Red 5 is owner and operator of one of the mines with the most iconic names in Australia; King of the Hills, sometimes referred to as KOTH. The operation should deliver first gold in the June quarter.

Morgans finds the Q2 performance overall in-line. Company suggests it is doing well with finding workers despite the tight labour market in WA.

Red 5 is and remains the broker's key pick for investors looking to add a gold developer on the ASX. Add rating retained, with a price target of 34c (upo 1c).

Sector: Materials.

Target price is $0.34.Current Price is $0.26. Difference: $0.08 - (brackets indicate current price is over target). If RED meets the Morgans target it will return approximately 24% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2022 Acquisdata Pty Ltd., source FN Arena