Southern Copper Q1 net income jumps on higher pricing for its products

Overview

• Copper miner's Q1 net sales rose 36% yr/yr, driven by higher silver and zinc volumes

• Q1 net income hit record, up 67% from 1Q25

• Company named Leonardo Contreras Lerdo de Tejada as CEO after prior chief's passing

Outlook

• Company aims to increase production to 1.6 mln tons in 2026

• Company says it will remain focused on operational targets and project development in 2026

Result Drivers

• HIGHER METAL PRICES - Co said better prices for copper, silver, molybdenum and zinc contributed to record results

• INCREASED BY-PRODUCT SALES - Higher sales volumes for silver and zinc boosted revenue and by-product credits, lowering copper cash costs

• COST EFFICIENCIES - Co said cost efficiencies across operations contributed to lower operating cash cost per pound of copper

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "hold" and 6 "sell" or "strong sell"

• The average consensus recommendation for the specialty mining & metals peer group is "buy."

• Wall Street's median 12-month price target for Southern Copper Corp is $160.00, about 6.2% below its April 28 closing price of $170.49

• The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 25 three months ago

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