Highlights
- Rating raised to buy from hold following copper market gains
- Price target increased to 760p after Q3 assessment
- FTSE 250 inclusion noted as a driver of additional demand
Berenberg has upgraded its rating on Atalaya Mining Plc (LSE:ATM), shifting the copper producer to buy from hold. The brokerage said the revision comes after a notable share price performance this year and a favourable backdrop for copper markets.
Analysts observed that copper prices have risen more than 20% year-to-date, supported by tighter supply conditions. Atalaya was also recognised for what the bank described as a solid operational year, with positive cash flow and improved output.
The recent move of Atalaya’s corporate base resulted in its inclusion in the FTSE 250 index, leading to additional index-related buying, according to Berenberg. The analysts admitted they may have been “late to the party” on the stock’s improvement.
As part of the upgrade, the target price has been lifted to 760p from the previous 630p. Berenberg adjusted its valuation assumptions following the company’s third-quarter results and increased its EV/EBITDA multiple to 8x, reflecting current market premiums for copper-focused equities.
The bank said Atalaya shares currently trade around 1.19x net asset value and 4.5x estimated 2026 earnings. It noted that several industry catalysts remain, which will be monitored as the company continues its development path.
Shares of ATYM closed at GBX 657.00 on 21 November 2025.
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