Antofagasta PLC (LSE:ANTO) has bagged a double upgrade from JPMorgan analysts on expectations the miner could be a standout among peers on improving prospects for copper ahead.
JPMorgan moved to an ‘overweight’ rating as it laid out expectations for fiscal stimulus measures from China’ at the National People’s Congress meeting next month.
These measures should buoy copper demand as inventories sit at a five-year low, analysts said, with Antofagasta offering higher output growth than peers at 30% against 2024 come 2028.
Copper prices were seen rising from around US$4.60 a pound to US$5.20 by the second quarter of 2026 as a result.
Extensions at its Los Pelambres and Zaldivar projects had helped reduce executive risks and drive a roughly 50% improvement in net present value estimates, JPMorgan added.
“Operational setbacks constrained copper output over 2023 [and] 2024, but we believe these have now been addressed and 2025 copper guidance of 660-700 kilotons appears achievable.
“With fewer operational and macro risks in our view over 2025, we see Antofagasta standing out given its leading copper volumes growth.”
JPMorgan also hiked Antofagasta’s share price target from 1,600p to 2,400p.
Shares were up 2.4% at 1,879.50p on Wednesday.