This Magnificent Mining Stock Is Down 37%. Buy It Before It Sets a New All-Time High.

Core Viewpoint - Freeport-McMoRan's stock has declined 37% from its all-time high despite copper prices nearing an all-time high, indicating a potential investment opportunity amid market downturns [1] Group 1: Reasons for Stock Decline - The stock's performance is disconnected from copper prices due to two main factors that appear unjustified [2] - A fire at a newly opened smelter in Indonesia has led to operational challenges, including a potential export ban on copper concentrate starting January 1, 2025, requiring permits for exports [3] - The Indonesian government has issued a six-month permit for Freeport to export concentrates while repairs are made to the smelter [4] - Concerns over the recent rise in U.S. copper prices being driven by speculative buying ahead of potential tariffs may have contributed to the stock's decline [5] Group 2: Company Positioning - Freeport-McMoRan is strategically positioned to benefit from U.S. production initiatives and tariff conflicts, with plans for brownfield expansions in Arizona expected to add 650 million pounds of copper annually [6][7] - The company's U.S.-focused leaching initiative aims to recover 800 million pounds of copper annually by 2030, contributing to a projected total production of 4 billion pounds in 2025 [8] Group 3: Long-term Demand for Copper - Copper is essential for various modern economic trends, including electric vehicles, renewable energy, and the Internet of Things, all of which are part of the "electrification of everything" megatrend [9][10] - While individual demand drivers may experience temporary weaknesses, the overall demand for copper is expected to remain strong [11] Group 4: Investment Opportunity - The combination of rising copper prices, favorable volume growth outlook, and long-term demand trends makes Freeport-McMoRan an attractive stock to consider for investment [12] - The current disconnect between the falling stock price and rising copper prices presents a potential opportunity for investors [13]