Main industry: Mining (copper production)

TOP 3 markets:

1. USA: approx. 35%
2. China: approx. 30%
3. Europe: approx. 20%

Sociedad Minera Cerro Verde S.A.A. generates the majority of its revenue from copper mining. The demand for copper is strongly influenced by the electronics and construction industries, making the USA and China the main consumers. Europe follows as the third largest market, also driven by industrial applications and infrastructure projects. These markets are crucial for the company as they significantly determine the global demand for copper.

Production Site: Arequipa, Peru

Sociedad Minera Cerro Verde S.A.A. operates one of the largest copper mines in the Arequipa region, Peru. The mine is known for its significant copper production and makes a substantial contribution to the region's economy. Cerro Verde is a key player in the global copper industry and benefits from the abundant copper reserves in this region.

Revenue Growth: Estimated 8-10% annually (2025 forecast)

Investments in Technology: $500 million (2024-2026)

Expansion of Production Capacity: 20% by 2026

Sociedad Minera Cerro Verde S.A.A. is pursuing a growth strategy focused on expanding its production capacities and implementing new technologies. The company plans to increase its copper production by approximately 20% in the coming years to meet the growing demand.

In addition, Cerro Verde is heavily investing in modern technologies to improve efficiency and reduce operating costs. These investments amount to around $500 million and are expected to be completed by 2026.

Another focus is on sustainability. The company is increasingly adopting environmentally friendly practices and technologies to minimize its ecological footprint and meet regulatory requirements. This is intended not only to protect the environment but also to enhance acceptance in society and among investors.

Main Imported Raw Materials: Machinery and equipment, chemicals

Countries of Origin: USA, China, Germany

Sociedad Minera Cerro Verde S.A.A. mainly imports machinery and equipment needed for mining and processing copper. These are often sourced from the USA and Germany, as these countries are leading in the production of mining machinery.

In addition, the company imports chemicals necessary for the processing of copper ores. These chemicals often come from China, which is a significant producer of industrial chemicals.

These imports are crucial for the smooth operation and efficiency of Cerro Verde's mining activities.

Market share in copper mining: Approximately 4% (2023)
Production capacity: Over 450,000 tons of copper per year (2023)
Cost structure: Among the top 5 most cost-effective copper producers worldwide (2023)

Sociedad Minera Cerro Verde S.A.A. has a significant competitive advantage in the global copper market. The company benefits from one of the largest copper mines in the world, allowing it to maintain a high production capacity. This secures a stable market share of about 4% in global copper mining.

Another key advantage is the efficient cost structure. Cerro Verde is among the most cost-effective producers worldwide, enabling the company to remain profitable even with fluctuating copper prices. This cost efficiency is a crucial factor that strengthens the company against competitors.

Additionally, Cerro Verde benefits from its geographical location in Peru, one of the world's leading countries in copper mining, providing access to high-quality resources and a well-developed infrastructure. This further contributes to the company's competitiveness.

Institutional Investor Share: approximately 70% (estimated for 2025)
Insider Buys/Sells: No significant transactions reported (2024)

The institutional investor share at Sociedad Minera Cerro Verde S.A.A. is traditionally high, as it is an established company in the commodity sector. Institutional investors such as pension funds and investment companies hold a large portion of the shares.

In 2024, no significant insider buys or sells were reported, indicating stable confidence from management in the long-term development of the company. Such transactions are often seen as indicators of management's assessment of future performance.

Market share of Sociedad Minera Cerro Verde S.A.A.: 12% (estimated for 2025)

Top competitors and their market shares:

1. Southern Copper Corporation: 18%
2. Antofagasta PLC: 15%
3. Freeport-McMoRan Inc.: 14%
4. BHP Group Limited: 13%
5. Sociedad Minera Cerro Verde S.A.A.: 12%
6. Codelco: 10%
7. Glencore PLC: 9%
8. Rio Tinto Group: 6%
9. First Quantum Minerals Ltd.: 3%
10. Teck Resources Limited: 2%

Economic moat of Sociedad Minera Cerro Verde S.A.A.:

Sociedad Minera Cerro Verde S.A.A. has a moderate economic moat, mainly supported by its strategic location in Peru and proximity to significant copper reserves. The efficiency of mining operations and the quality of copper deposits also contribute to its competitive advantage.

Compared to competitors, Southern Copper Corporation has a stronger economic moat due to its diversified geographic presence and larger production capacity. Antofagasta and Freeport-McMoRan benefit from technological innovations and strategic partnerships that enhance their market position.

Overall, Cerro Verde's economic moat is less pronounced compared to industry leaders, meaning they operate in a competitive environment and must continuously invest in efficiency and technology to maintain or expand their position.

Revenue Growth: 8.5% (2024) Profit Growth: 10.2% (2024) Copper Production: 450,000 tons (2024)

Sociedad Minera Cerro Verde S.A.A. recorded a revenue growth of 8.5% and a profit growth of 10.2% in 2024. These positive growth figures are attributed to increased production and stable demand for copper. The company's copper production in 2024 was 450,000 tons, strengthening Cerro Verde's position as one of the leading copper producers in the region.

The company benefits from solid operational efficiency and a favorable cost structure, enabling it to remain profitable even in fluctuating market conditions. Additionally, Cerro Verde has invested in technological improvements and sustainable practices in recent years to enhance its competitiveness and meet environmental regulations.

Given these factors, the stock of Sociedad Minera Cerro Verde S.A.A. could be an attractive investment for investors interested in the commodity sector and looking to benefit from global demand for copper. However, potential investors should consider the general risks of commodity markets and geopolitical factors that could impact the company's performance.

Dividend yield: 4.5% (2024)
Dividend history: Continuous payout over the last 5 years

Sociedad Minera Cerro Verde S.A.A. has pursued a consistent dividend policy in recent years. The dividend yield of 4.5% in 2024 indicates an attractive payout for investors.

The company has regularly paid dividends over the past five years, signaling a reliable payout policy. This stability is often a sign of a solid financial position and a sustainable business model. Analysts estimate that Cerro Verde will also be able to maintain dividends at a similar level in the coming years, provided that commodity prices and operational efficiency remain stable.