The Globe and Mail reports in its Friday, July 6, edition that Canaccord Genuity analyst Des Kilalea commenced coverage on Lucara Diamond with a "buy" rating. The Globe's David Leeder writes in the Eye On Equities column that Mr. Kilalea targets the shares at $2.45. Analysts on average target the shares at $3.05. Mr. Kilalea says in a note: "Lucara stands out in the diamond space as being one of the few 'juniors' to have brought a new mine into production on time and within budget, with ultimate profit margins exceeding expectations. While there were headwinds early on, with sales prices in first tenders below management expectations, improving ore quality and frequent recovery of large white stones started generating strong free cash flow which led to an ungeared balance sheet and a history of dividends. The current forecast dividend yield of 5 per cent is unmatched in the diamond sector and we see it as supportive of the share price, though it is not out of line with yields more generally among some of the miners. The other financial metrics also show Lucara to offer value in terms of returns on equity and price."