Citi has renewed its enthusiasm for Glencore PLC (LSE:GLEN) describing it as a 'future-facing and cash today story'.
After suspending its rating on the miner and commodity trader, it has resumed cover with a 'buy' rating and 530p price target.
In a short note, the American bank said: "One of the aspects that has kept us long-term buyers of Glencore is the combination of very cash-generative but considered ‘yesteryear’ commodities, like coal, and ‘future-facing’ commodities, like copper, zinc and nickel, which have a patchy cash-generation track record."
On Wednesday, Glencore reiterated its desire to keep its coal business after seriously mulling its sale or spin-off.
In afternoon trading the stock was down 1.2p at 398.87p.