Citi Raises Price Targets for Glencore and Fresnillo Ahead of Q1 Results

Key Facts

1Citi raised Glencore's price target to £6.70 while maintaining a buy rating.

2The price target for Fresnillo was lifted to £50 ahead of the Q1 mining results season.

3The bank warned that copper recovery and iron ore shipment volumes are likely to disappoint in the near term.

Citigroup has updated its outlook on the mining sector, raising Glencore's price target to £6.70 while maintaining a 'Buy' rating. The bank also lifted its price target for Fresnillo to £50 ahead of the upcoming Q1 production reporting season. Despite these upward revisions for specific equities, Citi analysts expressed caution regarding broader sector trends, particularly concerning copper recovery. The bank warned that iron ore shipment volumes are likely to disappoint in the near term due to prevailing macroeconomic headwinds. These adjustments reflect a strategic balance between company-specific optimism and a cautious stance on industrial metal demand. Investors are closely monitoring these revisions as they may provide short-term support for the targeted stocks in the London market.