FREEPORT-MCMORAN INC (FCX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FCX - US35671D8570 - Common Stock
53.04 USD
+1.12 (+2.16%)
53.28 USD
+0.24 (+0.45%)
FCX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
FCX had positive earnings in the past year.
FCX had a positive operating cash flow in the past year.
In the past 5 years FCX has always been profitable.
FCX had a positive operating cash flow in each of the past 5 years.
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.
With a decent Return On Equity value of 10.99%, FCX is doing good in the industry, outperforming 76.28% of the companies in the same industry.
FCX's Return On Invested Capital of 8.53% is fine compared to the rest of the industry. FCX outperforms 73.08% of its industry peers.
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.
FCX's Profit Margin has declined in the last couple of years.
The Operating Margin of FCX (26.78%) is better than 75.64% of its industry peers.
In the last couple of years the Operating Margin of FCX has grown nicely.
The Gross Margin of FCX (29.63%) is better than 66.03% of its industry peers.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FCX is destroying value.
FCX has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, FCX has less shares outstanding
FCX has a better debt/assets ratio than last year.
2.2 Solvency
FCX has an Altman-Z score of 2.23. 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.
With a Altman-Z score value of 2.23, FCX is not doing good in the industry: 67.95% of the companies in the same industry are doing better.
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 69.23% of its industry peers.
A Debt/Equity ratio of 0.48 indicates that FCX is not too dependend on debt financing.
FCX has a Debt to Equity ratio of 0.48. This is in the lower half of the industry: FCX underperforms 77.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 4.44 | ||
| Altman-Z | 2.23 |
ROIC/WACC0.88
WACC9.71%
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.
A Quick Ratio of 1.19 indicates that FCX should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.19, FCX is doing worse than 62.82% of the companies in the same industry.
| 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.
The Earnings Per Share has been growing by 136.19% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 1.41% in the past year.
FCX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.07% yearly.
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
FCX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.94% yearly.
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
Based on the Price/Earnings ratio of 33.36, the valuation of FCX can be described as expensive.
67.95% 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 26.57. FCX is valued slightly more expensive when compared to this.
A Price/Forward Earnings ratio of 25.32 indicates a quite expensive 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 24.04, FCX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.36 | ||
| Fwd PE | 25.32 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FCX is valued cheaper than 85.26% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FCX indicates a somewhat cheap valuation: FCX is cheaper than 73.72% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.35 | ||
| EV/EBITDA | 8.59 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of FCX 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)18.77
PEG (5Y)0.24
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 1.02.
FCX's Dividend Yield is slightly below the S&P500 average, which is at 1.88.
| 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
FCX pays out 42.13% of its income as dividend. 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%
53.04
+1.12 (+2.16%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners85.73%
Inst Owner Change1.45%
Ins Owners0.65%
Ins Owner Change-0.26%
Market Cap76.16B
Revenue(TTM)26.00B
Net Income(TTM)2.05B
Analysts79.26
Price TargetN/A
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)-11.13%
EPS NQ rev (3m)-57.89%
EPS NY rev (1m)-0.63%
EPS NY rev (3m)-18.76%
Revenue NQ rev (1m)-1.19%
Revenue NQ rev (3m)-28.26%
Revenue NY rev (1m)-0.66%
Revenue NY rev (3m)-7.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.36 | ||
| Fwd PE | 25.32 | ||
| P/S | 2.93 | ||
| P/FCF | 36.35 | ||
| P/OCF | 11.99 | ||
| P/B | 4.08 | ||
| P/tB | 4.08 | ||
| EV/EBITDA | 8.59 |
EPS(TTM)1.59
EY3%
EPS(NY)2.09
Fwd EY3.95%
FCF(TTM)1.46
FCFY2.75%
OCF(TTM)4.42
OCFY8.34%
SpS18.11
BVpS13.01
TBVpS13.01
PEG (NY)18.77
PEG (5Y)0.24
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 | 2.23 |
F-Score7
WACC9.71%
ROIC/WACC0.88
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 33.36 and the Price/Book (PB) ratio is 4.08.
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%.