Freeport-McMoRan (NYSE:FCX) Shares Gap Up – Time to Buy?

Shares of Freeport-McMoRan Inc. (NYSE:FCX) gapped up before the market opened on Tuesday . The stock had previously closed at $43.64, but opened at $44.66. Freeport-McMoRan shares last traded at $44.09, with a volume of 2,868,100 shares changing hands.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the stock. Raymond James upped their price target on shares of Freeport-McMoRan from $55.00 to $57.00 and gave the company an “outperform” rating in a research report on Wednesday, October 23rd. Morgan Stanley dropped their price objective on Freeport-McMoRan from $60.00 to $58.00 and set an “overweight” rating for the company in a research note on Thursday, September 19th. JPMorgan Chase & Co. upped their price target on shares of Freeport-McMoRan from $53.00 to $55.00 and gave the company a “neutral” rating in a report on Tuesday, October 15th. Scotiabank cut their price target on shares of Freeport-McMoRan from $53.00 to $52.00 and set a “sector perform” rating on the stock in a report on Wednesday, October 23rd. Finally, StockNews.com lowered shares of Freeport-McMoRan from a “buy” rating to a “hold” rating in a report on Thursday, September 26th. Six research analysts have rated the stock with a hold rating, eight have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $54.00.

Freeport-McMoRan Stock Up 0.9 %

The stock has a market capitalization of $63.27 billion, a PE ratio of 31.92, a P/E/G ratio of 17.44 and a beta of 1.86. The stock’s 50-day moving average price is $46.84 and its two-hundred day moving average price is $46.74. The company has a debt-to-equity ratio of 0.31, a quick ratio of 1.30 and a current ratio of 2.33.

Freeport-McMoRan (NYSE:FCX) last announced its earnings results on Tuesday, October 22nd. The natural resource company reported $0.38 earnings per share for the quarter, beating analysts’ consensus estimates of $0.37 by $0.01. Freeport-McMoRan had a net margin of 7.81% and a return on equity of 7.40%. The business had revenue of $6.79 billion during the quarter, compared to the consensus estimate of $6.45 billion. During the same quarter last year, the firm earned $0.39 earnings per share. The business’s revenue for the quarter was up 16.6% on a year-over-year basis. As a group, analysts expect that Freeport-McMoRan Inc. will post 1.5 EPS for the current fiscal year.

Freeport-McMoRan Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, November 1st. Stockholders of record on Tuesday, October 15th were paid a $0.075 dividend. The ex-dividend date was Tuesday, October 15th. This represents a $0.30 annualized dividend and a dividend yield of 0.68%. Freeport-McMoRan’s dividend payout ratio is presently 21.90%.

Hedge Funds Weigh In On Freeport-McMoRan

A number of hedge funds have recently added to or reduced their stakes in the company. Matrix Trust Co purchased a new stake in Freeport-McMoRan in the third quarter worth approximately $25,000. Spectrum Wealth Counsel LLC bought a new stake in shares of Freeport-McMoRan in the second quarter worth $25,000. Hazlett Burt & Watson Inc. increased its position in Freeport-McMoRan by 1,170.7% during the second quarter. Hazlett Burt & Watson Inc. now owns 521 shares of the natural resource company’s stock valued at $25,000 after acquiring an additional 480 shares during the last quarter. Lynx Investment Advisory purchased a new position in Freeport-McMoRan in the second quarter worth about $26,000. Finally, University of Texas Texas AM Investment Management Co. bought a new stake in Freeport-McMoRan during the second quarter valued at approximately $27,000. 80.77% of the stock is currently owned by hedge funds and other institutional investors.

Freeport-McMoRan Company Profile

Freeport-McMoRan Inc engages in the mining of mineral properties in North America, South America, and Indonesia. It primarily explores for copper, gold, molybdenum, silver, and other metals. The company's assets include the Grasberg minerals district in Indonesia; Morenci, Bagdad, Safford, Sierrita, and Miami in Arizona; Chino and Tyrone in New Mexico; and Henderson and Climax in Colorado, North America, as well as Cerro Verde in Peru and El Abra in Chile.