Deutsche Bank Upgrades Teck Resources To Buy, Shares Up 1%

Core Viewpoint - Deutsche Bank upgraded Teck Resources Ltd. from Hold to Buy with a price target of $42, resulting in a more than 1% increase in shares during premarket trading [1] Group 1: Company Performance - Teck Resources had underperformed in 2023 due to operational issues at its QB project, leading to low investor sentiment [2] - Shares of Teck are trading at a significant discount compared to global peers and below greenfield replacement costs, despite the high strategic value of its copper assets in a consolidating industry [2] Group 2: Future Outlook - Teck's recently announced action plan to address tailings facility challenges is viewed positively, with revised guidance expected by the third-quarter results in October [3] - Although there are risks that remediation efforts may take longer than anticipated, analysts believe the stock is already pricing in a permanent impairment, presenting an attractive entry point for investors [3]