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Glencore tipped to keep coal assets by broker RBC

Published 02/08/2024, 12:53
© Reuters.  Glencore tipped to keep coal assets by broker RBC
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Proactive Investors - Interims from mining and trading giant Glencore PLC (LON:GLEN) will add financial colour to a recent production update.

The miner and trader said it would also reveal its demerger plans for a coal arm which has now been enhanced with assets acquired from Canadian company Teck.

Canadian broker RBC believes recent changes in perceptions around coal and the potential for cash flow generation will weigh on the decision, with the assets likely staying in the portfolio.

“We expect Glencore to outperform peers driven by attractive valuation, commodity exposure (only major without iron ore) and the potential for special distributions, said the broker, which reduced its target price by 10p to 540p.

Interims are due on 7 August.

Read more on Proactive Investors UK

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