RBC Downgrades Antofagasta Amid Strong Financials and Production Challenges
On October 6, 2026, Antofagasta (ISIN GB0000456144) saw its stock price rise by 2.52 percent to EUR 46.35 on the Lang & Schwarz exchange. This followed a downgrade from RBC, which lowered its price target for the stock from GBp 3,400.00 to GBp 3,300.00 while maintaining an underperform rating. The new target is 16.18 percent below Antofagasta's last traded price of GBp 3,937.00 on the London Stock Exchange (LSE).
RBC's decision reflects concerns about the company's production outlook, despite strong operating results. In the first half of 2026, Antofagasta reported a 27 percent increase in EBITDA to USD 2.84 billion, with an EBITDA margin of 63 percent. Operating cash flow also rose by 53 percent, and the company increased its interim dividend by 80 to 81 percent compared to the prior year.
However, management has warned of production challenges due to severe winter weather at the Los Pelambres mine, which disrupted operations in the first half of the year. For 2026, the company expects copper production to range between 625,000 to 655,000 tons. The Centinela second concentrator project remains on track for commissioning in 2027, with ramp-up planned for 2028.
Antofagasta's market capitalization stood at GBP 38.8 billion on October 6, 2026, with its LSE 52-week range at GBp 2,496.00 to GBp 4,475.00. The stock's performance highlights the contrast between its strong financial metrics and the cautious production outlook, which is influencing investor sentiment.