Q: Any reason why IVN dropped so much in the last few days. Would you buy it here?
Your insight is appreciated.
Peter
Your insight is appreciated.
Peter
5i Research Answer:
IVN is having a tough year, now down 37% YTD. Ivanhoe's Kamoa-Kakula complex faces notable production disruptions this year capable of cutting 2025 output by about 120,000 tons, given severe flooding in the Kakula mine triggered by a seismic event. The mine is expected to expand production sharply but there may be power restrictions over time. This week IVN noted it does expect the mine to re-start later this month but it has lost production already. The news first hit in May, and IVN suspended its guidance because of the flood. We would be cautious here and would prefer not to buy yet.