The copper sector plays a pivotal role in the global economy, primarily due to its essential use in various industries including construction, electronics, and renewable energy technologies. Copper’s excellent conductivity makes it indispensable in electrical applications, driving demand in line with economic growth and technological advancements.
Investing in copper stocks offers an opportunity to capitalize on this demand, especially with the ongoing global push towards electrification and sustainable energy solutions. As nations and corporations increasingly invest in renewable resources, the need for copper, used extensively in solar panels, wind turbines, and electric vehicles, is expected to rise. This growing demand positions copper stocks as potentially lucrative investments for those looking to benefit from the energy transition.
However, the copper market can be volatile, subject to fluctuations due to economic cycles, geopolitical tensions, and technological changes. Copper mining is also heavily regulated due to environmental concerns, with companies facing significant compliance costs and operational challenges. These regulatory environments can impact profitability and operational efficiency. Despite these risks, copper stocks may offer growth potential, especially for investors interested in commodities critical to modern infrastructure development. Taking that into consideration, here are two copper stocks to check out in the stock market today.
Copper Stocks To Watch Now
Newmont Corp. (NEM Stock)
To initiate, Newmont Corporation (NEM) is one of the world’s leading gold mining companies and a producer of copper, silver, zinc, and lead. The company owns gold mines in Nevada, Colorado, Ontario, Quebec, Mexico, the Dominican Republic, Australia, Ghana, Argentina, Peru, and Suriname.
At the end of April, Newmont Corp announced its first quarter 2024 financial and operating results. In detail, the mining company posted Q1 2024 earnings of $0.55 per share, along with revenue of $4.02 billion. This came in better than Wall Street’s consensus estimates for the quarter, which were earnings estimates of $0.35 per share, on revenue of $3.40 billion. In addition, revenue grew by 50.17% compared to the same period, the previous year.
In the last month of trading action, shares of NEM stock have increased by 9.50%. Moreover, during Friday morning’s trading session, Newmont Corporation stock is trading slightly lower by 0.12%, currently trading at $42.78 a share.
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Freeport-McMoRan (FCX Stock)
Next up, Freeport-McMoRan Inc. (FCX) is one of the world’s largest publicly traded copper producers. The company’s assets include the Grasberg minerals district in Indonesia, one of the world’s largest copper and gold deposits. Additionally, Freeport-McMoRan is a significant molybdenum producer and has extensive operations in North and South America, focusing on mining, smelting, and refining operations.
Freeport-McMoRan also reported its first quarter 2024 financial results last month. Diving in, the company reported Q1 2024 earnings of $0.32 per share, with revenue of $6.32 billion. This is versus Wall Street’s consensus estimates which were earnings of $0.27 per share, on revenue estimates of $5.61 billion. Additionally, revenue grew by 17.29% compared to the same period, the prior year.
Looking at the last month of trading, shares of FCX stock are up modestly by 1.47%. Meanwhile, during Friday morning’s trading session, Freeport-McMoRan’s stock is trading up 1.04% on the day so far, currently trading at $51.61 per share.
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