Globe says HudBay, others make for good copper plays
HudBay Minerals Inc (C:HBM)
Shares Issued 171,973,287
Last Close 12/13/2012 $10.36
Thursday December 13 2012 - In the News
Also Capstone Mining Corp (C:CS) In the News
Also First Quantum Minerals Ltd (C:FM) In the News
The Globe and Mail reports in its Thursday edition that up until recently Freeport-McMoRan Copper & Gold exhibited a high correlation with the price of the red metal. The Globe's David Milsteadt sees that relationship breaking down in 2013. He says investors who want a copper-driven equity must search for alternatives. Stifel, Nicolaus & Co. analyst George Topping says over the past three months HudBay Minerals and Capstone Mining have exhibited some of the strongest correlations to the underlying spot price of copper. With Freeport losing its lustre Macquarie Equities Research was prompted to ask, "Will the real copper pure plays please stand up?" Mr. Milsteadt says the list of "upstream copper-dominated equities" Macquarie compiled requires a taste for investing all across the globe. Closest to home, Macquarie names First Quantum Minerals, with its operations primarily in Africa, and the NYSE-listed Southern Copper Co. headquartered in Freeport's home city of Phoenix, Ariz., but with operations in Mexico and South America. Macquarie also includes PanAust Ltd., a Southeast Asian miner based in Australia and trading on that country's exchange.