Why Freeport-McMoRan (FCX) Dipped More Than Broader Market Today
Freeport-McMoRan (FCX) ended the recent trading session at $41.37, demonstrating a -1.71% swing from the preceding day's closing price. The stock's change was less than the S&P 500's daily loss of 0.8%. On the other hand, the Dow registered a loss of 0.76%, and the technology-centric Nasdaq decreased by 1.18%.
The the stock of mining company has risen by 15.09% in the past month, leading the Basic Materials sector's gain of 3.42% and the S&P 500's gain of 3.4%.
Market participants will be closely following the financial results of Freeport-McMoRan in its upcoming release. It is anticipated that the company will report an EPS of $0.32, marking a 38.46% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $5.82 billion, up 1.16% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for Freeport-McMoRan. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been a 4.37% rise in the Zacks Consensus EPS estimate. Right now, Freeport-McMoRan possesses a Zacks Rank of #5 (Strong Sell).
In the context of valuation, Freeport-McMoRan is at present trading with a Forward P/E ratio of 24.97. This denotes a premium relative to the industry's average Forward P/E of 21.27.
The Mining - Non Ferrous industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 220, putting it in the bottom 13% of all 250+ industries.
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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Freeport-McMoRan Inc. (FCX) : Free Stock Analysis Report
