Southern Copper stock: UBS turns Neutral after sharp selloff
Published on 11/13/2026 at 14:06 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSUBS Rebalances Southern Copper View
- UBS moved its rating from Sell to Neutral while retaining a 180 US dollar price target.
- The bank expects tight copper supply to support elevated prices over the next three years.
- Peru project timing, Tia Maria delays and valuation remain central risks for investors.
UBS shifted its view on Southern Copper from Sell to Neutral on Tuesday, November 10, while leaving its 180 US dollar price target unchanged. GuruFocus reported that the change followed a steep decline and reflected a more balanced risk-reward profile.
Valuation Meets Copper Supply
UBS remains constructive on the copper market. The bank expects tight supply fundamentals to support elevated prices over the next three years and based its valuation on copper prices of 6.50 to 7.00 US dollars per pound. The revised rating therefore signals less downside concern rather than a fresh Buy call.
Valuation remains a key part of the debate. The UBS assessment cited a decline of about 20 percent in Southern Copper over the previous month, while copper prices fell about 4 percent. That divergence made the share price and the risk-reward balance more important to the rating decision.
Company-specific execution risks remain. UBS highlighted project timing in Peru and delays affecting planned Tia Maria volumes for 2027. The delayed start and the lack of detailed 2027 guidance leave investors focused on when additional copper output can enter the market and at what cost.
Record Results Raise The Bar
Southern Copper's third-quarter performance supports the longer-term expansion case. According to the report, earnings reached 2.15 US dollars per share against an estimate of 1.96 US dollars, while net sales totaled 4.7 billion US dollars versus a forecast of 4.46 billion US dollars. Strong profitability raises expectations for project delivery and leaves less room for delays or weaker copper prices.
The stock traded at 152.20 euros on Lang & Schwarz at 14:00 CET on Friday, November 13, 2026. The quote was below the 153.30 euro November 12 close for the Frankfurt PCU.F listing, although that comparison is not presented as an Xetra close.
Southern Copper Corporation
- ISIN: US84265V1052
- Ticker: SCCO
- Home exchange: New York Stock Exchange
- Lang & Schwarz quote: 152.20 euros on Friday, November 13, 2026, at 14:00 CET
- UBS rating: Neutral, raised from Sell
- UBS price target: 180 US dollars
US equities remain part of the S&P 500 market environment.
