M&T Bank Corp Boosts Stake in Southern Copper Corporation $SCCO

Key Points

• M&T Bank Corp boosted its stake in Southern Copper by 163.8% in Q4, adding 31,411 shares to hold 50,585 shares valued at about $7.26 million.
• Southern Copper faces near-term risk from leadership uncertainty after its CEO's sudden death and elevated bearish positioning (unusual put buying), while analysts' consensus remains weak ("Reduce") with an average price target of $145.61.
• The company declared a $1.00 quarterly dividend (annualized $4.00, ~2.2% yield) and has an upcoming share split effective May 13.

M&T Bank Corp grew its position in shares of Southern Copper Corporation (NYSE:SCCO - Free Report) by 163.8% during the 4th quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 50,585 shares of the basic materials company's stock after buying an additional 31,411 shares during the quarter. M&T Bank Corp's holdings in Southern Copper were worth $7,257,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also recently modified their holdings of SCCO. Royal Bank of Canada grew its holdings in shares of Southern Copper by 42.1% in the first quarter. Royal Bank of Canada now owns 44,879 shares of the basic materials company's stock valued at $4,194,000 after acquiring an additional 13,293 shares in the last quarter. Empowered Funds LLC lifted its holdings in Southern Copper by 17.9% during the first quarter. Empowered Funds LLC now owns 6,705 shares of the basic materials company's stock worth $627,000 after acquiring an additional 1,020 shares during the period. Focus Partners Wealth boosted its position in Southern Copper by 21.5% in the first quarter. Focus Partners Wealth now owns 5,944 shares of the basic materials company's stock worth $556,000 after purchasing an additional 1,052 shares during the last quarter. First Trust Advisors LP boosted its position in Southern Copper by 37.4% in the second quarter. First Trust Advisors LP now owns 73,379 shares of the basic materials company's stock worth $7,424,000 after purchasing an additional 19,957 shares during the last quarter. Finally, Baird Financial Group Inc. grew its stake in Southern Copper by 17.7% in the 2nd quarter. Baird Financial Group Inc. now owns 4,864 shares of the basic materials company's stock valued at $492,000 after purchasing an additional 731 shares during the period. Hedge funds and other institutional investors own 7.94% of the company's stock.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on SCCO shares. Wall Street Zen raised Southern Copper from a "hold" rating to a "buy" rating in a research report on Saturday, March 21st. Bank of America lowered shares of Southern Copper from a "neutral" rating to an "underperform" rating and increased their price target for the company from $162.00 to $175.00 in a research report on Thursday, February 26th. Wells Fargo & Company set a $186.00 price objective on shares of Southern Copper and gave the stock an "equal weight" rating in a report on Wednesday, April 15th. Scotiabank reaffirmed an "underperform" rating and issued a $133.00 price objective (up from $125.00) on shares of Southern Copper in a research report on Thursday. Finally, JPMorgan Chase & Co. boosted their target price on shares of Southern Copper from $117.50 to $127.00 and gave the company an "underweight" rating in a research note on Friday, April 10th. Two analysts have rated the stock with a Buy rating, four have assigned a Hold rating and seven have given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Reduce" and a consensus price target of $145.61.

Insider Buying and Selling

In other Southern Copper news, Director Bonilla Luis Miguel Palomino sold 193 shares of the firm's stock in a transaction on Friday, March 13th. The shares were sold at an average price of $174.60, for a total value of $33,697.80. Following the completion of the transaction, the director directly owned 1,707 shares of the company's stock, valued at $298,042.20. This trade represents a 10.16% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Lerdo De Tejada Leon Contreras sold 9,326 shares of the business's stock in a transaction on Tuesday, February 3rd. The shares were sold at an average price of $209.56, for a total transaction of $1,954,344.91. Following the transaction, the director owned 605 shares of the company's stock, valued at $126,783.04. This trade represents a 93.91% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 9,526 shares of company stock worth $1,989,373 in the last ninety days. 0.07% of the stock is currently owned by insiders.

Key Stories Impacting Southern Copper

Here are the key news stories impacting Southern Copper this week:

• Positive Sentiment: Quarterly dividend announced — SCCO declared a $1.00 quarterly dividend (annualized yield ~2.2%). Record date is May 13 and payment date is May 29; that steady cash return is a supportive factor for income-minded investors.
• Neutral Sentiment: News about a different, similarly named company (Great Southern Copper PLC) raising funds via warrants — not the same issuer as SCCO, so unlikely to materially affect Southern Copper’s fundamentals. Great Southern Copper Raises Funds via Warrant Exercise and Increases Share Capital
• Negative Sentiment: Leadership uncertainty after the sudden death of the CEO — multiple outlets flag management transition risk and investor concern that the firm faces an earnings/operational test during the change, a direct driver of today’s downside pressure. Why Southern Copper (SCCO) Is Down 5.1% After Sudden CEO Death And Leadership Uncertainty Southern Copper faces earnings test amid leadership transition
• Negative Sentiment: Unusually large put-option buying — investors purchased ~10,968 put contracts (≈68% above typical put volume), signaling elevated bearish positioning or hedging activity that can amplify downward price moves.
• Negative Sentiment: Analyst sentiment is weak: SCCO’s consensus is around a "Reduce"/average reduce rating and Scotiabank’s recent note raised its price target to $133 but maintained a "sector underperform" rating (target still well below the current share price), reinforcing downside expectations. Southern Copper Corporation NYSE: SCCO Given Average Rating of "Reduce" by Analysts Scotiabank raises price target to $133 (Benzinga)
• Negative Sentiment: Critical equity research and commentary highlight valuation risk — recent pieces argue SCCO is an expensive copper exposure that cannot afford operational missteps, increasing sensitivity to the current leadership and earnings risk. Southern Copper: An Expensive Copper Story That Cannot Afford A Misstep

Southern Copper Stock Down 0.7%

Southern Copper stock opened at $180.96 on Friday. Southern Copper Corporation has a 1-year low of $86.59 and a 1-year high of $223.88. The firm has a 50 day simple moving average of $185.81 and a 200 day simple moving average of $163.46. The company has a current ratio of 3.89, a quick ratio of 3.40 and a debt-to-equity ratio of 0.61. The firm has a market capitalization of $148.22 billion, a price-to-earnings ratio of 34.01, a P/E/G ratio of 1.83 and a beta of 1.16.

Shares of Southern Copper are going to split on the morning of Wednesday, May 13th. The 1.01-1 split was recently announced. The newly created shares will be payable to shareholders after the market closes on Tuesday, May 12th.

Southern Copper (NYSE:SCCO - Get Free Report) last posted its earnings results on Wednesday, January 28th. The basic materials company reported $1.55 earnings per share for the quarter, beating analysts' consensus estimates of $1.54 by $0.01. Southern Copper had a return on equity of 41.97% and a net margin of 32.30%.The business had revenue of $3.87 billion during the quarter, compared to analyst estimates of $3.73 billion. During the same quarter in the previous year, the firm earned $0.98 EPS. On average, analysts predict that Southern Copper Corporation will post 6.79 earnings per share for the current year.

Southern Copper Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 29th. Investors of record on Wednesday, May 13th will be paid a dividend of $1.00 per share. The ex-dividend date of this dividend is Wednesday, May 13th. This represents a $4.00 annualized dividend and a yield of 2.2%. Southern Copper's payout ratio is currently 75.19%.

Southern Copper Profile

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.

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