Freeport-McMoRan (FCX) AI Stock Analysis

• Market Cap: $70.58B
• Dividend Yield: 1.25%
• Average Volume (3M): 14.97M
• Price to Earnings (P/E): 34.6
• Beta (1Y): 1.53
• Revenue Growth: 2.83%
• EPS Growth: 3.39%
• Country: US
• Employees: 28,500
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Copper
• EPS (TTM): 0.50
• Shares Outstanding: 1,435,930,700
• 10 Day Avg. Volume: 16,519,560
• 30 Day Avg. Volume: 14,972,625
• PEG Ratio: 14.72
• Price to Book (P/B): 3.13
• Price to Sales (P/S): 2.19
• P/FCF Ratio: 23.40
• Enterprise Value/Market Cap: 1.04
• Enterprise Value/Revenue: 2.81
• Enterprise Value/Gross Profit: 9.84
• Enterprise Value/Ebitda: 7.72
• 1Y Price Target: $49.47
• Price Target Upside: -2.31% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): 1.5
• Revenue Forecast (FY): $25.30B

• Rating: 67 Neutral
• Price Target: $49.00 ▼(-3.24% Downside)

Freeport-McMoRan's overall score reflects strong financial health and positive technical momentum, offset by valuation concerns and significant operational risks due to the Grasberg incident. The company's ability to manage these challenges will be crucial for future performance.

Positive Factors

Strong Financial Health

A strong balance sheet with low leverage indicates financial stability, enabling the company to invest in growth opportunities and weather economic downturns.

Critical Mineral Designation

Being designated as a critical mineral can enhance demand stability and potentially lead to favorable regulatory support, benefiting long-term market positioning.

Production Ramp-Up Plans

Restoring production at Grasberg will enhance output and revenue, leveraging existing assets to boost long-term growth and operational efficiency.

Negative Factors

Operational Risks

The incident at Grasberg highlights operational risks that could affect production stability and financial performance, necessitating improved safety measures.

Revenue Growth Decline

A decline in revenue growth can signal challenges in market demand or operational inefficiencies, potentially impacting long-term profitability and market share.

Historical Cash Flow Volatility

Volatile cash flow can hinder strategic planning and investment, affecting the company's ability to consistently fund operations and growth initiatives.

Freeport-McMoRan Business Overview & Revenue Model

Company Description

Freeport-McMoRan Inc. engages in the mining of mineral properties in North America, South America, and Indonesia. The company primarily explores for copper, gold, molybdenum, silver, and other metals, as well as oil and gas. Its assets include the Grasberg minerals district in Indonesia; Morenci, Bagdad, Safford, Sierrita, and Miami in Arizona; Tyrone and Chino in New Mexico; and Henderson and Climax in Colorado, North America, as well as Cerro Verde in Peru and El Abra in Chile. The company also operates a portfolio of oil and gas properties primarily located in offshore California and the Gulf of Mexico. As of December 31, 2021, it operated approximately 135 wells. The company was formerly known as Freeport-McMoRan Copper & Gold Inc. and changed its name to Freeport-McMoRan Inc. in July 2014. Freeport-McMoRan Inc. was incorporated in 1987 and is headquartered in Phoenix, Arizona.

How the Company Makes Money

FCX generates revenue primarily through the extraction and sale of copper, gold, and molybdenum. Copper is the largest contributor to the company's revenue, followed by gold and molybdenum. The company's revenue model is heavily influenced by global commodity prices, which can fluctuate based on market demand and supply dynamics. FCX also engages in trading activities to optimize its revenue streams. Significant partnerships with other mining companies and strategic joint ventures further enhance its operational capabilities and market reach. Additionally, the company benefits from long-term contracts and customer relationships in the metals industry, which provide a stable revenue base.

Freeport-McMoRan Financial Statement Overview

Summary

Freeport-McMoRan demonstrates strong financial health with robust profitability and a solid balance sheet. Despite a recent revenue decline, the company's high margins and effective debt management mitigate some risks. Cash flow generation is solid, although historical volatility should be monitored.

Income Statement

Freeport-McMoRan's income statement shows a mixed performance. The TTM data indicates a significant decline in revenue growth rate, which is concerning. However, the company maintains strong profitability metrics with a high net profit margin and EBIT margin, suggesting efficient operations. The historical data shows fluctuating revenue growth but consistent profitability, which indicates resilience in challenging market conditions.

Balance Sheet

The balance sheet is strong, with a low debt-to-equity ratio in the TTM period, indicating prudent financial management and reduced leverage risk. The return on equity is impressive, reflecting effective use of shareholder funds. The equity ratio is stable, suggesting a solid capital structure. Overall, the balance sheet reflects financial stability and low risk.

Cash Flow

Cash flow analysis reveals positive trends, with a notable increase in free cash flow growth in the TTM period. The operating cash flow to net income ratio is healthy, indicating good cash generation relative to earnings. The free cash flow to net income ratio is strong, suggesting efficient cash management. However, historical fluctuations in free cash flow growth highlight potential volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.99B	25.45B	22.71B	23.33B	22.36B	13.87B
Gross Profit	7.43B	7.50B	6.88B	8.09B	8.29B	2.41B
EBITDA	9.46B	9.47B	8.59B	9.29B	10.26B	3.92B
Net Income	2.07B	1.88B	1.84B	3.46B	4.30B	596.00M
Balance Sheet
Total Assets	56.83B	54.85B	52.51B	51.09B	48.02B	42.14B
Cash, Cash Equivalents and Short-Term Investments	4.55B	3.92B	4.76B	8.15B	8.07B	3.66B
Total Debt	9.30B	9.74B	9.85B	10.95B	9.77B	9.94B
Total Liabilities	26.43B	26.07B	25.20B	26.22B	25.00B	23.48B
Stockholders Equity	18.68B	17.58B	16.69B	15.55B	13.98B	10.17B
Cash Flow
Free Cash Flow	4.06B	2.35B	455.00M	1.67B	5.60B	1.06B
Operating Cash Flow	6.35B	7.16B	5.28B	5.14B	7.71B	3.02B
Investing Cash Flow	-4.67B	-5.03B	-4.96B	-3.44B	-1.96B	-1.26B
Financing Cash Flow	-3.24B	-3.28B	-2.65B	-1.62B	-1.34B	-128.00M

Freeport-McMoRan Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 50.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FCX, the sentiment is Positive. The current price of 50.64 is above the 20-day moving average (MA) of 45.48, above the 50-day MA of 42.74, and above the 200-day MA of 40.92, indicating a bullish trend. The MACD of 2.04 indicates Negative momentum. The RSI at 78.56 is Negative, neither overbought nor oversold. The STOCH value of 88.41 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FCX.

Freeport-McMoRan Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NEM	81 Outperform	$110.53B	15.75	22.84%	0.95%	26.25%	―
RIO	80 Outperform	$134.09B	12.33	18.18%	4.65%	-0.44%	-4.20%
VALE	79 Outperform	$54.09B	10.04	13.65%	10.09%	-8.49%	-41.69%
SCCO	73 Outperform	$117.95B	30.96	39.45%	2.13%	12.70%	25.51%
MT	71 Outperform	$33.36B	13.57	4.72%	1.04%	-4.51%	―
FCX	67 Neutral	$70.58B	34.56	11.33%	1.25%	2.83%	3.39%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Freeport-McMoRan Corporate Events

Freeport-McMoRan Plans Grasberg Restart After Mud Rush

On November 18, 2025, Freeport-McMoRan announced plans to restart operations at the Grasberg minerals district in Indonesia following a mud rush incident on September 8, 2025, which resulted in the temporary suspension of mining activities and the tragic loss of seven team members. The company has since resumed operations at unaffected mines and plans a phased restart of the Grasberg Block Cave underground mine in the second quarter of 2026. The incident has significantly impacted the company’s financial results for the third and fourth quarters of 2025 and is expected to affect 2026 results as well. Freeport-McMoRan is implementing enhanced operating procedures and risk management processes to prevent future incidents and is conducting damage assessments to address infrastructure repairs. The company anticipates production levels in 2026 to be similar to 2025, with increases expected in subsequent years.

Freeport-McMoRan Reports Q3 2025 Financial Results

Freeport-McMoRan reported its third-quarter and nine-month 2025 financial results, highlighting a net income of $674 million for the third quarter despite the impact of a mud rush incident in Indonesia in September 2025, which temporarily suspended operations. The company maintained a strong financial position with consolidated production and sales figures slightly below guidance but achieved better-than-expected unit net cash costs. Freeport-McMoRan’s long-term outlook remains favorable, with ongoing investments in major mining projects and downstream processing facilities, although the incident has underscored the importance of safety in their operations.

Freeport-McMoRan Grasberg Mine Incident Investigation Update

On October 5, 2025, Freeport-McMoRan announced that the five team members missing after the September 8 mud rush incident at the Grasberg Block Cave mine in Indonesia were found deceased. The company extended condolences to the families and is committed to investigating the incident to prevent future occurrences. Mining operations in the Grasberg district have been suspended since the incident, and an investigation involving external experts is underway, expected to conclude by year-end 2025. Freeport-McMoRan is working with Indonesian authorities to review the incident and future operating plans, with no updates yet on the potential production impacts previously assessed.

Freeport-McMoRan Updates on Grasberg Mine Incident

On September 24, 2025, Freeport-McMoRan Inc. provided an update on the PT Freeport Indonesia operations following a mud rush incident at the Grasberg Block Cave mine on September 8, 2025. The incident resulted in two fatalities, with five team members still missing. Mining operations have been suspended, and an investigation is underway to determine the cause. The incident has significantly impacted production forecasts, with a phased restart expected to commence in 2026, potentially deferring significant production until 2027. The company is assessing damage and plans to seek insurance recovery for losses.

Freeport-McMoRan Updates on Grasberg Mud Flow Incident

On September 11, 2025, Freeport-McMoRan Inc. provided an update on the ongoing rescue operations at PT Freeport Indonesia’s Grasberg Block Cave following a mud flow incident on September 8. Efforts are underway to locate seven missing team members, with mining operations temporarily suspended. The company is working with Indonesian authorities to review the incident and assess its impact on future production plans.

Freeport-McMoRan Releases PT Freeport Indonesia Report

On September 9, 2025, Freeport-McMoRan Inc. released a report on the operations of PT Freeport Indonesia. The report provides insights into the company’s operational activities, which are crucial for stakeholders to understand the company’s performance and strategic positioning in the mining industry.