Update shared on27 Aug 2025
Fair value Increased 2.30%Analysts have raised Antofagasta’s price target to £20.36, citing higher copper price forecasts, confidence in production growth and cost control, and sector tailwinds, though some caution remains due to commodity volatility.
Analyst Commentary
- Bullish analysts cite improving copper price forecasts driven by robust global demand and supply constraints as a key reason for upward price target revisions.
- Increased confidence in Antofagasta's production growth guidance and cost control measures supports higher price targets.
- Upgrades reflect positive medium-term outlook for metals and mining sector, with Antofagasta seen as well-positioned among peers.
- Some analysts highlight the company's strong balance sheet and potential for higher free cash flow yields.
- Bearish analysts remain cautious due to volatility in commodity prices and sustained macroeconomic uncertainties, leading to occasional target reductions.
What's in the News
- Antofagasta maintained its full-year copper production guidance, expecting output in the range of 660,000-700,000 tonnes.
- The Board declared an interim dividend of 16.6 cents per ordinary share for the first half of 2025, up from 7.9 cents per share in the previous half year.
- Q2 2025 operating results: copper production at 160.1 kt, gold at 48.3 koz, and molybdenum at 4.4 kt; year-to-date: copper 314.9 kt, gold 91.2 koz, molybdenum 7.4 kt.
Valuation Changes
Summary of Valuation Changes for Antofagasta
- The Consensus Analyst Price Target has risen slightly from £19.90 to £20.36.
- The Consensus Revenue Growth forecasts for Antofagasta has significantly fallen from 11.9% per annum to 7.9% per annum.
- The Future P/E for Antofagasta has significantly fallen from 25.70x to 20.39x.
Disclaimer
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