Capstone Copper: April production: Mantoverde output improves as Mantos remains steady; remain Overweight

Research evidence excerpt

Capstone Copper: April production: Mantoverde output improves as Mantos remains steady; remain Overweight

Lyndon Fagan AC Asia Pacific Equity Research

(61-2) 9003-8648 16 June 2026 J P M O R G A N

lyndon.fagan@jpmorgan.com

Investment Thesis, Valuation and Risks

Capstone Copper (Overweight; Price Target: A$16.20)

Investment Thesis

Capstone Copper Corp. is a leading copper mining company with a strong presence in the

Americas, listed on both the Toronto Stock Exchange (TSX: CS) and the Australian

Securities Exchange (ASX: CSC). The company operates a diversified portfolio of assets,

including the Pinto Valley, Cozamin, Mantos Blancos, Mantoverde, and Santo Domingo

mines, strategically located in stable jurisdictions such as the United States, Mexico, and

Chile. With a robust growth strategy centered on optimizing existing operations and

pursuing strategic expansions, Capstone Copper is well-positioned to capitalize on the

increasing global demand for copper. We rate CSC Overweight based on valuation.

Valuation

Our Dec-26 price target is set at a 10% premium (in line with other copper stocks in our

coverage) to our NPV, rounded off to the nearest 10c using a WACC of 9%.

Current DCF US$m A$m A$ps

Pinto Valley 1,388 1,919 2.51

Mantos Blancos, Chile 872 1,206 1.58

Mantoverde 3,689 5,101 6.68

Cozamin 251 347 0.45

Santo Domingo 1,374 1,900 2.49

Total operations 7,575 10,473 13.71

Exploration + San Domingo stream proceeds 1,250 1,728 2.26

Corporate costs (197) (273) (0.36)

Net cash / (debt) (472) (653) (0.86)

Total 8,155 11,276 14.76

Source: J.P. Morgan estimates.

Risks to Rating and Price Target

Key upside and downside risks include: (1) adverse movements in commodity prices and

currency against our forecasts; (2) operational challenges at the assets including grades and