Southern Copper Corp (SCCO) is overvalued and Teck Resources Ltd (TECK) is undervalued.
Against our estimates of intrinsic value, TECK trades at the wider discount: a margin of safety of +53%, against -20% for SCCO.
Values as of the 30 Oct 2026 close.
Discounting its cash flows at 10.2% (average of 3 methods) values the shares at $147.48; the price of $177.53 is 20% above that value, and 73% of that value comes from beyond year five.
Leak Score 48/100 on 12 of 12 signals
Discounting its cash flows at 9.5% (average of 3 methods) values the shares at $127.71; the price of $60.61 is 53% below that value, and 76% of that value comes from beyond year five.
Leak Score 51/100 on 11 of 12 signals
| Metric | SCCO | TECK |
|---|---|---|
| Verdict | Overvalued | Undervalued |
| Price | $177.53 | $60.61 |
| Intrinsic value | $147.48 | $127.71 |
| Margin of safety | -20% | +53% |
| Leak Score | 48/100 (12/12) | 51/100 (11/12) |
| Market cap | $149.9B | $29.7B |
| Revenue growth, 5 years | 10.9% | 2.9% |
| Operating margin | 58.6% | 34.4% |
| Net margin | 37.2% | 25.1% |
| Return on equity | 53.0% | 14.2% |
| Debt to equity | 0.63 | 0.33 |
| P/E | 23.6x | 10.9x |
| Forward P/E | 23.5x | 14.9x |
| P/B | 11.1x | 1.5x |
| Dividend yield | 2.5% | 0.7% |