In the latest trading session, Freeport-McMoRan (FCX) closed at $24.58, marking a -1.92% move from the previous day. This change lagged the S&P 500’s 0.19% loss on the day. Elsewhere, the Dow lost 0.49%, while the tech-heavy Nasdaq added 0.45%.
Coming into today, shares of the mining company had gained 33.16% in the past month. In that same time, the Basic Materials sector gained 16.29%, while the S&P 500 gained 7.68%.
Wall Street will be looking for positivity from FCX as it approaches its next earnings report date. On that day, FCX is projected to report earnings of $0.31 per share, which would represent year-over-year growth of 1450%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.01 billion, up 2.41% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.51 per share and revenue of $13.80 billion, which would represent changes of +2450% and -5.17%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for FCX. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.36% higher. FCX is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that FCX has a Forward P/E ratio of 49.46 right now. This valuation marks a premium compared to its industry’s average Forward P/E of 28.95.
The Mining – Non Ferrous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 212, which puts it in the bottom 17% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the 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.
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