• UBS downgrades Southern Copper Corporation (NYSE:SCCO) to a "Sell" rating with a price target of $148, suggesting a potential downside despite recent stock performance.
• SCCO's stock has surged by 27.44% over the past month, outperforming the Basic Materials sector and major indices, indicating strong investor interest.
• Anticipated earnings report shows a projected EPS of $1.44 and revenue of $3.62 billion, highlighting significant year-over-year growth.

Southern Copper Corporation (NYSE:SCCO) is a prominent player in the mining industry, primarily engaged in the production of copper, molybdenum, zinc, and silver. The company operates in Peru and Mexico, making it one of the largest integrated copper producers globally. Southern Copper competes with other major mining companies like Freeport-McMoRan and BHP Group.

On January 21, 2026, Myles Allsop from UBS set a price target of $148 for SCCO, while the stock was trading at $186.25. This target suggests a potential downside of approximately -20.54%. UBS has downgraded SCCO to a "Sell" rating, as highlighted by StreetInsider. Despite this, SCCO recently closed at $182.97, marking a 1.5% increase from its previous close, outperforming major indices like the S&P 500, Dow, and Nasdaq.

Over the past month, SCCO shares have surged by 27.44%, significantly outpacing the Basic Materials sector's 8.62% gain and the S&P 500's 1.57% increase. This impressive performance has caught the attention of investors, as noted by Zacks.com. The Zacks Mining - Non Ferrous industry, which includes Southern Copper, also reported a substantial gain of 26.4% during the same period.

Investors are eagerly anticipating Southern Copper's upcoming earnings release. The company is expected to report earnings per share (EPS) of $1.44, reflecting a 42.57% increase from the same quarter last year. Additionally, revenue is anticipated to reach $3.62 billion, a 30.11% rise from the previous year. For the entire year, Zacks Consensus Estimates project earnings of $5.3 per share and revenue of $13.17 billion.

Southern Copper is being highlighted as a potential top pick for momentum investors, according to Zacks Investment Research. The stock currently holds a Momentum Style Score of B, indicating a favorable position for those looking to invest based on momentum strategies. Despite the recent downgrade by UBS, SCCO's strong momentum and positive earnings projections make it an attractive option for investors.