Is Teck Resources Limited (TECK) Among the Top Commodity Producers With the Highest Upside Potential?

From Yahoo Finance: 2025-05-05 09:57:00

A list of the top 15 commodity producers with the highest upside potential was compiled. Teck Resources Limited (NYSE: TECK) was analyzed against other commodity producer stocks. Commodity producer stocks are chosen by investors to gain exposure to both equity and commodities markets, benefiting from increased interest in either. The global commodity services market was projected to reach $3.56 billion in 2024, expected to grow at a CAGR of 8.65% from 2025 to 2034. North America dominates the industry, while Asia Pacific is projected to grow rapidly. World Bank’s April 2025 Commodity Markets Outlook predicts a 12% drop in global commodity prices in 2025 and a further 5% decline in 2026, driven by slowing economic growth and high oil supply. This decline poses risks to economic growth in developing countries, with two-thirds likely to experience setbacks, though nominal prices will still be higher than pre-pandemic levels. Morgan Stanley highlighted 2025 as a crucial year for commodity markets, influenced by supply fundamentals, inflation patterns, and dollar fluctuations. Inflation in the United States remains high, supporting commodity prices. The U.S. dollar has risen by 8% since late September, affecting global demand for commodities. Teck Resources Limited (NYSE: TECK) is a diversified natural resources company, involved in mining and mineral development. Its first-quarter 2025 EBITDA doubled from the previous year due to higher copper and zinc prices and volumes. TECK ranks 2nd on the list of Top Commodity Producers with the Highest Upside Potential. The company has a strong balance sheet, with significant liquidity and a commitment to shareholder returns through dividends and buybacks.



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