Southern Copper: AI-Driven Surge in Copper Demand
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 21h ago
0mins
Source: Fool
- Copper Market Dynamics: Southern Copper estimates that by Q3 2025, global copper inventories will only cover eight days of demand, indicating a potential supply deficit that could drive prices up and enhance sales capabilities.
- Production and Sales Growth: Although the company produced 235 million tons of copper in Q3 2025, down from Q3 2024, rising copper prices still allowed for sales growth, reflecting strong market demand for copper.
- Long-Term Development Plans: Southern Copper plans to open new copper mines in 2027 and 2028, with four additional projects lined up thereafter, demonstrating the company's long-term growth potential in the copper market.
- Investor Interest: The stock price of Southern Copper has surged by 95% over the past year, attracting investor attention, although the inherent volatility of commodity prices necessitates caution from conservative investors.
Analyst Views on SCCO
Wall Street analysts forecast SCCO stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for SCCO is 127.95 USD with a low forecast of 90.00 USD and a high forecast of 152.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
0 Buy
5 Hold
5 Sell
Moderate Sell
Current: 188.410
Low
90.00
Averages
127.95
High
152.00
Current: 188.410
Low
90.00
Averages
127.95
High
152.00
About SCCO
Southern Copper Corporation is an integrated copper producer. The Company is engaged in the production of copper, molybdenum, silver, and zinc. The Company’s mining, smelting and refining facilities are located in Peru and Mexico and conducts exploration activities in those countries and in Argentina, Chile and Ecuador. Its segments include the Peruvian operations, Mexican open-pit operations and Mexican underground mining operations. Its Peruvian operations include the Toquepala and Cuajone mine complexes and smelting and refining plants, including a precious metals plant, industrial railroad and port facilities. Its Mexican open-pit operations include the La Caridad and Buenavista mine complexes and the smelting and refining plants, including a precious metals plant and a copper rod plant and support facilities that service both mines. Its Mexican underground mining operations include five underground mines that produce zinc, copper, lead, silver and gold, and a zinc refinery.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
