Freeport-McMoRan (FCX) AI Stock Analysis

• Market Cap: $59.94B
• Dividend Yield: 1.45%
• Average Volume (3M): 17.41M
• Price to Earnings (P/E): 31.6
• Beta (1Y): 1.59
• Revenue Growth: 5.70%
• EPS Growth: -0.52%
• Country: US
• Employees: 28,500
• Sector: Basic Materials
• Sector Strength: 56
• Industry: Copper
• EPS (TTM): 0.54
• Shares Outstanding: 1,435,774,200
• 10 Day Avg. Volume: 10,802,428
• 30 Day Avg. Volume: 17,410,319
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.32
• Enterprise Value/Revenue: 3.07
• Enterprise Value/Gross Profit: 10.77
• Enterprise Value/Ebitda: 8.35
• 1Y Price Target: $51.42
• Price Target Upside: 24.47% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 14

• Rating: 74 Outperform
• Price Target: $44.00 ▲(6.51% Upside)

Freeport-McMoRan's strong financial performance and positive earnings call are the main drivers of its stock score. The company's robust margins, low leverage, and strategic growth initiatives are significant strengths. However, technical indicators suggest caution in the short term, and the valuation indicates the stock is not cheap. Overall, Freeport-McMoRan is well-positioned for future growth, but investors should monitor revenue fluctuations and broader market conditions.

Positive Factors

Operational Performance

Freeport-McMoRan reported Q2’25 adjusted EBITDA that was much better than BofAe and consensus forecasts.

Pricing Power

FCX will have room to increase pricing on its negotiated annual contracts and the current share price does not reflect Freeport's ability to realize premium pricing on a portion of its North America volumes.

Tariff Protections

FCX should benefit from tariff protections in the US given a majority of its North America sales are in the form of copper rod.

Negative Factors

Copper Market Conditions

Copper markets are tricky with prices distorted by US stockpiling ahead of Section 232, leading to expected post-Section 232 weakness.

Cost Increases

FCX expects 5% higher cost of goods in the U.S. due to supplier pass-through of tariffs.

Sales Guidance

FCX reduced its 2025 sales guidance to 3.95 billion pounds of copper, 1.3 million ounces of gold, and 82Mb of molybdenum from prior 2025 guidance.

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

Freeport-McMoRan generates revenue primarily through the sale of copper, gold, and molybdenum. The company’s key revenue streams include the production and sale of copper concentrate and cathode, gold bullion, and molybdenum products. Copper sales account for the largest portion of its revenue, driven by demand from construction, electrical, and manufacturing industries. Additionally, gold sales contribute significantly, especially during periods of high gold prices. The company also benefits from cost management strategies and operational efficiencies to enhance profitability. Partnerships with local governments and stakeholders in regions where it operates, such as Indonesia and the Americas, provide strategic advantages and support FCX's long-term growth. Market conditions, including commodity prices and global demand, greatly influence its earnings.

Freeport-McMoRan Financial Statement Overview

Summary

Freeport-McMoRan's financial statements reflect strong profitability with impressive margins, low leverage, and robust cash flow. The balance sheet shows financial stability, although revenue growth has been somewhat volatile, indicating a potential area for concern. Overall, the company demonstrates financial resilience and operational efficiency within the copper industry.

Income Statement

Freeport-McMoRan's income statement shows strong profitability with a healthy gross profit margin of 27.97% and a robust net profit margin of 46.61% for the TTM period. The company demonstrates solid EBIT and EBITDA margins of 55.29% and 76.61% respectively, indicating efficient operations. However, revenue growth has been volatile, with recent TTM revenue slightly lower than the previous annual figures, suggesting potential challenges in maintaining consistent top-line growth.

Balance Sheet

The balance sheet reveals a strong equity position with a low debt-to-equity ratio of 0.02, indicating minimal leverage and financial risk. The return on equity is impressive at 32.03%, reflecting effective use of shareholder funds. Additionally, the equity ratio stands at 32.24%, showcasing a balanced capital structure with a substantial equity base. Overall, the balance sheet exhibits financial stability and resilience.

Cash Flow

Cash flow analysis shows a healthy operating cash flow to net income ratio of 1.13, indicating robust cash generation relative to profits. The free cash flow growth rate is significant at 75.29% for the TTM period, reflecting improved cash efficiency. Furthermore, the free cash flow to net income ratio of 0.71 highlights strong cash conversion from earnings. These metrics underscore the company's ability to generate cash and invest in growth opportunities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.70B	25.14B	22.71B	23.33B	22.36B	13.87B
Gross Profit	7.32B	7.19B	6.88B	8.09B	8.29B	2.41B
EBITDA	9.45B	9.47B	8.59B	9.29B	10.26B	3.92B
Net Income	1.91B	1.88B	1.84B	3.46B	4.30B	596.00M
Balance Sheet
Total Assets	56.49B	54.85B	52.51B	51.09B	48.02B	42.14B
Cash, Cash Equivalents and Short-Term Investments	4.72B	3.92B	4.76B	8.15B	8.07B	3.66B
Total Debt	9.25B	9.74B	9.85B	10.95B	9.77B	9.94B
Total Liabilities	26.50B	26.07B	25.20B	26.22B	25.00B	23.48B
Stockholders Equity	18.21B	17.58B	16.69B	15.55B	13.98B	10.17B
Cash Flow
Free Cash Flow	4.12B	2.35B	455.00M	1.67B	5.60B	1.06B
Operating Cash Flow	6.56B	7.16B	5.28B	5.14B	7.71B	3.02B
Investing Cash Flow	-5.08B	-5.03B	-4.96B	-3.44B	-1.96B	-1.26B
Financing Cash Flow	-3.06B	-3.28B	-2.65B	-1.62B	-1.34B	-128.00M

Freeport-McMoRan Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 41.31
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FCX, the sentiment is Negative. The current price of 41.31 is below the 20-day moving average (MA) of 41.72, below the 50-day MA of 42.85, and above the 200-day MA of 39.78, indicating a neutral trend. The MACD of -0.37 indicates Negative momentum. The RSI at 44.85 is Neutral, neither overbought nor oversold. The STOCH value of 38.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FCX.

Freeport-McMoRan Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NEM	79 Outperform	$75.79B	12.39	20.26%	1.45%	39.02%	―
RIO	75 Outperform	$102.28B	9.50	18.18%	6.15%	0.03%	-3.78%
FCX	74 Outperform	$59.94B	31.62	10.70%	1.45%	5.70%	-0.52%
VALE	74 Outperform	$41.29B	8.15	13.49%	8.26%	-12.89%	-46.86%
SCCO	70 Outperform	$77.87B	21.54	39.07%	3.06%	13.01%	31.25%
MT	69 Neutral	$27.86B	10.46	4.72%	1.40%	-4.36%	―
Sector *	61 Neutral	$10.03B	6.44	0.67%	3.02%	2.97%	-45.32%

Freeport-McMoRan Corporate Events

Freeport-McMoRan Reports Strong Q2 2025 Financial Results

In the second quarter of 2025, Freeport-McMoRan reported strong financial performance with net income attributable to common stock totaling $772 million. The company exceeded its sales guidance for copper and gold, benefiting from favorable pricing. Significant milestones included the startup of a new copper smelter in Indonesia and advancements in copper leaching initiatives. Freeport-McMoRan maintained a strong financial position with operating cash flows of $2.2 billion and capital expenditures of $1.3 billion, reinforcing its commitment to growth and efficiency.

The most recent analyst rating on (FCX) stock is a Hold with a $58.00 price target. To see the full list of analyst forecasts on Freeport-McMoRan stock, see the FCX Stock Forecast page.

Freeport-McMoRan Approves 2025 Stock Incentive Plan

At the 2025 Annual Meeting of Freeport-McMoRan Inc. held on June 11, 2025, stockholders approved the 2025 Stock Incentive Plan, which replaces the 2016 Plan and authorizes the issuance of up to 43,820,000 shares of common stock. The meeting also saw the election of twelve directors, approval of executive compensation, and ratification of Ernst & Young LLP as the independent accounting firm for 2025. The Plan’s approval is expected to impact the company’s operations by providing a new framework for stock-based compensation, potentially influencing employee incentives and aligning interests with stakeholders.

The most recent analyst rating on (FCX) stock is a Hold with a $58.00 price target. To see the full list of analyst forecasts on Freeport-McMoRan stock, see the FCX Stock Forecast page.