There are some major winners, and some big losers, on the TSX today. In fact, it’s been this way for maybe the last year or so! Some companies don’t look as though they can do anything wrong. Others are very volatile.
Which is why when it comes to investing, long-term investing can be the way to go. A great method to find some excellent long-term investments is to look for companies that have a secured future ahead.
That’s why today I’m going to look at three companies that all fall into one stable category. All while trading below $20 per share. So let’s get into it.
Crazy for copper
If there’s one area that Canadian investors should look into these days, it’s the copper sector. While gold and silver tend to get a lot of the attention, copper stocks also have more growth ahead of them. And what’s more, they have far more uses.
Copper is a vital industrial metal, widely used in construction, electronics, transportation, and infrastructure projects. As global economic growth continues, particularly in emerging markets where infrastructure development is booming, the demand for copper is expected to remain robust.
This is especially true given the transition to renewable energy sources such as solar and wind power requires significant amounts of copper for electrical wiring and other components. As governments around the world commit to reducing carbon emissions and investing in renewable energy infrastructure, the demand for copper is likely to increase further.
Though copper mining is a capital-intensive and time-consuming process, often requiring substantial investment in exploration and development. Additionally, many existing copper mines are facing declining ore grades, which means more effort and resources are needed to extract the same amount of copper. This can lead to supply constraints and support higher copper prices. Which is why these three copper stocks are excellent options.
3 copper stocks
If you’re looking for copper stocks, there are three I would consider on the TSX today. First, there’s Lundin Mining (TSX: LUN). The company focuses about 60% of its production on copper and saw strong results in the last year. However, it expects even more for the next year and has a strong industry position. Shares of Lundin stock are up 55% in the last year, and yet still trade for about $16 per share. Which is why it’s an excellent choice among copper stocks right now.
Capstone Copper (TSX: CS) is another clear winner, with more of a focus on copper. The company operates in North and South America, with past production hitting 164,353 tonnes of copper in 2023 alone. This year, their key project focuses on Mantoverde development, with future production expected to grow further. So with shares at $10.15, yet up 57% in the last year, it’s another top Canadian stock to consider.
Finally, we have Taseko Mines (TSX: TKO), which is the cheapest of the bunch. The company mines for several products, but has a focus on copper. The miner has expanded over the years, with its Gibraltar Mine being a big winner. It produced 123 million pounds of copper in 2023, with strong copper grades expected for 2024 as well. So with shares up 56% at just $3.60 per share, it’s a clear winner as well for investors today.
