FREEPORT-MCMORAN INC (FCX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FCX - US35671D8570 - Common Stock
47.92 USD
+0.1 (+0.21%)
48.22 USD
+0.3 (+0.63%)
We assign a fundamental rating of 5 out of 10 to FCX. FCX was compared to 156 industry peers in the Metals & Mining industry. FCX has only an average score on both its financial health and profitability. FCX has a decent growth rate and is not valued too expensively.
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.
Each year in the past 5 years FCX had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 3.61%, FCX is doing good in the industry, outperforming 67.31% of the companies in the same industry.
FCX has a better Return On Equity (10.99%) than 76.92% of its industry peers.
FCX has a Return On Invested Capital of 8.53%. This is in the better half of the industry: FCX outperforms 73.08% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FCX is below the industry average of 13.25%.
| 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
FCX has a better Profit Margin (7.90%) than 73.08% of its industry peers.
FCX's Profit Margin has declined in the last couple of years.
FCX's Operating Margin of 26.78% is fine compared to the rest of the industry. FCX outperforms 75.64% of its industry peers.
FCX's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 29.63%, FCX is doing good in the industry, outperforming 66.03% of the companies in the same industry.
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
FCX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, FCX has about the same amount of shares outstanding.
FCX has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, FCX has an improved debt to assets ratio.
2.2 Solvency
FCX has an Altman-Z score of 2.14. 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.
FCX has a worse Altman-Z score (2.14) than 64.74% of its industry peers.
The Debt to FCF ratio of FCX is 4.44, which is a neutral value as it means it would take FCX, 4.44 years of fcf income to pay off all of its debts.
FCX has a Debt to FCF ratio of 4.44. This is in the better half of the industry: FCX outperforms 69.87% of its industry peers.
A Debt/Equity ratio of 0.48 indicates that FCX is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.48, FCX is doing worse than 77.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 4.44 | ||
| Altman-Z | 2.14 |
ROIC/WACC0.89
WACC9.58%
2.3 Liquidity
FCX has a Current Ratio of 2.45. This indicates that FCX is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.45, FCX perfoms like the industry average, outperforming 50.00% of the companies in the same 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.
FCX has a worse Quick ratio (1.19) than 62.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.45 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.19% over the past year.
Measured over the past years, FCX shows a very strong growth in Earnings Per Share. The EPS has been growing by 136.19% on average per year.
Looking at the last year, FCX shows a small growth in Revenue. The Revenue has grown by 1.41% in the last year.
Measured over the past years, FCX shows a quite strong growth in Revenue. The Revenue has been growing by 12.07% on average per year.
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
The Earnings Per Share is expected to grow by 10.94% on average over the next years. This is quite good.
FCX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.10% yearly.
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
FCX is valuated quite expensively with a Price/Earnings ratio of 30.14.
69.23% of the companies in the same industry are more expensive than FCX, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.26. FCX is around the same levels.
Based on the Price/Forward Earnings ratio of 22.88, the valuation of FCX can be described as rather expensive.
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 23.68, FCX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.14 | ||
| Fwd PE | 22.88 |
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.
75.00% of the companies in the same industry are more expensive than FCX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.84 | ||
| EV/EBITDA | 7.97 |
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)16.96
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%.
FCX's Dividend Yield is a higher than the industry average which is at 1.03.
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 paid a dividend for at least 10 years, which is 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.
FCX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP42.13%
EPS Next 2Y19.37%
EPS Next 3Y24.31%
47.92
+0.1 (+0.21%)
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 Cap68.81B
Revenue(TTM)26.00B
Net Income(TTM)2.05B
Analysts79.26
Price Target49.47 (3.23%)
Short Float %1.45%
Short Ratio1.3
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 | 30.14 | ||
| Fwd PE | 22.88 | ||
| P/S | 2.65 | ||
| P/FCF | 32.84 | ||
| P/OCF | 10.83 | ||
| P/B | 3.68 | ||
| P/tB | 3.68 | ||
| EV/EBITDA | 7.97 |
EPS(TTM)1.59
EY3.32%
EPS(NY)2.09
Fwd EY4.37%
FCF(TTM)1.46
FCFY3.04%
OCF(TTM)4.42
OCFY9.23%
SpS18.11
BVpS13.01
TBVpS13.01
PEG (NY)16.96
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 | 2.14 |
F-Score7
WACC9.58%
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 30.14 and the Price/Book (PB) ratio is 3.68.
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%.