Like any stock, copper stocks can sometimes be susceptible to media limelight and broker hype. One of the benefits of investing in copper is its long-term potential, but not all copper producers and investments care about the commodity’s long-term growth. Copper’s worth is closely tied to the overall performance of the market because of its extended usage across industries.

best copper stocks for 2022

Four such equities with a Zacks Rank #3 and a VGM Score of A have been identified. According to a study, stocks with this combination provide the best investment potential. Freeport McMoRan may have the strongest buy rating of the list of copper companies we researched. Just one of the reasons for Freeport is ranked so highly is that of the four major copper mines globally, Freeport has ownership in three of them. The reason for the renewed optimism is due to the conclusions of a technical report that forecasts a larger amount of reserves than previous estimates and a longer life for its flagship mine.

I own three copper stocks, but there are several good companies to consider. Tailwinds are largely coming out of China, where strict COVID-19 lockdowns have curtailed infrastructural copper demand. In the short term, some market watchers believe prices will fall further, but long-term factors, including copper’s role in the green revolution, look positive. Click here to read the previous best TSX copper stocks article. Since the start of 2022, copper has seen historically high prices. In Q1 and most of Q2, copper prices on the COMEX ranged between US$4.10 and US$4.89 ⁠— an all-time high.

Best Copper Stocks To Buy

Turquoise Hill Resources’s stock has gained 139.62% in the past year. It has overperformed other stocks in the copper industry by 134 percentage points. It has underperformed other stocks in the copper industry by -38 percentage points. Generally, I feel that many analysts are off on inflation being highly controllable, and we will probably see higher prices persist for longer than many market participants expect. The Fed already told us that inflation was transitory and not a significant problem. However, the facts tell a much different story, and inflation could be anything but transitory, even with the Fed raising rates.

This gives the company several potential revenue streams, and the company clearly believes that copper is one of them. In fact, the company cited the S&P Global study mentioned in the introduction to this article in offering a bullish outlook for copper demand in the next 10 to 15 years. Freeport Mcmoran has an average 1 year price target of $38.00, a downside of -0.24% from Freeport Mcmoran’s current stock price of $38.09.

The increasing global awareness regarding cleaner energy and electric cars will be a key catalyst for copper demand in the long term. The red metal is an essential component in EVs and is utilized in electric motors, batteries, inverters and wiring. The EV charging infrastructure is largely based on copper-based technologies.

In Australia, it operates the Ernest Henry, Mount Isa, and CSA mines. In addition to it, the company also has a significant footprint in the Democratic Republic of Congo , where it mines copper alongside cobalt at the Katanga and Mutanda mines. There is a vast array oftrading coursesavailable online which you can join, each with its own merits and every course suitable for different types of traders.

The company’s dividend is around 5.5%, and its technical image appears constructive here. In the near term, the company expects its production to decline as legacy reserves deplete. Over the longer term, Southern Copper sees significant production growth. By 2030, it anticipates increasing production 73% from its 2020 level. The company has approved several large-scale expansion projects that should drive long-term copper growth.

Copper Mountain Mining Corporation (OTC:CPPMF)

The stock has been consolidating since June, and appears to be forming the right side of its current base. According to MarketBeat analyst data, Wall Street has a “moderate buy” rating on the stock. The explorer agreed to work together with flash a local First Nations community as it advances its critical elements project in British Columbia, noted a Noble Capital Markets report. One last but important point—if copper is going to rally then it is highly likely that silver will too.

If reading this has you interested in researching copper stocks to buy now, here are two companies for your September 2022 watch list. Mineral exploration and development, mining and milling of copper, gold, molybdenum, and silver, and smelting and refining of copper concentrates are all activities of this Phoenix, Arizona-based corporation. The Zacks Consensus Estimate for Freeport-earnings McMoRan’s for fiscal 2022 shows a 23.7 percent increase year over year. Over the last couple of months, the estimates have been revised upward by 14%. The company’s long-term earnings growth rate is expected to be 29 percent.

best copper stocks for 2022

Rio Tinto has several copper-related growth projects in the pipeline, including Resolution Copper in the U.S. and Winu in Australia. Discovered in 2020, the Winu copper and gold resource has the potential to become a large-scale mining operation. Southern Copper is currently the fifth-largest copper producer in the world.

Therefore, if you want your portfolio’s net worth and your profitability to touch the sky as well, the above copper stocks are a must-buy for investment today. Southern Copper operates the mining, smelting, and refining facilities in Mexico, Peru, Argentina, Ecuador, and Chile. Its major mining operations include Peru’s Toquepala and Cuajone mines and Mexico’s Buena Vista Vantage FX Broker Review del Cobre and La Caridad mine. Investing inoil stocksoffers great rewards in terms of high returns. Freeport has strong strength and explosive growth through its financial performance. Despite a normal growth rate forecasted for the next year, the increased demand for copper coupled with the increased production of the company will lead it to new heights of development.

Copper is on track to become the new gold as the gap between supply and demand widens. According to a prediction by Bank of America, the price of copper could climb to $20,000 per metric ton within the next three years. However, the copper industry has been hit in recent weeks as the US prepares to lift interest rates, sending the price of the dollar surging and reducing the demand for the metal. In a double blow to the industry, China has announced that it will release the metal from national reserves in a bid to control commodity prices. What good copper stocks have you researched that are worth investing in?

If You Own SOFI Stock, Sell Before This Happens

Market participants looking to invest in copper have several options. Freeport-McMoRan Inc. is a global mining company with headquarters in the United States. The company operates mines and smelters in North and South America, Asia, and Africa. Freeport-McMoRan is one of the world’s largest producers of copper and gold, and it also has significant operations in oil and gas. For a sense of scale, Freeport-McMoRan reported a total of 1.1 billion pounds of copper as of the end of its most recent second quarter of this year. In addition to copper production, Freeport also engages in gold mining and is a major producer of the rare earth metal molybdenum which is a critical alloy for steel.

best copper stocks for 2022

On average, analysts expect copper stocks to fall by -3.61% over the next year. PolyMet Mining’s flagship project is its NorthMet copper-nickel project, which is also expected to produce cobalt and precious metals. NorthMet is located in Minnesota, US, in the Duluth Complex, and has proven and probable reserves of 290 million MT grading 0.288 percent copper and 0.083 percent nickel. The company is working to secure permits that will allow it to begin mining. In September, Filo Mining appointed Ian Gibbs as chief financial officer and Arndt Brettschneider as vice president of operations and projects, as well as Ron Hochstein to its board of directors.

Copper Stocks To Watch: BHP Billiton (NYSE:BHP)

In fact, in 2020, 32 percent of copper globally was used in equipment manufacturing and 28 percent in building construction. After seeing success earlier this year — including a leap to an all-time high of US$10,910 per metric ton — copper has faltered in the third quarter, although it remains above its year-to-date low. Lastly, the copper is refined at a refining plant or smelter using one of two methods, pyrometallurgy and hydrometallurgy. Pyrometallurgy is employed for copper ore that is sulfide rich, while hydrometallurgy is used when the ore is oxide rich.

With the world population continuously growing and the demand for copper-powered products perpetually rising, it is no surprise that copper is in such high demand. While the metal is currently trending down in terms LiteForex of its price, experts see that as a symptom of COVID-19 lockdowns in China, as well as other short-term headwinds. Economists are divided, but many believe it will be back up within the next couple of years.

The situation is a little different for Canadian firm Teck Resources. It’s staged a 16% rally so far in August, on the heels of the company’s July earnings report. Revenue grew 126% to nearly $5.8 billion, while bottom-line growth came in at 416%, to $3.25 per share. OZ Minerals Limited engages in the exploration, development, mining, and processing of mineral projects in Australia.