Bank of America’s metals and mining research team has been one of the more consistently bullish voices on precious and base metals throughout 2025, and their Q4 2025 / early 2026 updates continue to highlight specific names they believe are positioned to outperform in 2026.
With gold closing 2025 near $4,460 per ounce (up ~70% YTD), silver at ~$75 per ounce (up ~147% YTD), and copper near $5.20 per pound (up ~40% YTD), BofA analysts have maintained elevated price forecasts while emphasizing that company-specific execution, cost control, and growth catalysts will drive equity outperformance — even if metal-price momentum moderates.
This article examines the three metals stocks that Bank of America has repeatedly singled out as top picks for 2026, explains the reasoning behind their bullish stance, and puts the recommendations in context for serious investors who already understand the difference between commodity price moves and mining-stock leverage.
Important disclaimer: This is educational commentary based on publicly available analyst reports, market data, and company filings as of January 16, 2026. It is not investment advice, a recommendation to buy, sell, or hold any security, or an endorsement of Bank of America or any company mentioned. All investments involve risk, including complete loss of capital. Prices, forecasts, and conditions change rapidly. Conduct your own thorough due diligence and consult qualified professionals.
1. Barrick Gold (ABX.TO / GOLD NYSE) — BofA’s Flagship Gold Pick for 2026
Bank of America View (Q4 2025 / January 2026 updates)
Barrick remains one of BofA’s highest-conviction gold names, consistently rated Buy with a price target that has tracked well above consensus throughout 2025. As of January 2026, BofA’s target sits at US$28–$30 (depending on the latest note), implying 25–35% upside from the ~US$22 level seen in early January.
Why BofA is bullish
Margin expansion at record gold prices — Barrick’s all-in sustaining cost (AISC) averaged ~$1,350–$1,400/oz in 2025 (company Q3 2025 MD&A), giving it ~$3,000–$3,100/oz operating margins at $4,460 gold. This is among the highest in the senior producer peer group.
Production growth & asset quality — 2025 attributable gold production guidance was 3.9–4.3 million ounces (company guidance). Key drivers include ramp-up at Pueblo Viejo (Dominican Republic), continued optimization at Nevada Gold Mines (joint venture with Newmont), and first production from the giant Reko Diq project in Pakistan (expected 2028+).
Balance sheet strength — Net debt reduced to ~$0.5 billion (Q3 2025), cash position ~$4.2 billion. BofA highlights Barrick’s ability to fund growth internally while returning capital via dividends (yield ~2.2%) and buybacks.
Copper by-product leverage — Barrick produces ~400 million pounds of copper annually (2025 guidance), providing diversification and margin upside as copper prices remain elevated.
Barrick is frequently cited as one of the top copper mining stocks and best metals stocks to buy for investors seeking exposure to both gold and copper in a single name.
2. Pan American Silver (PAAS.TO / PAAS NYSE) — BofA’s Top Silver Pick
Bank of America View
Pan American is BofA’s highest-conviction silver name, rated Buy with a price target of US$28–$32 (January 2026 updates), implying 40–60% upside from the ~US$20 level in early January.
Why BofA is bullish
Primary silver production with margin leverage — Pan American is the second-largest primary silver producer globally, with 2025 guidance of 18–20 million ounces silver (company reports). AISC averaged ~$15–$17/oz AgEq in 2025, giving massive margin expansion at $75 silver.
Diversified asset base — Operations in Mexico, Peru, Bolivia, Argentina, and Canada reduce single-country risk. Key 2026 catalysts include ramp-up at La Colorada Skarn (Mexico) and continued optimization at Jacobina (Brazil).
Strong balance sheet — Net debt ~$200 million (Q3 2025), cash ~$400 million. BofA notes the company’s ability to fund growth internally while maintaining a dividend (yield ~1.8%).
Silver leverage in a bull market — With silver’s industrial demand (solar, EVs, electronics) projected to grow 3–5% annually (Silver Institute 2025 data), Pan American offers direct exposure to the metal’s upside.
Pan American frequently appears on lists of best silver stocks to buy and top copper mining stocks (due to by-product copper credits).
3. Freeport-McMoRan (FCX NYSE) — BofA’s Leading Copper Pick
Bank of America View
Freeport-McMoRan is BofA’s top-rated copper name, with a Buy rating and price target of US$60–$65 (January 2026 updates), implying 25–35% upside from the ~$48–$50 level in early January.
Why BofA is bullish
Low-cost, long-life assets — Grasberg (Indonesia) and Bagdad (Arizona) are among the lowest-cost copper operations globally. 2025 AISC averaged ~$1.61/lb (Q3 2025 earnings).
Production growth — 2025 attributable copper production ~4.0 billion pounds (company guidance). Grasberg ramp-up and Lone Star/Safford expansions drive 2026–2028 growth.
Balance sheet improvement — Net debt reduced to ~$3.5 billion (Q3 2025), cash ~$6.3 billion. Dividend yield ~1.5%.
Copper leverage — At $5.98/lb, Freeport generates massive free cash flow. BofA highlights its ability to fund growth internally while returning capital.
Freeport is consistently ranked among the best copper mining stocks and top copper mining stocks globally.
Copper Market Outlook Supporting the Bull Case
Copper prices are expected to average $5.50–$6.00 per pound in 2026 (J.P. Morgan, Goldman Sachs), with upside scenarios to $6.80/lb if supply disruptions persist.
Key drivers:
Demand growth — EVs, renewables, and AI/data centers projected to add millions of tonnes by 2030 (BloombergNEF December 2025).
Supply constraints — Deficits of 150,000–330,000 tonnes in 2026 (ICSG and Wood Mackenzie).
M&A activity — Rio Tinto-Glencore talks (January 9, 2026) highlight consolidation pressure.
These factors make copper mining stocks attractive for investors seeking growth leverage.
Risks to Consider
Economic slowdown muting demand
New supply from expansions
Volatility from tariffs/geopolitics
Jurisdiction-specific issues
The Bottom Line
These three copper mining stocks — Barrick (gold/copper hybrid), Pan American (primary silver with copper credits), and Freeport-McMoRan (pure copper) — are among BofA’s highest-conviction picks for 2026, reflecting strong fundamentals and leverage to expected price strength.
For investors asking whether copper stocks are still worth buying after 2025's rally, the answer is yes for quality names — especially those with low costs, growth, and clean balance sheets.
Stay selective,
CanadianMiningReport.com
P.S. Analyst picks and valuations evolve quickly. In The Wealthy Miner community, we track BofA updates and other expert views weekly — along with real-time portfolio positioning. Join if you'd like that level of ongoing, high-signal discussion with Rob Bruggeman and like-minded investors.
Author
Ben McGregor authors the Weekly Roundup at CanadianMiningReport.com, providing sharp analysis of the metals and mining sector. With a talent for spotting trends, Ben distills complex market shifts into clear, engaging insights on TSXV junior miners. His weekly updates cover gold, copper, uranium, and more, blending data-driven perspectives with a knack for identifying opportunities. A vital resource for investors, Ben’s work navigates the dynamic junior mining landscape with precision.