London-listed global mining company Glencore GLEN is off to a flyer this year, with its share price up more than 20% already—its best start to the year since 2022. Investors are focused on two key factors: soaring commodity prices and a live M&A situation, with a merger with fellow LSE miner Rio Tinto still in play.
So what’s driving this specific story?
Why Is Glencore’s Share Price Rising?
Nations, organisations, and markets are currently repricing demand for commodities, and Glencore is beneficially exposed to rising gold, silver, and copper prices amid record highs already in 2026. In the corporate world, miners are restructuring to adapt. Under UK M&A rules, Rio Tinto has until Feb. 5, 2026 to either announce a firm intention to make an offer for Glencore, or walk away. If that merger proceeds, it will likely be good news for investors. The good times may be short-lived.
A finalized deal could lead to restructuring at Glencore, which is known as a “diversified miner” with coal, copper, zinc, nickel and oil all on its menu. This broad access to the commodity complex has worked to Glencore’s advantage recently, as it’s difficult for investors to pick the next breakout commodity. While gold and silver prices are soaring, so is copper – one of Glencore’s key metals.
Morningstar equity analyst Jon Mills says he thinks Glencore should take advantage of copper prices to sell its base metals business, including its smaller zinc and nickel operations, but potentially spin out its attractive metallurgical and thermal coal businesses, which Rio may be reluctant to own.
Should I Buy Glencore Stock?
Mills says there is a high level of uncertainty surrounding the performance of this stock, which is exposed to ongoing geopolitical events and shifting commodities demand as the Chinese economy waxes and wanes.
Additionally, just have a look at its fair value estimate. According to Mills, Glencore is currently fairly valued and trading in three-star territory. However, its performance in recent days actually places it above his fair value estimate of £4.60. Shares currently trade at around £4.96. Is there still room to run? It’s possible. Either way, there’s no doubt Glencore will play more than a bit-part role on the business stage in 2026.
