Canada's Amerigo Resources Q3 net income surges on higher copper prices

Overview

• Canada copper producer's Q3 net income rose sharply on higher copper prices and production

• Company declared quarterly Cdn$0.04/share dividend and paid record Cdn$0.21/share performance dividend

• Q3 copper cash cost fell to $1.55/lb, helped by higher molybdenum prices and lower lime costs

Outlook

• Amerigo declares quarterly dividend of Cdn$0.04 per share, payable December 18, 2026

• Company says strong market fundamentals are supporting copper prices

• Amerigo notes Q4-2026 revenue sensitive to copper price changes; 10% shift in price impacts revenue by $11.2 mln

Result Drivers

• HIGHER COPPER PRICES - Co said record average copper prices of $6.55/lb in Q3-2026 supported increased revenue and net income

• INCREASED PRODUCTION - Q3-2026 copper production rose to 17.0 mln lbs, aided by 98.1% plant availability and operational execution

• LOWER CASH COSTS - Cash cost fell to $1.55/lb, mainly due to higher molybdenum by-product credits and reduced lime consumption

Company press release:

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "strong buy"

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

• Wall Street's median 12-month price target for Amerigo Resources Ltd is C$10.00, about 29.7% above its October 27 closing price of C$7.71

• The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 20 three months ago

Reuters Recommended Reads

• Oct 27 - Freeport tops profit estimates on copper rally as Grasberg recovery continues

• Oct 26 - Canada's Capstone Copper announces $3 billion investment plan in Chile

• Oct 27 - Freeport-McMoRan Q3 revenue rises on higher copper prices

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)