Alliance Global raised the firm's price target on TRX Gold to $2.50 from $1.75 and keeps a Buy rating on the shares. The firm notes the company announced Q2 production results alongside a corporate update, which featured recent strengthening of the balance sheet. Alliance Global further points out that while record quarterly gold production was achieved at the Buckreef Mine, TRX's working capital position significantly improved with $25M in cash on the balance sheet as all outstanding warrants were exercised or expired during the quarter. The firm believes TRX is in the unique position of being a growing gold producer with exploration upside amid a robust gold price environment.
