J.P. Morgan U.S. SMid FTM 9 Jul 26 North America Base Metals; CECO; PRM; STEP; PLNT and More

Research evidence excerpt

J.P. Morgan U.S. SMid FTM 9 Jul 26 North America Base Metals; CECO; PRM; STEP; PLNT and More

North America Equity Research

U.S. SMID First to Market 09 July 2026

Top Stories

North America Base Metals (Bill Peterson)

2Q Preview: N-T Aluminum Deficits and Copper S232 in Focus; L-T Copper Fundamentals Intact vs.

Emerging Aluminum Surpluses; Prefer FCX

Since the onset of the Middle East conflict, our base metals coverage is -22% despite both aluminum and copper

tracking in-line with pre-war levels (BCOMIN -1% ). For aluminum (unchanged since the start of the conflict), JPM

Commodity Research still forecasts a ~1Mt deficit in 2H26 alone, yet the opening of the Strait has weighed on the FY27 strip (~

$3,050/t) in anticipation of >2Mt of impacted ME production returning to the market along with new ramps in Indonesia.

Init | CECO Environmental Corp (Tomohiko Sano) (CECO, OW, PT $130.00)

Where Power Meets Process: Initiating Overweight; Path to Rule of 40 by 2027 with YE27 PT of $130

We are initiating coverage of CECO Environmental (CECO) with an Overweight rating and a $130 price target, reflecting

roughly 65% upside potential. CECO provides air, water, and energy solutions spanning turbine emissions packages,

scrubbers, oxidizers, filtration systems, and now industrial process heating via the Thermon acquisition. A $1.0B backlog and

$7B+ pipeline, paired with exposure to AI-driven data center power demand, electrification, and U.S. reshoring should support

durable, multi-year growth.

Init | Perimeter Solutions Inc. (Tomohiko Sano) (PRM, OW, PT $50.00)

The M&A Playbook Travels Beyond Fire Safety; Initiating Overweight with YE27 PT of $50

We are initiating coverage of Perimeter Solutions (PRM) with an Overweight rating and a $50 price target (~ 50 % upside

potential).