Hsbc Holdings PLC Increases Stock Position in Southern Copper Corporation $SCCO

Key Points

• Hsbc Holdings increased its Southern Copper position by 41.5% in the second quarter, purchasing 75,146 additional shares for a total of 256,077 shares valued at approximately $44.5 million. Institutional investors collectively own 7.94% of the company.
• Southern Copper reported quarterly EPS of $1.99, exceeding estimates of $1.93, while revenue rose 40.6% year over year to $4.29 billion, slightly below expectations.
• The company raised its quarterly dividend to $1.10 per share, equivalent to $4.40 annually and a 2.2% yield. Despite the dividend increase, analysts maintain a consensus “Reduce” rating with an average price target of $146.84, below the stock’s reported $198.17 price.

Hsbc Holdings PLC lifted its position in shares of Southern Copper Corporation (NYSE:SCCO - Free Report) by 41.5% in the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 256,077 shares of the basic materials company's stock after buying an additional 75,146 shares during the period. Hsbc Holdings PLC's holdings in Southern Copper were worth $44,484,000 as of its most recent SEC filing.

Other large investors have also made changes to their positions in the company. Intech Investment Management LLC grew its holdings in shares of Southern Copper by 0.8% during the 4th quarter. Intech Investment Management LLC now owns 6,030 shares of the basic materials company's stock worth $865,000 after purchasing an additional 50 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al raised its stake in shares of Southern Copper by 0.8% in the fourth quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 6,072 shares of the basic materials company's stock valued at $871,000 after purchasing an additional 51 shares in the last quarter. Steel Grove Capital Advisors LLC raised its stake in shares of Southern Copper by 1.8% in the fourth quarter. Steel Grove Capital Advisors LLC now owns 2,910 shares of the basic materials company's stock valued at $417,000 after purchasing an additional 52 shares in the last quarter. Ensign Peak Advisors Inc raised its stake in shares of Southern Copper by 0.8% in the fourth quarter. Ensign Peak Advisors Inc now owns 6,379 shares of the basic materials company's stock valued at $915,000 after purchasing an additional 53 shares in the last quarter. Finally, Venture Visionary Partners LLC lifted its position in Southern Copper by 0.8% in the fourth quarter. Venture Visionary Partners LLC now owns 6,998 shares of the basic materials company's stock worth $1,004,000 after purchasing an additional 53 shares during the period. 7.94% of the stock is owned by hedge funds and other institutional investors.

Southern Copper Price Performance

Shares of Southern Copper stock opened at $198.17 on Tuesday. The stock has a market capitalization of $165.34 billion, a price-to-earnings ratio of 28.97, a P/E/G ratio of 1.83 and a beta of 1.14. The firm's 50-day moving average price is $188.08 and its two-hundred day moving average price is $184.04. The company has a current ratio of 5.06, a quick ratio of 4.56 and a debt-to-equity ratio of 0.63. Southern Copper Corporation has a 1-year low of $99.87 and a 1-year high of $223.88.

Southern Copper (NYSE:SCCO - Get Free Report) last posted its earnings results on Wednesday, July 22nd. The basic materials company reported $1.99 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.93 by $0.06. The company had revenue of $4.29 billion during the quarter, compared to analysts' expectations of $4.37 billion. Southern Copper had a net margin of 35.87% and a return on equity of 49.04%. The business's revenue for the quarter was up 40.6% compared to the same quarter last year. On average, equities analysts predict that Southern Copper Corporation will post 7.59 earnings per share for the current fiscal year.

Southern Copper Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, August 27th. Shareholders of record on Tuesday, August 11th were given a $1.10 dividend. This represents a $4.40 annualized dividend and a yield of 2.2%. The ex-dividend date was Tuesday, August 11th. This is a positive change from Southern Copper's previous quarterly dividend of $1.00. Southern Copper's dividend payout ratio is presently 64.33%.

Insider Transactions at Southern Copper

In other Southern Copper news, Director Luis Palomino Bonilla sold 202 shares of the business's stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $196.79, for a total value of $39,751.28. Following the transaction, the director owned 1,723 shares of the company's stock, valued at approximately $339,066.65. The trade was a 10.49% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. In the last ninety days, insiders sold 404 shares of company stock valued at $77,077. Insiders own 0.07% of the company's stock.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on SCCO. Weiss Ratings upgraded shares of Southern Copper from a "buy (b-)" rating to a "buy (b)" rating in a research note on Tuesday, July 28th. JPMorgan Chase & Co. increased their price objective on shares of Southern Copper from $125.49 to $129.94 and gave the company an "underweight" rating in a research note on Wednesday, June 17th. UBS Group reaffirmed a "sell" rating and set a $158.10 price objective (up from $143.28) on shares of Southern Copper in a report on Tuesday, June 30th. Morgan Stanley lifted their target price on shares of Southern Copper from $144.27 to $156.13 and gave the company an "underweight" rating in a research report on Wednesday, July 8th. Finally, CICC Research cut shares of Southern Copper to a "market perform" rating in a research note on Sunday, July 26th. Three equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and seven have assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Reduce" and an average price target of $146.84.

About Southern Copper

Southern Copper Corporation NYSE: SCCO is a large, integrated copper producer whose operations span the full value chain from exploration and mining to smelting, refining and the sale of copper and other metal products. The company produces a range of copper products including copper concentrate and refined cathodes, and recovers valuable byproducts such as molybdenum, silver and zinc. Southern Copper concentrates on high-volume, long-life assets designed to support steady production and processing capabilities.

Southern Copper's operations are concentrated in Peru and Mexico, where it owns and operates multiple large-scale mining and processing facilities.

Want to see what other hedge funds are holding SCCO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Southern Copper Corporation (NYSE:SCCO - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.