America is running out of copper.

And with artificial intelligence, electric vehicles, battery storage, the electrical grid are already being pushed to their limits. And each one depends on copper.

Unfortunately, according to S&P Global, demand for the metal is expected to rocket 50% from current levels to more than 42 million metric tons by 2040. 

All while supply shrinks. All of which could lead to a shortfall of about 10 million tons, which is a “systemic risk for global industries, technological advancement and economic growth,” added S&P Global. “The future is not just copper-intensive, it is copper-enabled. Every new building, every line of digital code, every renewable megawatt, every new car, every advanced weapon system depends on the metal.”

To alleviate that pressure, we need more copper mines.

Unfortunately, there’s a problem there, too. That’s because it takes about 17 years on average for a new mine to yield copper after discovery. 

But we don’t have that kind of time to wait for fresh supply.  We need it now, which means that any company with access to any copper will benefit.

Look at stocks, like Freeport-McMoRan (FCX).

Since bottoming out at around $27.50 in April 2025, FCX tested a high of $68.84. Now back to $61.08, it could easily retest those highs. The copper giant owns stakes in 10 copper mines, led by its 49% ownership in Grasberg operations in Indonesia. It also sold about 1.1 metric tons of copper in 2025, making it one of the biggest copper miners by volume in the world.

Analysts at Goldman Sachs just initiated a buy rating on the stock with a price target of $70.  Analysts at Jefferies just reiterated a buy rating on FCX with a price target of $76, noting that FCX plans to restart parts of the Grasberg project. Plus, while we wait for further upside, we can collect the company’s 15-cent per share dividend, which is payable on May 1 to shareholders of record as of April 15.

Sincerely,

Ian Cooper