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Why is Sandfire Resources (SFR) falling after its latest guidance?

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Why is Sandfire Resources (SFR) falling after its latest guidance?

Re: Sandfire. Could you give subscribers some clarity around Sandfire. They have just given what likes like a very good update and positive guidance into 2023 but their share price has slipped a fair bit. Thanks Shane

Answer

Hi Shane,

We covered on Friday, however essentially, it was lower than forecast production which pushed up costs, mainly from their Matsa Mine. We still like SFR, they were doing a better job operationally in recent quarters however this was not their finest 3 months. While the short term picture for Copper is somewhat muted, we are big bulls in the medium term with the world likely to need more in the next decade than is being produced.

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