Saracen Mineral Holdings Ltd (ASX: SAR) is back on A downward spiral after a brief honeymoon last week.
The mineral exploration and development company, with a stronghold in Western Australia and widespread recognition for its Carosue Dam Operations assets, certainly looks good on paper.
But its share price has been on a downward drag, recently amongst the leading S&P/ASX 200 (Index: ^AJXO) (ASX: XJO) fallers as the gold price began the week down more than 1%.
If Macquarie Group Ltd's (ASX: MQG) December 1 research is anything to go by the future is rosy for Saracen Minerals, with the ROE forecast in 2018 solid at 28.9%.
The company's quarterly report on January 17 looked good too – showcasing a debt-free, cash-positive, production-robust company backed up by BMO Capital Markets and RBC Capital Markets both suggesting a price target of $2.
But a run of falls totalling more than 12% in the last fortnight and the continuing downward trend won't do much for shareholder sentiment.