In the latest trading session, Freeport-McMoRan (FCX) closed at $44.15, marking a -2% move from the previous day. This change lagged the S&P 500's daily loss of 0.2%. Elsewhere, the Dow lost 1.14%, while the tech-heavy Nasdaq added 1.39%.
Coming into today, shares of the mining company had gained 20.58% in the past month. In that same time, the Basic Materials sector gained 9.71%, while the S&P 500 gained 4.01%.
Wall Street will be looking for positivity from Freeport-McMoRan as it approaches its next earnings report date. This is expected to be January 25, 2023. In that report, analysts expect Freeport-McMoRan to post earnings of $0.40 per share. This would mark a year-over-year decline of 58.33%. Our most recent consensus estimate is calling for quarterly revenue of $5.42 billion, down 12.12% from the year-ago period.
Any recent changes to analyst estimates for Freeport-McMoRan should also be noted by investors. 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.
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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 12.88% higher within the past month. Freeport-McMoRan currently has a Zacks Rank of #2 (Buy).
Digging into valuation, Freeport-McMoRan currently has a Forward P/E ratio of 23.69. Its industry sports an average Forward P/E of 15.42, so we one might conclude that Freeport-McMoRan is trading at a premium comparatively.
The Mining - Non Ferrous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 143, which puts it in the bottom 44% 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.
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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