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Southern Copper Corporation
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$180.4B
Market Cap
27.1
P/E
1.20
PEG
43.4%
ROCE
42.4%
ROE
0.06
D/E
52.2%
OPM
0.0%
% from 52W High
92
α RS
🔍 SCCO is showing a high-conviction setup because it matches 26 of 37 tracked screener presets, Sector RRG has Materials in the Leading quadrant with the trail still strengthening, and RS Rating is 92 (top decile vs market). Net: Broad signal stack, not a recommendation. ? Conviction RRG RS Rating
Sources
Conviction 26/37 · Materials in Leading quadrant · RS Rating 92
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🌏 Global Investor Returns
Currency-adjusted total returns for SCCO including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
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By Category
📊 Sector Averages
About

Southern Copper Corporation engages in mining, exploring, smelting, and refining copper and other minerals in Mexico, the United States, Peru, Brazil, Chile, and Other American countries.

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📈 Growth Pattern
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⭐ Superinvestors Holding SCCO
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Manager Shares Value % of Fund Period
Stan Druckenmiller Duquesne Family Office 121.8K $21.0M 0.62% Mar 2026
Jim Simons Renaissance Technologies LLC 4.0K $694K 0.00% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$4.29B
+40.6% YoY
Adjusted EBITDA
$2.86B
+59.5% YoY
Adjusted EBITDA Margin
66.6%
+7.9pp YoY
Net Income
$1.67B
+71.6% YoY
What Went Right
  • Net sales, adjusted EBITDA and net income all set records: sales +40.6% to $4.29B, EBITDA +59.5% to $2.86B, net income +71.6% to $1.67B.
  • Operating cash cost per pound of copper, net of by-product credits, fell 93% YoY to $0.05, helped by by-product credits up 51.4%.
  • Tia Maria reached 42% completion and El Pilar obtained all permits, with site preparation starting in September 2026.
What to Watch
  • Peru copper output fell 12% YoY due to lower ore grades at Toquepala and Cuajone, pulling total copper production down 3.5% to 230,662 tonnes.
  • By-product volumes were weak: molybdenum fell 11%, mined zinc fell 14.5% and mined silver fell 3.8% YoY.
  • Los Chancas remains hindered by persistent illegal miners, and Q2 cash cost after by-product credits rose to $0.05/lb from -$0.11/lb in Q1.
Management Guidance
  • Revenue guidance not provided. 2026 production guidance: 917kt copper (up from ~910kt), 27.9kt molybdenum, 163.9kt zinc and 24Moz silver.
  • Copper output expected to be roughly flat in 2027, about 970kt in 2028, above 1.06Mt in 2029, and over 1.6Mt by 2033-34.
  • El Pilar construction starts Q1 2027 with production in 2H 2029; total capital program exceeds $20.5 billion this decade.
Investor Lens
This call strengthens the long-term thesis: record cash generation, sharply lower unit costs and a raised 2026 copper plan more than offset weak Peruvian grades and by-product volume declines. The constructive copper market and advancing Tia Maria, Los Chancas and El Pilar projects provide a clear pathway to >1Mt of copper by 2029. The incoming Peruvian administration is viewed positively, though illegal mining at Los Chancas remains an unresolved execution risk. Overall, the growth story and margin resilience are intact.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record Q2: sales $4.29B, EBITDA $2.86B, net income $1.67B.
Revenue
Net sales were $4,289.0 million, up 40.6% YoY, driven by higher prices for copper (LME +39.8%), molybdenum (+43.1%), zinc (+30.8%) and silver (+118.6%). Copper represented 73% of sales, molybdenum 11%, silver 9% and zinc 4%; sales volumes for copper fell 1.5%.
Profitability
Net income rose 71.6% YoY to a record $1,670.0 million, with net income margin of 38.9% versus 31.9%. Adjusted EBITDA increased 59.5% to $2,856.0 million, also a record.
Margins
Adjusted EBITDA margin expanded by roughly 7.9 percentage points to 66.6%. Operating cash cost per pound of copper, net of by-product credits, was $0.05 versus $0.63 in 2Q25, helped by by-product revenue credits up 51.4%.
Balance Sheet
Operating cash flow for 6M26 was $3,683.0 million, up 116.9%. Capital investment in 2Q26 was $422.8 million, up 79.4% YoY, and the company issued $1.25 billion of 5.35% notes due 2036 to fund Tia Maria.
Key Risks
Management flagged lower ore grades at Toquepala and Cuajone as the main driver of the 12% drop in Peru copper production. Illegal miners continue to hamper Los Chancas. By-product volumes fell across molybdenum, zinc and silver, and Q2 cash cost after credits was slightly higher than Q1.
Outlook
The company raised 2026 copper production guidance to 917kt and expects roughly flat output in 2027, then ~970kt in 2028 and over 1.06Mt in 2029. El Pilar is set to begin site preparation in September 2026, with construction in Q1 2027 and first production in 2H 2029.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-07-22
Record Q2 2026 results with sales up 41% and net income up 72% year-over-year, driven by higher copper prices despite lower production. Major projects like Tia Maria and El Pilar are progressing, with strong cash flow and capital investments supporting future growth.
Q4 2025 Q4 2025 2026-01-28
Record 2025 results with net sales up 17%, Adjusted EBITDA up 22%, and net income up 28%, driven by higher by-product output and strong metal prices. 2026 guidance anticipates lower copper production due to ore grades, with major investments ongoing in Peru and Mexico.
Q3 2025 Q3 2025 2025-10-29
Record Q3 2025 results with net sales up 15% and net income up 23% year-over-year, driven by higher by-product output and strong metal prices. Copper production declined 7%, but zinc, silver, and molybdenum output rose sharply. Major projects like Tía María are advancing, with robust cash flow and a strong balance sheet.
Q1 2025 Q1 2025 2025-04-25
Q1 2025 saw 20% sales growth and a 29% net income increase, driven by higher copper prices, strong by-product performance, and cost control. Major projects in Mexico and Peru are advancing, with CapEx set to rise as new capacity comes online.
Q3 2024 Q3 2024 2024-10-23
Q3 2024 saw strong sales and net income growth, driven by higher copper prices and volumes, with copper production up 11% quarter-on-quarter. Expansion projects and ESG initiatives advanced, while 2024 and 2025 guidance points to stable copper output and significant zinc growth.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

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Information Sources:
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