NGLOY: PROFITING FROM HIGHER COPPER DEMAND FROM AI AND EV
By Nigam Arora & Dr. Natasha Arora
Signal(s) to enter, add, reduce, exit, hold or change.
NGLOY has started a restructuring after thwarting a buyout bid by BHP (BHP).
Here are the key points:
- Management believes that it can produce higher value by restructuring compared to selling the company.
- In The Arora Report analysis, if the restructuring is successful, the stock should go higher assuming investors continue to favor miners as a group.
- If restructuring is not successful, the probability of another buyout bid is high.
- The prize here is NGLOY’s copper operations. In the long term, demand for copper is expected to surge for the following reasons.
June 3, 2024