While other traders are out chasing AI companies, I’ve been focusing on metals in The War Room and Catalyst Cash-Outs.
I recently unveiled my #1 gold play, and our Perfect Timing Indicator has been flashing strong buy signals on that company as of last week.
But there’s another metal that I believe could be huge going forward – copper.
Copper is the “metal of electrification.”
Every electric vehicle, charging station, and AI data center needs a ton of it, and a recent report showed that global copper demand is projected to outpace supply by over 500,000 tonnes in 2025.
This makes the copper sector an intriguing long-term play. One copper company I’m watching is Freeport-McMoran (NYSE:FCS),
FCX is a global metal company that operates some of the largest copper mines in the world, with facilities in North America, South America, and Indonesia.
Here’s why I think FCX is nearing a buy zone right now.
Recent Pullback
Earlier this week, FCX saw a dip after an incident which led to suspended production at its Grasberg Block Cave mine. It also cut its third-quarter sales guidance for 2025, now expecting 4% lower sales.
Despite the short-term volatility, copper isn’t going anywhere.
FCX has a solid balance sheet, with clear demand for its product. Even though EV sales have been down 30% since 2022, the EV market penetration is still expanding year over year.
Plus, China, the U.S. and the EU are also still pushing electrification mandates, meaning demand isn’t disappearing – it’s stretching out over a longer curve.
Other positives for FCX
In addition to copper, FCX also produces gold. Giving it a natural inflation hedge and smoothing out volatility when copper prices pull back.
Lastly, it also recently reinstated dividends and started opportunistic buybacks. Meaning it’s attractive not only as a growth play but also as a shareholder return story.
Action Plan: FCX is a long-term play I’m watching as copper demand increases.
Long-term trades are my main focus in The War Room, and my colleague Bryan Bottarelli handles short-term trades.
Together we have a combined 75% win rate since inception in 2019. Last week we also closed 75% of our 8 trades for winners, including a 23% gain on FTNT in 1 trading day.