Freeport-McMoRan is likely to bounce back from a mudslide that forced a halt at its Grasberg mine in Papua, Indonesia last month, according to UBS.
Freeport -McMoRan is likely to rebound from an environmental disaster last month at its giant Grasberg mine in Indonesia that led the copper-and-gold producer to cut its production estimates, according to UBS.
The investment bank upgraded Freeport to buy from neutral in a report out Thursday, raising its 12-month price target on the stock to $48 from $42.50, implying more than 23% upside from Thursday's close. "We believe the market is pricing in an overly pessimistic outcome for Grasberg recover, therefore see the risk vs reward as attractive," UBS analyst Daniel Major wrote to clients. Freeport last month declared force majeure at its Grasberg mine in Papua, Indonesia, in the western half of New Guinea, following a mud rush at the site that killed two and left five missing. Phoenix-based Freeport later slashed its 2026 estimate for copper production at the mine by 35%. FCX 1M mountain Freeport-McMoRan over the past month. The lower production forecast dented Wall Street's confidence in Freeport's growth estimates, but the effect of the environmental incident on its mining business is likely to be short-lived, according to UBS. "We have consulted various mining experts & they see the risk of a structural impairment to Grasberg's production/value as low with water challenges relatively easier to resolve at Grasberg vs many underground mines," Major wrote. The UBS call is in line with the majority on the Street, where 12 of 22 analysts rate Freeport a buy or strong buy, according to LSEG data. Freeport shares rose about 2% on Friday, after tumbling 20.5% last week.
Stock Markets Freeport-Mcmoran Inc Freeport Indonesia Business News
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
K-Pop girl group Twice announces 2026 tour, two NY shows. Get ticketsThe hitmakers sw Belmont Park’s UBS Arena on Feb. 18 and 20.
Read more »
Body found in Freeport dumpster 40 years ago ID'ed as missing Queens teenThe victim has been confirmed as Susan Mann, a 15-year-old girl from Hollis, Queens, who went missing in 1980.
Read more »
Copper price highest in over a year on Grasberg disruption, Fed outlookThe rally has been bolstered by Freeport-McMoRan’s force majeure at the Grasberg mine in Indonesia.
Read more »
How To Buy Into A Billionaire's Portfolio At A DiscountInteresting game played by a British investment trust: buying shares of other investment trusts and holding companies at a discount to their liquidating values.
Read more »
Fab's Five Buy Low Fantasy Football Trade Candidates: Deal For Alvin KamaraFantasy football expert Michael Fabiano has six players you should try and trade for now in Week 5 before their value goes up.
Read more »
Johnson & Johnson is a buy as drug sales continue to improve, Wells Fargo saysThe bank upgraded the pharma giant to overweight from equal weight.
Read more »