ASX mining stocks have been on a roll in August.
The S&P/ASX 200 Materials Index (ASX: XMJ) has lifted 6.7% since 31 July amid strengthened iron ore and gold prices.
The more concentrated S&P/ASX 300 Metal & Mining Index (ASX: XMM) has risen 9.3%.
This compares to a 3.2% lift for the S&P/ASX 200 Index (ASX: XJO), which hit another record high yesterday.
Amid this backdrop, we reveal two ASX mining stocks rated buys and one rated a sell by professional analysts and traders.
ASX mining stocks to buy amid the August run
Fortescue Ltd (ASX: FMG)
This ASX pure-play iron ore mining stock closed at $19.71 apiece on Thursday, up 1.7%.
The Fortescue share price has risen 10.9% since 31 July and is not far off its 52-week high of $21.59, set in September 2024.
Jed Richards of Shaw and Partners said the strengthened iron ore price meant Fortescue offered "income and growth potential".
Richards has a buy rating on Fortescue shares.
On The Bull last week, Richards commented:
Fortescue continues to benefit from resilient iron ore prices, driven by Chinese infrastructure and demand for dam construction.
The company has posted record export volumes and maintains a low cost production advantage.
The strong dividend yield and disciplined capital management make it a compelling buy, in my view.
Fortescue will release its full-year FY25 results next Monday, 25 August.
Capstone Copper Corp CDI (ASX: CSC)
The Capstone Copper Corp CDI (ASX: CSC) share price closed at $10.17 yesterday, up 1.8% for the day and up 18.8% since 31 July.
Macquarie has an outperform rating on this ASX copper mining stock with a recently trimmed 12-month target price of $12.50.
In a note, Macquarie discussed the company's sanctioning of the expansion of its Mantoverde Optimized (MV-O) project in Chile.
Macquarie said Mantoverde production had been gradually rising since 2024, which had driven unit costs lower.
Macquarie forecasts copper production to increase from 102,100 tonnes in 2025 to 147,200 tonnes in 2027.
The broker expects all-in sustaining costs at MV-O to fall from US$2.66 per pound to US$1.76 per pound over the same timeframe.
Macquarie has cut its FY26 earnings per share forecast by 8%, reflecting higher MV-O costs and a slower production ramp-up.
The broker says the MV-O expansion offers a low-capital-intensity growth path.
1 ASX mining stock to sell now
IGO Ltd (ASX: IGO)
On The Bull this week, Toby Grimm of Baker Young revealed his sell rating on the ASX lithium mining stock, IGO.
IGO shares closed at $5.29 on Thursday, up 2.9% for the day and up 19.4% since 31 July.
IGO has lithium projects and the Nova nickel, copper, and cobalt operation in Western Australia.
Grimm comments:
IGO continues to hold a significant stake in Australia's premier lithium mine Greenbushes in Western Australia.
The ownership structure is a disadvantage for IGO, in our view, and its attempt to gain greater control via lithium hydroxide processing appears uncertain.
In our opinion, IGO carries outsized strategic risk, so we prefer other names in the critical minerals space.
IGO reports its next lot of results on Thursday, 28 August.
