- Freeport McMoRan (NYSE:FCX) -2.9% premarket after UBS downgrades shares to Neutral from Buy with a $9 price target following a 30% rise during the past week.
- UBS points out that hurdles to recovery remain in place despite strong YTD execution; the recent rise in copper prices has been a welcome reprieve but the firm notes that FCX is highly vulnerable as a levered producer.
- UBS says FCX also needs to navigate ongoing discussions in Indonesia to secure its future at Grasberg, and to achieve considerable success on asset sales to achieve its $5B-10B medium term debt reduction target.