Southern Copper (SCCO) closed the most recent trading day at $182.97, moving +1.5% from the previous trading session. This change outpaced the S&P 500's 0.26% gain on the day. Meanwhile, the Dow experienced a rise of 0.6%, and the technology-dominated Nasdaq saw an increase of 0.25%.
Heading into today, shares of the miner had gained 27.44% over the past month, outpacing the Basic Materials sector's gain of 8.62% and the S&P 500's gain of 1.57%.
The upcoming earnings release of Southern Copper will be of great interest to investors. The company is expected to report EPS of $1.44, up 42.57% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $3.62 billion, indicating a 30.11% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $5.3 per share and revenue of $13.17 billion, indicating changes of +22.4% and 0%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Southern Copper. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.83% higher. Southern Copper presently features a Zacks Rank of #3 (Hold).
From a valuation perspective, Southern Copper is currently exchanging hands at a Forward P/E ratio of 28.85. This represents a premium compared to its industry average Forward P/E of 27.92.
Investors should also note that SCCO has a PEG ratio of 1.51 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Mining - Non Ferrous was holding an average PEG ratio of 0.74 at yesterday's closing price.
The Mining - Non Ferrous industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 20, this industry ranks in the top 9% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Southern Copper Corporation (SCCO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
