FREEPORT-MCMORAN INC (FPMB.DE) Stock Fundamental Analysis
FRA:FPMB - Deutsche Boerse Ag - US35671D8570 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to FPMB. FPMB was compared to 40 industry peers in the Metals & Mining industry. FPMB has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, FPMB is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year FPMB was profitable.
FPMB had a positive operating cash flow in the past year.
Each year in the past 5 years FPMB has been profitable.
In the past 5 years FPMB always reported a positive cash flow from operatings.
1.2 Ratios
FPMB has a better Return On Assets (3.41%) than 72.50% of its industry peers.
The Return On Equity of FPMB (10.65%) is better than 82.50% of its industry peers.
With an excellent Return On Invested Capital value of 8.80%, FPMB belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for FPMB is above the industry average of 6.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 10.65% | ||
| ROIC | 8.8% |
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
Looking at the Profit Margin, with a value of 7.35%, FPMB is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
FPMB's Profit Margin has declined in the last couple of years.
FPMB's Operating Margin of 27.14% is amongst the best of the industry. FPMB outperforms 85.00% of its industry peers.
FPMB's Operating Margin has improved in the last couple of years.
FPMB has a Gross Margin of 30.09%. This is comparable to the rest of the industry: FPMB outperforms 60.00% of its industry peers.
In the last couple of years the Gross Margin of FPMB has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.14% | ||
| PM (TTM) | 7.35% | ||
| GM | 30.09% |
OM growth 3Y-9.21%
OM growth 5Y42.43%
PM growth 3Y-26.75%
PM growth 5YN/A
GM growth 3Y-7.56%
GM growth 5Y28.05%
2. Health
2.1 Basic Checks
FPMB has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for FPMB remains at a similar level compared to 1 year ago.
FPMB has less shares outstanding than it did 5 years ago.
The debt/assets ratio for FPMB has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.89 indicates that FPMB is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of FPMB (1.89) is comparable to the rest of the industry.
FPMB has a debt to FCF ratio of 3.28. This is a good value and a sign of high solvency as FPMB would need 3.28 years to pay back of all of its debts.
The Debt to FCF ratio of FPMB (3.28) is better than 85.00% of its industry peers.
A Debt/Equity ratio of 0.51 indicates that FPMB is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.51, FPMB is not doing good in the industry: 67.50% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.28 | ||
| Altman-Z | 1.89 |
ROIC/WACC0.93
WACC9.51%
2.3 Liquidity
A Current Ratio of 2.42 indicates that FPMB has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.42, FPMB belongs to the top of the industry, outperforming 85.00% of the companies in the same industry.
A Quick Ratio of 1.18 indicates that FPMB should not have too much problems paying its short term obligations.
The Quick ratio of FPMB (1.18) is better than 72.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
FPMB shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.92%.
Measured over the past years, FPMB shows a very strong growth in Earnings Per Share. The EPS has been growing by 136.19% on average per year.
The Revenue has grown by 11.38% in the past year. This is quite good.
FPMB shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.07% yearly.
EPS 1Y (TTM)-3.92%
EPS 3Y-22.27%
EPS 5Y136.19%
EPS Q2Q%14.81%
Revenue 1Y (TTM)11.38%
Revenue growth 3Y3.67%
Revenue growth 5Y12.07%
Sales Q2Q%-3.13%
3.2 Future
FPMB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.40% yearly.
FPMB is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.28% yearly.
EPS Next Y12.96%
EPS Next 2Y25.72%
EPS Next 3Y19.64%
EPS Next 5Y1.4%
Revenue Next Year0.92%
Revenue Next 2Y5.91%
Revenue Next 3Y4.8%
Revenue Next 5Y-2.28%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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 24.81, the valuation of FPMB can be described as rather expensive.
FPMB's Price/Earnings ratio is in line with the industry average.
FPMB is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 29.35, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 21.90, the valuation of FPMB can be described as rather expensive.
Based on the Price/Forward Earnings ratio, FPMB is valued a bit more expensive than the industry average as 62.50% of the companies are valued more cheaply.
FPMB is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.81 | ||
| Fwd PE | 21.9 |
4.2 Price Multiples
FPMB's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FPMB indicates a somewhat cheap valuation: FPMB is cheaper than 67.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.16 | ||
| EV/EBITDA | 6.26 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates FPMB does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of FPMB may justify a higher PE ratio.
FPMB's earnings are expected to grow with 19.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.91
PEG (5Y)0.18
EPS Next 2Y25.72%
EPS Next 3Y19.64%
5. Dividend
5.1 Amount
FPMB has a Yearly Dividend Yield of 1.59%.
Compared to an average industry Dividend Yield of 3.52, FPMB has a dividend in line with its industry peers.
FPMB's Dividend Yield is slightly below the S&P500 average, which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.59% |
5.2 History
The dividend of FPMB is nicely growing with an annual growth rate of 24.59%!
Dividend Growth(5Y)24.59%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
FPMB pays out 46.21% of its income as dividend. This is a bit on the high side, but may be sustainable.
FPMB's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP46.21%
EPS Next 2Y25.72%
EPS Next 3Y19.64%
FRA:FPMB (3/7/2025, 7:00:00 PM)
33.49
-2.1 (-5.91%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners85.63%
Inst Owner ChangeN/A
Ins Owners0.66%
Ins Owner ChangeN/A
Market Cap48.13B
Analysts74.81
Price Target47.21 (40.97%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.59% |
Yearly Dividend0.55
Dividend Growth(5Y)24.59%
DP46.21%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)28.83%
Min EPS beat(2)6.69%
Max EPS beat(2)50.97%
EPS beat(4)4
Avg EPS beat(4)24.73%
Min EPS beat(4)6.69%
Max EPS beat(4)50.97%
EPS beat(8)8
Avg EPS beat(8)18.66%
EPS beat(12)11
Avg EPS beat(12)14.42%
EPS beat(16)13
Avg EPS beat(16)11.36%
Revenue beat(2)1
Avg Revenue beat(2)0.16%
Min Revenue beat(2)-3.61%
Max Revenue beat(2)3.92%
Revenue beat(4)3
Avg Revenue beat(4)5.08%
Min Revenue beat(4)-3.61%
Max Revenue beat(4)10.58%
Revenue beat(8)6
Avg Revenue beat(8)3.86%
Revenue beat(12)9
Avg Revenue beat(12)2.16%
Revenue beat(16)9
Avg Revenue beat(16)0.96%
PT rev (1m)-1.74%
PT rev (3m)-11.65%
EPS NQ rev (1m)-7.52%
EPS NQ rev (3m)-56.03%
EPS NY rev (1m)-4.64%
EPS NY rev (3m)-23.94%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-24.33%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)-6.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.81 | ||
| Fwd PE | 21.9 | ||
| P/S | 2.05 | ||
| P/FCF | 19.16 | ||
| P/OCF | 7.3 | ||
| P/B | 2.97 | ||
| P/tB | 2.97 | ||
| EV/EBITDA | 6.26 |
EPS(TTM)1.35
EY4.03%
EPS(NY)1.53
Fwd EY4.57%
FCF(TTM)1.75
FCFY5.22%
OCF(TTM)4.59
OCFY13.7%
SpS16.31
BVpS11.27
TBVpS11.27
PEG (NY)1.91
PEG (5Y)0.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 10.65% | ||
| ROCE | 14% | ||
| ROIC | 8.8% | ||
| ROICexc | 9.56% | ||
| ROICexgc | 9.56% | ||
| OM | 27.14% | ||
| PM (TTM) | 7.35% | ||
| GM | 30.09% | ||
| FCFM | 10.71% |
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%
ROICexcg growth 3Y-14.57%
ROICexcg growth 5Y51.91%
ROICexc growth 3Y-14.49%
ROICexc growth 5Y52%
OM growth 3Y-9.21%
OM growth 5Y42.43%
PM growth 3Y-26.75%
PM growth 5YN/A
GM growth 3Y-7.56%
GM growth 5Y28.05%
F-Score7
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.28 | ||
| Debt/EBITDA | 0.97 | ||
| Cap/Depr | 197.81% | ||
| Cap/Sales | 17.42% | ||
| Interest Coverage | 33.54 | ||
| Cash Conversion | 78.25% | ||
| Profit Quality | 145.67% | ||
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 1.89 |
F-Score7
WACC9.51%
ROIC/WACC0.93
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)-3.92%
EPS 3Y-22.27%
EPS 5Y136.19%
EPS Q2Q%14.81%
EPS Next Y12.96%
EPS Next 2Y25.72%
EPS Next 3Y19.64%
EPS Next 5Y1.4%
Revenue 1Y (TTM)11.38%
Revenue growth 3Y3.67%
Revenue growth 5Y12.07%
Sales Q2Q%-3.13%
Revenue Next Year0.92%
Revenue Next 2Y5.91%
Revenue Next 3Y4.8%
Revenue Next 5Y-2.28%
EBIT growth 1Y8.82%
EBIT growth 3Y-5.88%
EBIT growth 5Y59.61%
EBIT Next Year41.68%
EBIT Next 3Y21.02%
EBIT Next 5Y4.3%
FCF growth 1Y316.34%
FCF growth 3Y-21.33%
FCF growth 5YN/A
OCF growth 1Y35.63%
OCF growth 3Y-2.46%
OCF growth 5Y37.03%