Freeport-McMoRan (NYSE:FCX) Shares Gap Down – Time to Sell?

Freeport-McMoRan Inc. (NYSE:FCX)’s share price gapped down before the market opened on Thursday . The stock had previously closed at $76.23, but opened at $70.25. Freeport-McMoRan shares last traded at $70.3370, with a volume of 6,649,208 shares traded.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on FCX shares. Wall Street Zen lowered Freeport-McMoRan from a “buy” rating to a “hold” rating in a research report on Saturday, August 8th. The Goldman Sachs Group cut their price objective on Freeport-McMoRan from $75.00 to $74.00 and set a “buy” rating on the stock in a report on Wednesday, July 8th. BMO Capital Markets reaffirmed an “outperform” rating and set a $78.00 price objective on shares of Freeport-McMoRan in a research note on Thursday, July 23rd. JPMorgan Chase & Co. raised their target price on shares of Freeport-McMoRan from $73.00 to $77.00 and gave the stock an “overweight” rating in a report on Thursday, July 9th. Finally, Citigroup reissued a “positive” rating on shares of Freeport-McMoRan in a research report on Wednesday, July 15th. One investment analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, Freeport-McMoRan currently has an average rating of “Moderate Buy” and a consensus price target of $69.75.

Freeport-McMoRan Stock Performance

The stock has a market capitalization of $101.80 billion, a PE ratio of 34.88, a P/E/G ratio of 0.75 and a beta of 1.41. The company has a debt-to-equity ratio of 0.25, a quick ratio of 0.92 and a current ratio of 2.07. The firm has a 50 day moving average of $67.21 and a 200-day moving average of $64.66.

Freeport-McMoRan (NYSE:FCX) last issued its earnings results on Thursday, July 23rd. The natural resource company reported $0.74 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.62 by $0.12. Freeport-McMoRan had a net margin of 11.39% and a return on equity of 10.63%. The company had revenue of $7.03 billion during the quarter, compared to analyst estimates of $6.62 billion. During the same quarter last year, the business posted $0.54 EPS. The company’s revenue for the quarter was down 7.3% on a year-over-year basis. Research analysts forecast that Freeport-McMoRan Inc. will post 2.81 earnings per share for the current year.

Freeport-McMoRan Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, August 3rd. Shareholders of record on Wednesday, July 15th were paid a $0.075 dividend. The ex-dividend date was Wednesday, July 15th. This represents a $0.30 dividend on an annualized basis and a yield of 0.4%. Freeport-McMoRan’s payout ratio is 14.78%.

Insider Buying and Selling at Freeport-McMoRan

In other news, EVP Douglas Currault, II sold 80,000 shares of the stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $78.56, for a total transaction of $6,284,800.00. Following the transaction, the executive vice president owned 211,016 shares in the company, valued at $16,577,416.96. This represents a 27.49% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Lydia Kennard sold 3,798 shares of the firm’s stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $79.11, for a total transaction of $300,459.78. Following the transaction, the director owned 122,702 shares in the company, valued at $9,706,955.22. This represents a 3.00% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 110,398 shares of company stock valued at $8,387,271. 0.73% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Freeport-McMoRan

Several hedge funds have recently bought and sold shares of the business. Strategic Investment Solutions Inc. IL acquired a new position in shares of Freeport-McMoRan during the 4th quarter valued at about $25,000. NBH Bank acquired a new stake in Freeport-McMoRan in the 2nd quarter worth approximately $28,000. Steph & Co. boosted its position in Freeport-McMoRan by 43.7% during the first quarter. Steph & Co. now owns 493 shares of the natural resource company’s stock worth $29,000 after purchasing an additional 150 shares during the period. Cassaday & Co Wealth Management LLC bought a new stake in Freeport-McMoRan during the first quarter worth approximately $29,000. Finally, Kemnay Advisory Services Inc. bought a new stake in Freeport-McMoRan during the fourth quarter worth approximately $29,000. 80.77% of the stock is owned by institutional investors and hedge funds.

About Freeport-McMoRan

Freeport-McMoRan Inc is a global mining company focused primarily on the exploration, development and production of copper, gold and molybdenum. Copper is its principal product and is used in electrical wiring, construction, transportation, industrial equipment and renewable-energy technologies. The company also produces gold as a byproduct of its copper operations and molybdenum, an alloying metal used in steelmaking and other industrial applications.

Freeport-McMoRan operates major mining and processing assets in North America, South America and Indonesia.