FREEPORT-MCMORAN INC (FCX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FCX - US35671D8570 - Common Stock
51.92 USD
+0.02 (+0.04%)
53.27 USD
+1.35 (+2.6%)
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 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
FCX had positive earnings in the past year.
FCX had a positive operating cash flow in the past year.
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
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 76.28% of its industry peers.
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.
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.
In the last couple of years the Profit Margin of FCX has declined.
FCX's Operating Margin of 26.78% is fine compared to the rest of the industry. FCX outperforms 75.64% of its industry peers.
In the last couple of years the Operating Margin of FCX has grown nicely.
Looking at the Gross Margin, with a value of 29.63%, FCX is in the better half of 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
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
Compared to 1 year ago, FCX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.23 indicates that FCX is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.23, FCX is doing worse than 67.95% of the companies in the same industry.
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.
With a decent Debt to FCF ratio value of 4.44, FCX is doing good in the industry, outperforming 69.23% of the companies in the same industry.
FCX has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
FCX has a worse Debt to Equity ratio (0.48) than 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
WACC9.7%
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.
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.
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.
The Earnings Per Share has been growing by 136.19% on average over the past years. This is a very strong growth
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
Based on the Price/Earnings ratio of 32.65, the valuation of FCX can be described as expensive.
FCX's Price/Earnings ratio is a bit cheaper when compared to the industry. FCX is cheaper than 67.95% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.59. FCX is valued slightly more expensive when compared to this.
FCX is valuated rather expensively with a Price/Forward Earnings ratio of 24.79.
FCX's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.03, FCX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.65 | ||
| Fwd PE | 24.79 |
4.2 Price Multiples
FCX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. FCX is cheaper than 85.26% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, FCX is valued a bit cheaper than 73.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.59 | ||
| 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.
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)18.38
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%.
Compared to an average industry Dividend Yield of 1.02, FCX pays a bit more dividend than its industry peers.
FCX's Dividend Yield is slightly below the S&P500 average, which is at 1.88.
| 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
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%
51.92
+0.02 (+0.04%)
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 Cap74.55B
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 | 32.65 | ||
| Fwd PE | 24.79 | ||
| P/S | 2.87 | ||
| P/FCF | 35.59 | ||
| P/OCF | 11.74 | ||
| P/B | 3.99 | ||
| P/tB | 3.99 | ||
| EV/EBITDA | 8.59 |
EPS(TTM)1.59
EY3.06%
EPS(NY)2.09
Fwd EY4.03%
FCF(TTM)1.46
FCFY2.81%
OCF(TTM)4.42
OCFY8.52%
SpS18.11
BVpS13.01
TBVpS13.01
PEG (NY)18.38
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
WACC9.7%
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 32.65 and the Price/Book (PB) ratio is 3.99.
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%.