Roth Capital has commenced its coverage of Cadiz Inc. (CDZI, Financial), assigning the company a Buy rating and setting a price target of $10. The firm's analysts highlight the strategic importance of Cadiz's Mojave Ground Water Bank and Supply system, which is poised to address increasing water supply challenges in Southern California.
According to Roth Capital, Cadiz is well-positioned with the majority of necessary permits already secured, paving the way for multiple avenues of cash flow generation. The company's approach includes a public-private partnership model, which is expected to facilitate an asset-light strategy, thereby reducing the costs associated with infrastructure investments.
The research note underscores the potential of Cadiz's projects to significantly contribute to water supply solutions, emphasizing the favorable positioning of the company in the current market landscape.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 1 analysts, the average target price for Cadiz Inc (CDZI, Financial) is $15.00 with a high estimate of $15.00 and a low estimate of $15.00. The average target implies an upside of 503.62% from the current price of $2.49. More detailed estimate data can be found on the Cadiz Inc (CDZI) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, Cadiz Inc's (CDZI, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Cadiz Inc (CDZI, Financial) in one year is $24.95, suggesting a upside of 904.02% from the current price of $2.485. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Cadiz Inc (CDZI) Summary page.
