Freeport-McMoRan (FCX) closed the most recent trading day at $34.96, moving -0.54% from the previous trading session. This change was narrower than the S&P 500’s daily loss of 1.31%.
Heading into today, shares of the mining company had lost 14.73% over the past month, lagging the Basic Materials sector’s loss of 9.06% and the S&P 500’s gain of 1.56% in that time.
Investors will be hoping for strength from FCX as it approaches its next earnings release. The company is expected to report EPS of $0.75, up 2400% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.91 billion, up 93.66% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.13 per share and revenue of $23.26 billion. These totals would mark changes of +479.63% and +63.86%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for FCX. These recent revisions tend to reflect the evolving nature of short-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 shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 8.57% higher within the past month. FCX is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, FCX is holding a Forward P/E ratio of 11.23. This represents a discount compared to its industry’s average Forward P/E of 18.33.
Investors should also note that FCX has a PEG ratio of 0.39 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. The Mining – Non Ferrous was holding an average PEG ratio of 0.56 at yesterday’s closing price.
The Mining – Non Ferrous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 70, which puts it in the top 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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