Freeport-McMoRan (FCX) closed the most recent trading day at $37.86, moving -1.46% from the previous trading session. This change lagged the S&P 500's daily gain of 0.55%. Meanwhile, the Dow experienced a rise of 1.01%, and the technology-dominated Nasdaq saw a decrease of 0.14%.
Shares of the mining company have appreciated by 4.09% over the course of the past month, outperforming the Basic Materials sector's gain of 0.34% and the S&P 500's loss of 6.22%.
Investors will be eagerly watching for the performance of Freeport-McMoRan in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.25, marking a 21.88% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $5.59 billion, down 11.5% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.65 per share and a revenue of $26.39 billion, representing changes of +11.49% and +3.69%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Freeport-McMoRan. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 1.11% lower. Freeport-McMoRan is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Freeport-McMoRan is holding a Forward P/E ratio of 23.32. This denotes a premium relative to the industry's average Forward P/E of 18.88.
Investors should also note that FCX has a PEG ratio of 0.8 right now. 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. As of the close of trade yesterday, the Mining - Non Ferrous industry held an average PEG ratio of 0.79.
The Mining - Non Ferrous industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 213, this industry ranks in the bottom 16% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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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Freeport-McMoRan Inc. (FCX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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