Jefferies lowered the firm's price target on OR Royalties to $34 from $40 and keeps a Hold rating on the shares. Since Q1, gold has declined from about $4,700/oz to roughly $4,200/oz, setting up Q2 as a period of likely margin contraction driven by lower gold prices and elevated diesel costs, shifting focus from transitory cost inflation to commodity price pressure amid expectations of higher rates, the analyst tells investors in a research note.
