FCX Stock Analysis — Freeport-McMoRan
Sector: Materials
AI Verdict
FCX trades at 19.6x next year’s earnings with a huge growth forecast, so it’s cheap for the growth you’re getting if its resource moat delivers, but the numbers demand near-flawless execution.
Competitive Moat
Freeport-McMoRan controls some of the world's largest and lowest-cost copper and gold mines, including Grasberg in Indonesia, giving it scale and access to resources that are difficult and expensive for competitors to replicate. Its long-term supply contracts and established infrastructure create barriers to entry in a capital-intensive industry.
Summary
A 63.6% jump in expected earnings and an RSI of 34.7 put FCX at a technical and fundamental inflection point.
Where It Stands
FCX is up 31.90% over the past year, trades at 19.6x next year's earnings (below the 20x industrials median), and its RSI of 34.7 signals oversold territory.
Key Metrics
- RSI: 34.7 — Near Oversold
- Trailing P/E: 32.0x
- Forward P/E: 19.6x
- PEG Ratio: 0.50
- Earnings Growth: +0.6%
- Revenue Growth: -0.2%
- Market Cap: $87.1B
- Dividend Yield: 0.01%
- 1-Year Return: 31.90%
- 52-Week High: $72.28
- 52-Week Low: $35.15
Analyst Consensus
24 Buy · 5 Hold · 1 Sell (30 analysts)
Bull Case
With forward EPS growth forecast at 63.6% and a forward P/E of 19.6x, you're paying a below-average price for a big earnings rebound if those estimates hold.
Bear Case
If the P/E reverts to the sector median of 20x but earnings disappoint, the current 32.0x trailing P/E leaves room for a sharp pullback, especially with last year's -24.2% revenue drop still in the rearview.
Catalyst to Watch
Watch for quarterly earnings updates—any miss on that 63.6% EPS growth expectation would undermine the case for a rebound multiple.