Berenberg Keeps Hold Rating on Fresnillo Despite Upgraded Forecasts

Berenberg, a European investment bank, has upgraded its forecasts for London-listed miner Fresnillo following a stronger-than-expected second-quarter production update. The update showed Fresnillo's gold and base-metals output beating expectations, offsetting weaker silver volumes.

In response, Berenberg raised its full-year 2026 estimates for sales by 1.3% and earnings per share (EPS) by 2.2%. It also expects meaningful free cash flow in the first half and a net cash position of about $1.5 billion.

However, despite the improved forecasts, Berenberg maintained its 'Hold' rating and a price target of £33 for Fresnillo shares. The bank believes that the stock's upside still largely depends on higher silver prices.