Scotiabank’s Orest Wowkodaw upgraded Freeport‑McMoRan from “Sector Perform” to “Sector Outperform,” lifting the 12-month price target from $43 to $48. The upgrade centers on a more bullish view of copper prices, particularly with U.S. trade policy potentially favoring domestic producers like Freeport. If tariffs on imported copper are enacted, FCX stands to benefit from widened margins and improved pricing power. The analyst also pointed to Freeport’s strong cost discipline and operational improvements as drivers of sustained outperformance.
🛠️ Tariff tailwinds could significantly boost U.S.-sourced copper profitability, putting Freeport in a prime position among global miners
📈 Scotiabank joins a wave of recent analyst upgrades, reflecting a broader industry shift in sentiment toward copper and industrial metals
📊 Freeport trades at a forward P/E in the low 30s with a PEG ratio under 1, suggesting the market has yet to fully price in its growth potential
💰 The dividend is steady and balanced—$0.075 base + $0.075 variable paid quarterly, totaling $0.60 annually and yielding about 1.4% at current prices
While Freeport isn’t a high-yield play, its dividend track record is consistent and supported by strong free cash flow. For investors seeking exposure to copper’s long-term supply/demand imbalance—with added upside from geopolitical catalysts—this upgrade marks a timely opportunity. Scotiabank’s target implies nearly 17% upside, with solid income to hold through the cycle.