Sandfire Resources Ltd(ASX: SFR) is soaring ~5% today
Sandfire Resources (ASX: SFR) has rallied around 5% this morning, supported by a wave of broker upgrades following its September quarter production update. Although copper production fell 21% quarter-on-quarter to 26,987 tonnes, reflecting lower grades and recoveries at its MATSA operation in Spain, the company maintained FY27 copper production guidance of 99,000–111,000 tonnes and zinc guidance of 96,000–106,000 tonnes.
Management expects grades and recoveries to improve over the remainder of the year, reassuring investors that the softer quarter should not derail full-year targets.
- The key catalyst has been five broker upgrades in the past 24 hours, with Jefferies, UBS and Morgans all lifting their recommendations to Buy, JPMorgan moving to Overweight and Jarden upgrading to Neutral.
Price targets now range from $20.50 to $25.50 across these brokers, reflecting renewed confidence in Sandfire’s production outlook. The rally also follows a sharp 6.6% sell-off late last week, suggesting some bargain hunting is adding momentum to the recovery. With the AGM scheduled for Friday, 30 October, investors will be looking for further reassurance that the expected operational improvement is on track.
MM remains long and bullish toward SFR.
