100 ideas for investing. Episode 1. Investing in #AGL.

In this JSE market review, you'll find out whether Anglo American is a worthy investment idea today.

If you're considering this, you're surely noticing the impressive upward trend on the annual chart. Over the past year, shares have surged nearly 188% in ZAR terms, climbing from a low of around 439 ZAR to today's price of 800 ZAR per share. That kind of move naturally raises the question every investor faces: is the best entry point already behind us? Not necessarily.

Disclaimer: This article is part of the "100 Investment Ideas" series and is intended for informational and analytical purposes only. It does not constitute financial advice. Always conduct your own due diligence before making investment decisions.

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A company in transformation

Despite a headline loss of $3.7 billion to shareholders in 2025 and a dividend cut from $0.64 to $0.23 per share, Anglo American shares remain attractive for one core reason: the company is actively reinventing itself. It is shedding underperforming assets and sharpening its focus on copper — exactly the commodity the global economy needs most right now.

AGL shares value

The Teck Resources merger: a medium-term catalyst

The most significant near-term catalyst for AGL is its planned merger with Canada's Teck Resources, which would create one of the world's largest copper producers — Anglo Teck. The transaction, valued at approximately $53 billion, awaits regulatory approval across nine jurisdictions, with completion expected between September 2026 and March 2027. Anglo American shareholders are set to hold a 62.4% stake in the combined entity.

What about the entry point?

Depending on your brokerage, traders may be able to take advantage of the near-term price correction currently underway. For longer-term investors, a phased accumulation strategy around the 680–730 ZAR range appears more prudent than a single large position at current levels.

Verdict

Anglo American is not a risk-free idea — but nothing ever is. It could be a strong addition to an investor's portfolio precisely because AGL offers a rare combination: a 100% in-demand product with direct impact on share value, a credible transformation story, and a defined near-term catalyst in the Anglo Teck merger.