The S&P/ASX All Ordinaries Index (ASX: XAO) is trading in the red on Thursday. At the time of writing, the index is 0.051% lower at 9,316.30 points. Over the past 6 months, the index has climbed 14.66%.
But there are two ASX All Ords mining shares that have strongly outperformed the index over the same six-month period.
The 29Metals Ltd (ASX: 29M) share price is 1.75% higher today at 41 cents per share. The latest increase means the precious metal miner's stock has surged 190.71% higher over the past 6 months.
Aeris Resources Ltd (ASX: AIS) shares have followed a very similar trajectory, too. Its shares are 0.94% higher for the day at 54 cents a piece, and up a huge 181.58% over the past 6 months.
Analysts at Macquarie Group Ltd (ASX: MQG) downgraded their outlook on the two stocks just 10 days ago. But now, it looks like the broker has had a change of heart.
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Macquarie upgrades its outlook
In a new note to investors, Macquarie has upgraded its recommendation on 29Metals and Aeris Resources to outperform, up from neutral.
It has also raised its target prices on both the ASX All Ords shares. The latest note reveals the broker has placed a 55-cent target price on 29Metals shares and a 70-cent target price on Aeris Resources shares. At the time of writing, this represents a potential upside of 34.1% and 29.6% over the next 12 months, respectively.
"Copper/aluminium prices have had a strong run, up 22%/9% YTD and up 13%/14% over the past six months.
"We now use the copper/aluminium forward curve (upgrade) for one year before a one-year linear reversion to our prior outlook. LT prices unchanged.
"We lift near-term EPS and target prices for Cu/Al exposed companies, but only make 2 recommendation changes, upgrading 29M and AIS from N to OP," Macquarrie analysts said.
What else did the broker have to say about the ASX All Ords stocks?
Macquarie analysts also said that higher copper prices will drive earnings per share increases for base metal stocks.
"After we implement the forward curve for the next year (start 4QCY25, end 4QCY26) followed by a 1-year linear reversion from the forward curve to our prior copper price outlook, this drives significant EPS increases across our copper coverage," the broker said in its note.
"Large-cap copper producers including SFR sees 23%/39% EPS increases in FY26e/FY27e while CSC sees 12%/42%/31% EPS increase in CY25e/26e/27e. Some of the more operationally leveraged stocks including AIS see 37%/38% EPS upgrades in FY26e/FY27e and 29M see 13%/46%/48% in CY25e/CY26e/ CY27e."
