FREEPORT-MCMORAN INC (FCX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FCX - US35671D8570 - Common Stock
49.15 USD
+1.23 (+2.57%)
49.36 USD
+0.21 (+0.43%)
Overall FCX gets a fundamental rating of 5 out of 10. We evaluated FCX against 156 industry peers in the Metals & Mining industry. FCX has an average financial health and profitability rating. 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 Return On Equity of 10.99%. This is in the better half of the industry: FCX outperforms 76.92% of its industry peers.
With a decent Return On Invested Capital value of 8.53%, FCX is doing good in the industry, outperforming 73.08% of the companies in the same industry.
FCX had an Average Return On Invested Capital over the past 3 years of 9.07%. This 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 Profit Margin of 7.90%. This is in the better half of the industry: FCX outperforms 73.08% of its industry peers.
In the last couple of years the Profit Margin of FCX has declined.
The Operating Margin of FCX (26.78%) is better than 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.
In the last couple of years the Gross Margin of FCX has grown nicely.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FCX is destroying value.
Compared to 1 year ago, FCX has about the same amount of shares outstanding.
Compared to 5 years ago, FCX has less shares outstanding
Compared to 1 year ago, FCX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.14 indicates that FCX is not a great score, but indicates only limited risk for bankruptcy at the moment.
FCX's Altman-Z score of 2.14 is on the low side compared to the rest of the industry. FCX is outperformed by 64.74% 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 has a better Debt to FCF ratio (4.44) than 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.
FCX's Debt to Equity ratio of 0.48 is on the low side compared to the rest of the industry. FCX is outperformed by 77.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 4.44 | ||
| Altman-Z | 2.14 |
ROIC/WACC0.89
WACC9.59%
2.3 Liquidity
A Current Ratio of 2.45 indicates that FCX has no problem at all paying its short term obligations.
The Current ratio of FCX (2.45) 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.
The Quick ratio of FCX (1.19) is worse than 62.82% of its industry peers.
| 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
A Price/Earnings ratio of 30.91 indicates a quite expensive valuation of FCX.
FCX's Price/Earnings ratio is a bit cheaper when compared to the industry. FCX is cheaper than 69.23% of the companies in the same industry.
When comparing the Price/Earnings ratio of FCX to the average of the S&P500 Index (26.38), we can say FCX is valued inline with the index average.
FCX is valuated rather expensively with a Price/Forward Earnings ratio of 23.46.
The rest of the industry has a similar Price/Forward Earnings ratio as FCX.
The average S&P500 Price/Forward Earnings ratio is at 23.83. FCX is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.91 | ||
| Fwd PE | 23.46 |
4.2 Price Multiples
86.54% of the companies in the same industry are more expensive than FCX, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, FCX is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.69 | ||
| EV/EBITDA | 7.97 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates FCX does not grow enough to justify the current Price/Earnings ratio.
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)17.39
PEG (5Y)0.23
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.
FCX's Dividend Yield is slightly below the S&P500 average, which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
5.2 History
On average, the dividend of FCX grows each year by 24.59%, which is quite nice.
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
FCX pays out 42.13% of its income as dividend. 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%
49.15
+1.23 (+2.57%)
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 Cap70.58B
Revenue(TTM)26.00B
Net Income(TTM)2.05B
Analysts79.26
Price Target49.47 (0.65%)
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 | 30.91 | ||
| Fwd PE | 23.46 | ||
| P/S | 2.71 | ||
| P/FCF | 33.69 | ||
| P/OCF | 11.11 | ||
| P/B | 3.78 | ||
| P/tB | 3.78 | ||
| EV/EBITDA | 7.97 |
EPS(TTM)1.59
EY3.23%
EPS(NY)2.09
Fwd EY4.26%
FCF(TTM)1.46
FCFY2.97%
OCF(TTM)4.42
OCFY9%
SpS18.11
BVpS13.01
TBVpS13.01
PEG (NY)17.39
PEG (5Y)0.23
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
WACC9.59%
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 30.91 and the Price/Book (PB) ratio is 3.78.
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%.