Berenberg Upsgrades Antofagasta to Buy on Copper Price Dip

Berenberg has upgraded its rating on Antofagasta Plc ( ) to Buy from Hold, citing a compelling valuation level.

The firm's decision follows a recent selloff in copper prices, which have approached $15,000 per ton due to supply disruptions, tight physical markets, and speculation about potential U.S. tariffs on copper imports.

However, Berenberg believes that such tariffs are unlikely to be implemented due to their inflationary impact on the U.S. economy.

The firm noted that copper prices have sold off to approximately $14,200 per ton and sees this as an attractive entry point for investors.

Antofagasta's PEG ratio of 0.56 suggests that the stock is trading at a relatively low valuation compared to its growth prospects.