Kinross Gold Cuts Production Guidance Amid Higher AISC
Kinross Gold Corporation (KGC) has been rated a Hold by some analysts due to its recent production cuts and higher All-in Sustaining Costs (AISC). Despite the significant pullback in gold prices and share price, Kinross' production guidance for 2026-2027 has been reduced by 7-8% to approximately 1.84-1.86 million ounces per year.
The company's AISC has also been revised up by 9% to $1,850-$1,900 per ounce, which is expected to compress margins. However, Kinross remains committed to its capital discipline, with a target of returning 50% of free cash flow to shareholders and a net cash position of around $1.9 billion.
The company's Q3 commentary and 2027 guidance will be crucial in determining future conviction for investors. Additionally, progress on La Coipa extraction plans and Round Mountain Phase X are also being closely monitored.