The investment case remains for Petra Diamonds (LON:PDL), says broker Numis, which maintains its 'buy' stance on the shares.
Last week, in a trading update, the FTSE 250 miner reduced its production guidance for 2013 by 250,000 carats to 2.85 million carats because of a revision of the mining scope at the Finsch site and slightly lower production levels at the Williamson asset.
But it also told investors it remained on track to deliver five million carats per year by 2019.
Analyst Cailley Barker said he had revised his numbers following the update but that the net result was relatively "neutral".
Numis guidance for full year 2013 has risen, while for full year 2014 and 2015 it has gone down, he said in a note to clients.
With the firm's sensible steer to preserve cash amid soft diamond prices, Barker said he believed the investment case for the company remained.
"The main risks highlighted are short-term diamond prices and a potential stress on the balance sheet next year. Petra's growth pipeline remains largely intact and remains good value at these levels," he said.
"We maintain our 'buy' recommendation and 160 pence target price."