FREEPORT-MCMORAN INC (FCX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FCX - US35671D8570 - Common Stock
47.52 USD
+0.14 (+0.3%)
47.5 USD
-0.02 (-0.04%)
Overall FCX gets a fundamental rating of 5 out of 10. We evaluated FCX against 156 industry peers in the Metals & Mining industry. Both the profitability and the financial health of FCX get a neutral evaluation. Nothing too spectacular is happening here. FCX is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year FCX was profitable.
In the past year FCX had a positive cash flow from operations.
Each year in the past 5 years FCX has been profitable.
In the past 5 years FCX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of FCX (3.61%) is better than 67.31% of its industry peers.
FCX has a better Return On Equity (10.99%) than 76.92% of its industry peers.
FCX has a better Return On Invested Capital (8.53%) than 73.08% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FCX is below the industry average of 13.23%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.61% | ||
| ROE | 10.99% | ||
| ROIC | 8.53% |
ROA(3y)4.57%
ROA(5y)4.82%
ROE(3y)14.67%
ROE(5y)16.12%
ROIC(3y)9.07%
ROIC(5y)8.64%
1.3 Margins
The Profit Margin of FCX (7.90%) is better than 73.08% of its industry peers.
FCX's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 26.78%, FCX is in the better half of the industry, outperforming 75.64% of the companies in the same industry.
FCX's Operating Margin has improved in the last couple of years.
The Gross Margin of FCX (29.63%) is better than 66.03% of its industry peers.
FCX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.78% | ||
| PM (TTM) | 7.9% | ||
| GM | 29.63% |
OM growth 3Y-9.21%
OM growth 5Y41.84%
PM growth 3Y-26.75%
PM growth 5YN/A
GM growth 3Y-7.56%
GM growth 5Y27.78%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FCX is destroying value.
The number of shares outstanding for FCX remains at a similar level compared to 1 year ago.
FCX has less shares outstanding than it did 5 years ago.
The debt/assets ratio for FCX has been reduced compared to a year ago.
2.2 Solvency
FCX has an Altman-Z score of 2.13. This is not the best score and indicates that FCX is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of FCX (2.13) is worse than 66.03% of its industry peers.
FCX has a debt to FCF ratio of 4.44. This is a neutral value as FCX would need 4.44 years to pay back of all of its debts.
FCX's Debt to FCF ratio of 4.44 is fine compared to the rest of the industry. FCX outperforms 69.87% of its industry peers.
FCX has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of FCX (0.48) is worse than 77.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 4.44 | ||
| Altman-Z | 2.13 |
ROIC/WACC0.89
WACC9.6%
2.3 Liquidity
A Current Ratio of 2.45 indicates that FCX has no problem at all paying its short term obligations.
FCX has a Current ratio (2.45) which is comparable to the rest of the industry.
FCX has a Quick Ratio of 1.19. This is a normal value and indicates that FCX is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.19, FCX is not doing good in the industry: 62.82% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.45 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
FCX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.19%, which is quite good.
FCX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 136.19% yearly.
Looking at the last year, FCX shows a small growth in Revenue. The Revenue has grown by 1.41% in the last year.
The Revenue has been growing by 12.07% on average over the past years. This is quite good.
EPS 1Y (TTM)11.19%
EPS 3Y-22.27%
EPS 5Y136.19%
EPS Q2Q%31.58%
Revenue 1Y (TTM)1.41%
Revenue growth 3Y3.67%
Revenue growth 5Y12.07%
Sales Q2Q%2.68%
3.2 Future
Based on estimates for the next years, FCX will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.94% on average per year.
The Revenue is expected to grow by 4.10% on average over the next years.
EPS Next Y1.78%
EPS Next 2Y19.37%
EPS Next 3Y24.31%
EPS Next 5Y10.94%
Revenue Next Year-1.62%
Revenue Next 2Y2.07%
Revenue Next 3Y6.35%
Revenue Next 5Y4.1%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 29.89, FCX can be considered very expensive at the moment.
Based on the Price/Earnings ratio, FCX is valued a bit cheaper than 69.23% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.55, FCX is valued at the same level.
The Price/Forward Earnings ratio is 22.69, which indicates a rather expensive current valuation of FCX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FCX is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.78, FCX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.89 | ||
| Fwd PE | 22.69 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FCX indicates a rather cheap valuation: FCX is cheaper than 86.54% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, FCX is valued a bit cheaper than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.57 | ||
| EV/EBITDA | 7.91 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
FCX has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as FCX's earnings are expected to grow with 24.31% in the coming years.
PEG (NY)16.82
PEG (5Y)0.22
EPS Next 2Y19.37%
EPS Next 3Y24.31%
5. Dividend
5.1 Amount
FCX has a Yearly Dividend Yield of 1.25%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.03, FCX pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 1.87, FCX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
5.2 History
The dividend of FCX is nicely growing with an annual growth rate of 24.59%!
FCX has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)24.59%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
42.13% of the earnings are spent on dividend by FCX. This is a bit on the high side, but may be sustainable.
The dividend of FCX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP42.13%
EPS Next 2Y19.37%
EPS Next 3Y24.31%
47.52
+0.14 (+0.3%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners85.73%
Inst Owner Change1.44%
Ins Owners0.65%
Ins Owner Change-0.26%
Market Cap68.24B
Revenue(TTM)26.00B
Net Income(TTM)2.05B
Analysts79.26
Price Target49.47 (4.1%)
Short Float %1.57%
Short Ratio1.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
Yearly Dividend0.6
Dividend Growth(5Y)24.59%
DP42.13%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.63%
Min EPS beat(2)17.82%
Max EPS beat(2)21.43%
EPS beat(4)3
Avg EPS beat(4)22.5%
Min EPS beat(4)-0.22%
Max EPS beat(4)50.97%
EPS beat(8)7
Avg EPS beat(8)19.86%
EPS beat(12)11
Avg EPS beat(12)16.68%
EPS beat(16)13
Avg EPS beat(16)13.22%
Revenue beat(2)2
Avg Revenue beat(2)3.46%
Min Revenue beat(2)2.94%
Max Revenue beat(2)3.99%
Revenue beat(4)3
Avg Revenue beat(4)1.91%
Min Revenue beat(4)-3.61%
Max Revenue beat(4)4.3%
Revenue beat(8)6
Avg Revenue beat(8)3.93%
Revenue beat(12)10
Avg Revenue beat(12)3.88%
Revenue beat(16)12
Avg Revenue beat(16)1.96%
PT rev (1m)2.23%
PT rev (3m)-4.45%
EPS NQ rev (1m)-19.6%
EPS NQ rev (3m)-60.52%
EPS NY rev (1m)-0.63%
EPS NY rev (3m)-18.76%
Revenue NQ rev (1m)-3.68%
Revenue NQ rev (3m)-28.95%
Revenue NY rev (1m)-0.66%
Revenue NY rev (3m)-7.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.89 | ||
| Fwd PE | 22.69 | ||
| P/S | 2.62 | ||
| P/FCF | 32.57 | ||
| P/OCF | 10.74 | ||
| P/B | 3.65 | ||
| P/tB | 3.65 | ||
| EV/EBITDA | 7.91 |
EPS(TTM)1.59
EY3.35%
EPS(NY)2.09
Fwd EY4.41%
FCF(TTM)1.46
FCFY3.07%
OCF(TTM)4.42
OCFY9.31%
SpS18.11
BVpS13.01
TBVpS13.01
PEG (NY)16.82
PEG (5Y)0.22
Graham Number21.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.61% | ||
| ROE | 10.99% | ||
| ROCE | 13.57% | ||
| ROIC | 8.53% | ||
| ROICexc | 9.31% | ||
| ROICexgc | 9.31% | ||
| OM | 26.78% | ||
| PM (TTM) | 7.9% | ||
| GM | 29.63% | ||
| FCFM | 8.06% |
ROA(3y)4.57%
ROA(5y)4.82%
ROE(3y)14.67%
ROE(5y)16.12%
ROIC(3y)9.07%
ROIC(5y)8.64%
ROICexc(3y)10.38%
ROICexc(5y)10.08%
ROICexgc(3y)10.49%
ROICexgc(5y)10.2%
ROCE(3y)14.44%
ROCE(5y)13.74%
ROICexgc growth 3Y-14.57%
ROICexgc growth 5Y51.28%
ROICexc growth 3Y-14.49%
ROICexc growth 5Y51.37%
OM growth 3Y-9.21%
OM growth 5Y41.84%
PM growth 3Y-26.75%
PM growth 5YN/A
GM growth 3Y-7.56%
GM growth 5Y27.78%
F-Score7
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 4.44 | ||
| Debt/EBITDA | 0.96 | ||
| Cap/Depr | 185.45% | ||
| Cap/Sales | 16.38% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 68.61% | ||
| Profit Quality | 102.05% | ||
| Current Ratio | 2.45 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 2.13 |
F-Score7
WACC9.6%
ROIC/WACC0.89
Cap/Depr(3y)195.2%
Cap/Depr(5y)163.96%
Cap/Sales(3y)17.4%
Cap/Sales(5y)15.05%
Profit Quality(3y)77.69%
Profit Quality(5y)108.11%
High Growth Momentum
Growth
EPS 1Y (TTM)11.19%
EPS 3Y-22.27%
EPS 5Y136.19%
EPS Q2Q%31.58%
EPS Next Y1.78%
EPS Next 2Y19.37%
EPS Next 3Y24.31%
EPS Next 5Y10.94%
Revenue 1Y (TTM)1.41%
Revenue growth 3Y3.67%
Revenue growth 5Y12.07%
Sales Q2Q%2.68%
Revenue Next Year-1.62%
Revenue Next 2Y2.07%
Revenue Next 3Y6.35%
Revenue Next 5Y4.1%
EBIT growth 1Y-6.66%
EBIT growth 3Y-5.88%
EBIT growth 5Y58.95%
EBIT Next Year25.31%
EBIT Next 3Y24.93%
EBIT Next 5Y13.74%
FCF growth 1Y193.83%
FCF growth 3Y-21.33%
FCF growth 5YN/A
OCF growth 1Y26.35%
OCF growth 3Y-2.46%
OCF growth 5Y37.03%
FREEPORT-MCMORAN INC / FCX FAQ
Can you provide the ChartMill fundamental rating for FREEPORT-MCMORAN INC?
ChartMill assigns a fundamental rating of 5 / 10 to FCX.
What is the valuation status for FCX stock?
ChartMill assigns a valuation rating of 4 / 10 to FREEPORT-MCMORAN INC (FCX). This can be considered as Fairly Valued.
How profitable is FREEPORT-MCMORAN INC (FCX) stock?
FREEPORT-MCMORAN INC (FCX) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for FCX stock?
The Price/Earnings (PE) ratio for FREEPORT-MCMORAN INC (FCX) is 29.89 and the Price/Book (PB) ratio is 3.65.
How sustainable is the dividend of FREEPORT-MCMORAN INC (FCX) stock?
The dividend rating of FREEPORT-MCMORAN INC (FCX) is 4 / 10 and the dividend payout ratio is 42.13%.