JPMorgan Chase & Co. Issues Pessimistic Forecast for Freeport-McMoRan (NYSE:FCX) Stock Price

Key Points

• JPMorgan lowered Freeport-McMoRan’s price target from $92 to $90 while maintaining an “overweight” rating, implying roughly 35% upside from the prior close.
• Analyst sentiment remains broadly positive: FCX has a “Moderate Buy” consensus rating and an average price target of $75.82, with several firms recently raising their targets.
• Freeport-McMoRan exceeded third-quarter earnings and revenue expectations, but declining Indonesian production, higher costs and weaker gold sales remain operational risks that could pressure margins.

Freeport-McMoRan (NYSE:FCX - Get Free Report) had its price target decreased by investment analysts at JPMorgan Chase & Co. from $92.00 to $90.00 in a note issued to investors on Wednesday, Benzinga reports. The firm presently has an "overweight" rating on the natural resource company's stock. JPMorgan Chase & Co.'s price objective suggests a potential upside of 35.28% from the company's previous close.

A number of other equities research analysts have also recently commented on the company. Citigroup lifted their target price on Freeport-McMoRan from $66.00 to $84.00 and gave the stock a "buy" rating in a research note on Monday, October 5th. Bank of America raised their price objective on shares of Freeport-McMoRan from $74.00 to $80.00 and gave the stock a "buy" rating in a report on Thursday, July 9th. Royal Bank Of Canada raised their price objective on shares of Freeport-McMoRan from $73.00 to $85.00 and gave the stock a "sector perform" rating in a report on Wednesday, September 16th. Morgan Stanley lifted their price objective on shares of Freeport-McMoRan from $70.00 to $75.00 and gave the stock an "equal weight" rating in a research report on Wednesday, October 7th. Finally, Freedom Broker lowered shares of Freeport-McMoRan from a "strong-buy" rating to a "hold" rating in a research note on Thursday, September 3rd. One equities research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and four have given a Hold rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $75.82.

Freeport-McMoRan Stock Performance

Shares of Freeport-McMoRan stock traded up $0.58 during mid-day trading on Wednesday, hitting $66.53. 6,001,893 shares of the stock were exchanged, compared to its average volume of 15,903,192. Freeport-McMoRan has a 12 month low of $38.54 and a 12 month high of $80.24. The company has a 50-day simple moving average of $71.82 and a 200 day simple moving average of $65.11. 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 company has a market capitalization of $95.53 billion, a P/E ratio of 32.65, a P/E/G ratio of 0.58 and a beta of 1.39.

Freeport-McMoRan (NYSE:FCX - Get Free Report) last issued its quarterly earnings results on Tuesday, October 27th. The natural resource company reported $0.88 EPS for the quarter, beating analysts' consensus estimates of $0.82 by $0.06. The company had revenue of $7.55 billion during the quarter, compared to the consensus estimate of $7.36 billion. Freeport-McMoRan had a return on equity of 10.63% and a net margin of 11.39%. Freeport-McMoRan's revenue was up 8.2% on a year-over-year basis. During the same period last year, the business posted $0.50 earnings per share. Sell-side analysts anticipate that Freeport-McMoRan will post 3.05 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CAO Ellie Mikes sold 4,773 shares of the firm's stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $70.00, for a total value of $334,110.00. Following the completion of the transaction, the chief accounting officer directly owned 36,000 shares in the company, valued at approximately $2,520,000. This trade represents a 11.71% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Stephen Higgins sold 14,277 shares of the company's stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $69.50, for a total transaction of $992,251.50. Following the sale, the chief accounting officer directly owned 54,618 shares in the company, valued at $3,795,951. This trade represents a 20.72% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 110,398 shares of company stock valued at $8,387,271. Corporate insiders own 0.73% of the company's stock.

Hedge Funds Weigh In On Freeport-McMoRan

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Jupiter Topco LLC bought a new position in shares of Freeport-McMoRan in the second quarter worth approximately $739,890,000. Bank of America Corp DE lifted its position in Freeport-McMoRan by 20.0% during the first quarter. Bank of America Corp DE now owns 42,345,502 shares of the natural resource company's stock valued at $2,489,069,000 after purchasing an additional 7,044,775 shares during the last quarter. Janus Henderson Group PLC lifted its position in Freeport-McMoRan by 101.2% during the first quarter. Janus Henderson Group PLC now owns 11,498,267 shares of the natural resource company's stock valued at $675,896,000 after purchasing an additional 5,784,156 shares during the last quarter. Assenagon Asset Management S.A. lifted its position in Freeport-McMoRan by 84.9% during the third quarter. Assenagon Asset Management S.A. now owns 5,448,772 shares of the natural resource company's stock valued at $381,414,000 after purchasing an additional 2,501,881 shares during the last quarter. Finally, State Street Corp grew its stake in Freeport-McMoRan by 3.6% in the 2nd quarter. State Street Corp now owns 66,485,424 shares of the natural resource company's stock worth $4,181,268,000 after buying an additional 2,300,416 shares in the last quarter. 80.77% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Freeport-McMoRan

Here are the key news stories impacting Freeport-McMoRan this week:

• Positive Sentiment: FCX reported third-quarter adjusted EPS of $0.88, above the $0.82 consensus, while revenue rose 8.2% year over year to $7.55 billion, exceeding estimates of $7.36 billion. Net income increased to approximately $1.2 billion from $674 million a year earlier as stronger copper and molybdenum prices offset weaker sales volumes. Freeport McMoRan Q3 revenue rises as copper prices boost earnings
• Positive Sentiment: Management outlined an ambitious growth plan targeting copper sales above 4 billion pounds by 2028. The Grasberg recovery, leaching technology and planned expansions could increase production and strengthen long-term exposure to tight copper supplies driven by data centers, electrification and infrastructure demand. FCX Q3 Earnings Call Highlights Grasberg Recovery and Growth Plans
• Positive Sentiment: Goldman Sachs raised its FCX price target to $83 from $81, signaling continued confidence in the company’s earnings and copper-price potential. Goldman Sachs Adjusts Price Target on Freeport-McMoRan
• Neutral Sentiment: Wells Fargo lowered its price target to $79 from $87 but retained an Overweight rating. The revision reflects a more cautious valuation view while still implying meaningful upside based on the reported price. Wells Fargo FCX price-target update
• Positive Sentiment: FCX is evaluating higher molybdenum production at its Colorado mine, which could provide an additional earnings contribution if expanded output is approved. Freeport-McMoRan weighs boosting molybdenum supply
• Negative Sentiment: Operational concerns remain: Indonesian production and sales volumes declined, costs increased, and gold sales fell sharply. These issues could pressure margins if copper and molybdenum prices weaken. A strong dollar and higher interest rates are also broader headwinds for mining stocks.

Freeport-McMoRan Company Profile

Freeport-McMoRan Inc NYSE: FCX is a global mining company primarily engaged in the exploration, development, and production of copper. Copper is used extensively in electrical wiring, construction, transportation, renewable energy systems, and other industrial applications. The company also produces gold and molybdenum, a metal used in steelmaking and other industrial processes, as well as certain other byproducts.

Freeport-McMoRan operates a portfolio of mining and processing assets in North America, South America, and Indonesia.

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