiterated its hold rating on the shares of IAMGold (IMG.TO, IAG) with a US$3.25 target price after the gold producer reported first-quarter results that were shy of estimates.

"On May 4, IAG reported Q1/20 adj. EPS of US$(0.01), a miss vs. US$0.04 consensus and US$0.05 CSe. Q1/20 CFPS (pre-WC) was US$0.16, a miss vs. US$0.19 consensus and US$0.20 CSe," the investment bank said in a note. "The EPS miss against our model was driven mainly by lower sales and higher opex (production costs) ... As previously telegraphed, 2020 guidance was revised due to COVID-19 - production was revised to ~713koz (midpoint) from 730koz previously, below ~722koz consensus and CSe. 2020 cash costs and AISC are now expected to be US$940/oz and US$1,220/oz vs. US$865/oz and US$1,125/oz previously (we were modelling US$887/oz and US$1,268/oz). 2020 total capex has been revised to US$345M from US$370M previously, in-line with US$343M consensus (CSe: US$369M). Importantly, IAG noted the impact from COVID-19 in future periods could be significant and affect guidance for future years.:

Price: 4.94, Change: -0.26, Percent Change: -5.00