Vale stock rebounds as Bank of America upgrades to Buy amid iron ore price rise and Iran conflict risks.

Vale's stock fell about 6% since the Iran conflict began in late February despite an 8% rise in iron ore prices. However, it rallied nearly 8% last week, prompting Bank of America to upgrade Vale from Neutral to Buy and raise its price target to $19. The upgrade is based on Vale's strong operational performance, expected growth in copper production, and ability to manage cost pressures from geopolitical tensions. Vale reported strong Q4 2025 revenue and cash flow, with plans to double copper output by 2035. The Iran conflict has pressured emerging market stocks, but the risk of a formal US war declaration remains low, suggesting the geopolitical impact may ease soon.