Southern Copper Corp (SCCO) Shares Soar 4.17% on Copper Price Surge

Southern Copper Corp (SCCO) shares surged 4.17% intraday, reaching its highest level since March 2025, marking a fourth consecutive day of gains with a total increase of 5.68% over the past four days.

Over the past five years, the strategy of buying SCCO shares after they reached a high and holding for one week yielded a 44.12% return, slightly underperforming the benchmark's 50.09% return. The strategy's Sharpe ratio was 0.47, indicating a moderate risk-adjusted return, with a maximum drawdown of -36.41% and a volatility of 34.71%. The CAGR was 16.47%.

Southern Copper's recent stock performance can be attributed to several factors. The overall gains in the copper mining sector have been a significant driver, as copper prices hit a two-month high. This price increase has positively impacted the stock prices of copper miners, including Southern Copper. Additionally, stronger-than-expected U.S. job data has contributed to the bullish sentiment in the market, further boosting Southern Copper's stock price.

The positive outlook for the copper mining sector, coupled with favorable economic indicators, has created a conducive environment for Southern Copper's stock to thrive. Investors are optimistic about the company's prospects, given the strong demand for copper and the robust performance of the mining sector. As a result, Southern Copper's stock has seen a steady upward trend, reflecting the market's confidence in the company's future growth potential.