Capstone Copper Corp (CS-T)

Will grow 30% in 2025 due to continued growth in core asset. FCF becomes an inflection point in 2025. Bit of geopolitical risk in Chile. Looking for a partner for its next major project to drive growth from 2030 on.

Emerging play in South America. Not the quality asset of a FCX, but it is safer. He's not a mining expert, but thinks there's some money to be made here.

Insider selling is never a 'great' sign but there can be lots of reasons for it. Insiders still own more than $200M in stock. We can also live with a bit of insider selling on a stock that has risen 41% in the past year. The future will likely still be dictated more by copper prices than any trading activity. EPS is expected to more than triple in 2025. If CS can achieve this growth, the stock should do well. 
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If you want a name with a bit more torque. Great properties in South America.

We recently added more CS to our model portfolio and consider it a buy. We are not fond of targets, especially short term, but $13 to $14 we think is possible. 
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Fundamentally 6/10, value of 1/10. Hit her target, but analysts still see about 40% upside. Doesn't own, likes copper space, but she'd use an ETF. Seeing a pop in materials, especially today. Volatile. If you own, ride it a bit longer and then take profits.

Long-term, the story hasn't changed: there will still be supply constraints that won't meet growing demand from EVs and the electricity grid. This, like mid-sized copper miners--are possible takeover targets.

The company is not too big, not too small, in a sweet spot. The copper price has pulled back a little, but has seen a great run-up. Supply has declined while demand is rising from places like EVs. The copper fundamentals look great.

We can't do much about the cyclicality of the metals sector. It will always be cyclical, and nothing should be considered a 'buy and forget' stock. Much will depend on economic growth, particularly in China. It is interesting right now in that China is weak but copper is strong. It is possible investors are seeing China as 'bottoming' and there are also supply concerns (i.e. the recent closure of a large mine in Panama). The sector is cyclical, and thus valuations are usually low. CS is more expensive at 16X earnings, because it is growing fast. From a loss last year it is expected to earn 28c a share this year and then a near-double to 54c next year. Debt is fairly high but cash flow is also growing nicely. We would be comfortable owning it in a size reflective of its risk. We might not add to a current position as the price rise naturally brings position size up. 
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Is very bullish copper. He likes Capstone because it operates in a safer country than others in Latin America, Chile.

Operate in South America and Mexico. This will be re-rated as its latest project goes into production. He expects 20-30% upside even without copper prices rising. Excellent exposure to copper.

The price of CS is largely dependent on the underlying price of copper, and copper is a factor of both supply and demand. We believe that the long-term demand for copper is strong, and thus we like the long-term prospects of copper. CS is expecting good sales and earnings growth over the next couple of years, and its recent growth has been strong. Its valuation is decent and debt levels are OK. It has been growing its balance sheet and expanding its operations. As a growth play on copper, we like CS and it is set to report earnings next Friday November 3. We feel that in a better market, the materials sector will perform well and CS can benefit from this performance. We would prefer to wait until earnings to add to the name, but for a growth play on copper, we like CS.
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Bullish on copper, but does not own shares.
Company highly levered to copper prices.
Unsure on short term demand for copper given recession concerns.
Takeover speculation on the company recently.
Well run company. 

Good takeout target. Cost structure has come down. Better than average, but not top tier. Pretty good balance sheet. Leveraged play on copper. China reopening plus the need for copper gives real leverage to better copper prices.

Revenue was $362M, ahead of estimates ($351M); EPS was 6c, vs 3.9c expected. 
EBITDA of $80.5M missed estimates of $98.6M. 
Copper output rose to 45,500 tonnes, with new production from Chile boosting numbers. 
Costs were $2.50/lb. 2023 guidance is for 170,000 to 190,000 tonnes at costs of $2.50 to $2.70. 
Results look good but not overly noteworthy one way or the other.  
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