Freeport-McMoRan (NYSE:FCX) Announces Earnings Results, Beats Estimates By $0.12 EPS

Freeport-McMoRan (NYSE:FCX) announced its earnings results on Wednesday. The natural resource company reported $0.74 EPS for the quarter, beating analysts’ consensus estimates of $0.62 by $0.12, FiscalAI reports. The company had revenue of $7.03 billion during the quarter, compared to analysts’ expectations of $6.62 billion. Freeport-McMoRan had a return on equity of 9.88% and a net margin of 10.34%.Freeport-McMoRan’s revenue for the quarter was down 7.3% on a year-over-year basis. During the same period last year, the business posted $0.54 EPS.

Freeport-McMoRan Trading Down 2.6%

FCX opened at $63.31 on Friday. Freeport-McMoRan has a one year low of $35.15 and a one year high of $72.28. The company has a market cap of $91.01 billion, a P/E ratio of 33.67, a PEG ratio of 0.64 and a beta of 1.37. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.13 and a current ratio of 2.39. The business’s 50-day simple moving average is $63.59 and its 200-day simple moving average is $62.33.

Freeport-McMoRan Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 3rd. Stockholders of record on Wednesday, July 15th will be given a dividend of $0.075 per share. This represents a $0.30 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend is Wednesday, July 15th. Freeport-McMoRan’s dividend payout ratio is currently 15.96%.

Hedge Funds Weigh In On Freeport-McMoRan

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Sunbelt Securities Inc. boosted its holdings in shares of Freeport-McMoRan by 9.2% in the 4th quarter. Sunbelt Securities Inc. now owns 10,807 shares of the natural resource company’s stock valued at $549,000 after buying an additional 913 shares in the last quarter. Cambient Family Office LLC purchased a new stake in Freeport-McMoRan in the fourth quarter valued at $205,000. Compound Planning Inc. boosted its stake in Freeport-McMoRan by 5.2% in the fourth quarter. Compound Planning Inc. now owns 53,351 shares of the natural resource company’s stock valued at $2,710,000 after acquiring an additional 2,639 shares in the last quarter. Invesco Ltd. boosted its stake in Freeport-McMoRan by 6.8% in the fourth quarter. Invesco Ltd. now owns 9,684,194 shares of the natural resource company’s stock valued at $491,860,000 after acquiring an additional 614,560 shares in the last quarter. Finally, Axxcess Wealth Management LLC grew its holdings in shares of Freeport-McMoRan by 29.6% during the fourth quarter. Axxcess Wealth Management LLC now owns 25,537 shares of the natural resource company’s stock worth $1,297,000 after purchasing an additional 5,836 shares during the last quarter. 80.77% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several analysts have recently issued reports on the stock. Wall Street Zen raised shares of Freeport-McMoRan from a “hold” rating to a “buy” rating in a research report on Saturday, June 13th. Wells Fargo & Company restated an “overweight” rating on shares of Freeport-McMoRan in a report on Friday. Bank of America increased their target price on shares of Freeport-McMoRan from $74.00 to $80.00 and gave the stock a “buy” rating in a report on Thursday, July 9th. Citigroup reissued a “positive” rating on shares of Freeport-McMoRan in a research report on Wednesday, July 15th. Finally, The Goldman Sachs Group dropped their price target on shares of Freeport-McMoRan from $75.00 to $74.00 and set a “buy” rating for the company in a research note on Wednesday, July 8th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $69.04.

Key Freeport-McMoRan News

Here are the key news stories impacting Freeport-McMoRan this week:

• Positive Sentiment: FCX reported Q2 adjusted EPS of $0.74, above estimates of $0.62, on revenue of $7.03 billion versus expectations of about $6.6 billion, signaling better-than-expected operating performance. Freeport-McMoRan earnings transcript
• Positive Sentiment: Higher realized metal prices helped offset lower copper and gold volumes, and reports highlighted a sharp increase in net income, reinforcing the earnings beat. FCX’s Q2 Earnings and Revenues Top Estimates on Higher Metal Prices
• Positive Sentiment: Stifel Nicolaus raised its price target on FCX to $80, suggesting at least one analyst sees more upside after the results. Stifel Nicolaus Raises Freeport-McMoRan Price Target
• Neutral Sentiment: Management’s update pointed to a softer near-term copper sales outlook, including a weaker Q3 view, which may temper enthusiasm even after the earnings beat. FCX Stock Falls Amid Soft Q3 Outlook As Copper Price Slips
• Negative Sentiment: Lower operating rates at Grasberg weighed on revenue and contributed to investor concern about production momentum, helping explain why the stock has been under pressure despite the earnings beat. Freeport-McMoRan slips as lower Grasberg operating rates weigh on Q2 revenue

About Freeport-McMoRan

Freeport-McMoRan Inc is a U.S.-based natural resources company primarily engaged in the exploration, mining and processing of copper, gold and molybdenum. Its operations encompass large-scale open-pit and underground mining as well as associated concentrator and milling facilities. The company produces copper in the form of concentrates and cathodes, and also recovers gold and molybdenum as co-products; its business model includes exploration, development, mining, beneficiation and the sale of bulk commodities to smelters and industrial customers.

Freeport-McMoRan conducts operations and development activities across multiple geographies, with substantial assets in the Americas and Indonesia.