Update shared on16 Aug 2025
Fair value Increased 6.26%Hudbay Minerals’ analyst target price has been revised upward from CA$16.81 to CA$17.87, primarily due to improved copper price outlooks, stronger operational performance, progress on debt reduction and resource expansion, and continued cost discipline.
Analyst Commentary
- Bullish analysts cite improved copper price outlooks as a key factor driving higher price targets.
- Recent operational performance and production growth at Hudbay's Manitoba and Peru assets have increased confidence in forward earnings.
- Incremental progress on debt reduction and cash flow strengthening has led to higher valuation multiples.
- Expanded resource estimates and positive project updates at key development assets have contributed to upward target revisions.
- Continued commitment to capital discipline and favorable cost control measures are viewed as supporting further upside.
What's in the News
- Hudbay Minerals reaffirmed its 2025 consolidated production guidance: 117,000–149,000 tonnes of copper and 247,500–308,000 ounces of gold.
- Q2 2025 production results: 29,956 tonnes copper (+5% YoY), 56,271 ounces gold (–4% YoY), 814,989 ounces silver (+10% YoY), 5,130 tonnes zinc (–37% YoY), and 375 tonnes molybdenum (+2% YoY).
- Operations in Snow Lake were temporarily suspended due to wildfires; facilities remained undamaged, key assets secured, and Hudbay expects to meet annual Manitoba guidance metrics despite the disruption.
- Snow Lake operations have resumed following evacuation orders being lifted; Hudbay increased community support funding and implemented a Community Relief Donations Fund to aid employees and local recovery.
- Board authorized a share repurchase program allowing buyback of up to 19,751,983 shares (5% of issued and outstanding); repurchases to be funded from cash and operating cash flow.
Valuation Changes
Summary of Valuation Changes for Hudbay Minerals
- The Consensus Analyst Price Target has risen from CA$16.81 to CA$17.87.
- The Consensus Revenue Growth forecasts for Hudbay Minerals has significantly fallen from 4.7% per annum to 2.6% per annum.
- The Future P/E for Hudbay Minerals has significantly risen from 16.54x to 23.71x.
Disclaimer
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