The latest trading session saw Freeport-McMoRan (FCX – Free Report) ending at $39.19, denoting a -0.08% adjustment from its last day’s close. The stock’s change was less than the S&P 500’s daily loss of 0.04%. At the same time, the Dow added 0.07%, and the tech-heavy Nasdaq lost 0.05%.
The the stock of mining company has fallen by 10.38% in the past month, lagging the Basic Materials sector’s loss of 8.95% and the S&P 500’s gain of 1.05%.
The upcoming earnings release of Freeport-McMoRan will be of great interest to investors. On that day, Freeport-McMoRan is projected to report earnings of $0.38 per share, which would represent year-over-year growth of 40.74%. In the meantime, our current consensus estimate forecasts the revenue to be $6.02 billion, indicating a 1.91% growth compared to the corresponding quarter of the prior year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.49 per share and revenue of $25.86 billion, indicating changes of -3.25% and +13.13%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Freeport-McMoRan. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there’s been a 0.48% fall in the Zacks Consensus EPS estimate. Currently, Freeport-McMoRan is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, Freeport-McMoRan is presently being traded at a Forward P/E ratio of 26.34. This valuation marks a premium compared to its industry’s average Forward P/E of 20.62.
Also, we should mention that FCX has a PEG ratio of 2.75. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company’s expected earnings growth rate. The Mining – Non Ferrous was holding an average PEG ratio of 0.94 at yesterday’s closing price.
The Mining – Non Ferrous industry is part of the Basic Materials sector. This industry, currently bearing a Zacks Industry Rank of 170, finds itself in the bottom 33% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow FCX in the coming trading sessions, be sure to utilize Zacks.com.
Financial Market Newsflash
No financial news published today. Check back later.
