Quality Momentum

QM · rank #10 · 2026-07-21

NDA

XETRA · EUR · $8.51B (USD)

SignalStrong Buy3.1strength 3.1 / 10
verdict · PROCEED

The exact numbers the algorithm saw.

Factor scores and the inputs behind this pick.
Momentum 12-1
Return from 12 months ago to 1 month ago.
+144.80%
ROE TTM
Return on equity, trailing 12 months.
+17.1%
Profit margin
Net profit margin, trailing 12 months.
+4.5%
Market cap (USD)
Size filter: > $300M required (USD-equivalent).
$8.51B
Anchor (recent)
Close on 2026-06-19
$195.00
Anchor (far)
Close on 2025-06-20
$79.66

The AI research card

Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.

Summary

Aurubis is Europe's largest copper smelter and multi-metal recycler, converting concentrates and complex scrap into copper and specialty metals for industrial customers globally.

Rationale

The momentum signal (1.45) is reinforced by a concrete fundamental catalyst — raised full-year guidance, sequential EBT acceleration (+15% Q1→Q2), and a 23% revenue uplift from precious-metal prices — giving the price trend an earnings-based anchor rather than pure sentiment.

Material risks

  • 1Treatment-charge and copper/precious-metal price volatility can rapidly compress the profit margin (currently a thin 4.5%) and reverse the earnings trajectory that is driving both the momentum and the quality scores simultaneously.
  • 2Technical delays in strategic smelter and recycling projects have already pressured free cash flow (still negative at -€63M in H1), risking a ROCE undershoot versus the 9–11% guidance that underpins the quality screen.

AI verdict council

Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.

OpenAI
Proceed
Claude
Proceed
Gemini
Proceed