Goldman Sachs downgrades Brazil's Vale, saying share price upside is limited
said that as metal prices continue to decline, Room for growth may be limited. The investment bank downgraded the mining stock to "neutral" from "buy." At the same time, it lowered its price target to $16 per share from $18, implying an 8% upside from Friday's closing price. "We now expect prices for Vale's main metals to be flat or down, while operating results have largely been realized and there is limited room for improvement due to positive macro factors and a longer growth cycle for the copper business," Maricio Farid said in a note to clients on Monday. "At the same time, the share price has risen more than 70% since January 2025, and the current valuation has become less attractive following a revaluation." Vale's shares have fallen 13% in the past three months, far underperforming the overall market. During the same period, the London Metal Exchange nickel price, the global benchmark for primary nickel futures, fell by about 9%, while the SPDR S&P Metals and Mining ETF fell by 15%.