Southern Copper (NYSE:SCCO) Shares to Split on Tuesday, November 3rd

Key Points

• Southern Copper will execute a 1.0106-for-1 stock split on Tuesday, November 3, with new shares issued after the November 2 close. The stock recently traded at $197.74, down 2.3%.
• The company exceeded third-quarter expectations, reporting $2.15 in EPS and $4.70 billion in revenue. It also raised its quarterly dividend to $1.30 per share, implying a 2.6% yield.
• Despite strong earnings and copper-growth prospects, analysts remain cautious: Southern Copper has a consensus “Reduce” rating, an average price target of $160.95, and concerns over its valuation and project delays.

Shares of Southern Copper Corporation (NYSE:SCCO - Free Report) are going to split on Tuesday, November 3rd. The 1.0106-1 split was recently announced. The newly created shares will be issued to shareholders after the closing bell on Monday, November 2nd.

Southern Copper Stock Down 2.3%

SCCO opened at $197.74 on Thursday. Southern Copper has a fifty-two week low of $119.25 and a fifty-two week high of $223.88. The company has a debt-to-equity ratio of 0.63, a quick ratio of 4.56 and a current ratio of 5.06. The company has a market capitalization of $164.98 billion, a P/E ratio of 29.58, a P/E/G ratio of 1.78 and a beta of 1.11. The stock has a fifty day moving average of $201.58 and a 200-day moving average of $188.11.

Southern Copper (NYSE:SCCO - Get Free Report) last issued its quarterly earnings data on Wednesday, October 21st. The basic materials company reported $2.15 earnings per share for the quarter, topping the consensus estimate of $2.02 by $0.13. Southern Copper had a net margin of 35.87% and a return on equity of 49.04%. The business had revenue of $4.70 billion during the quarter, compared to analysts' expectations of $4.49 billion. On average, equities analysts expect that Southern Copper will post 7.92 EPS for the current year.

Southern Copper Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Investors of record on Tuesday, November 3rd will be given a dividend of $1.30 per share. This is a positive change from Southern Copper's previous quarterly dividend of $1.10. This represents a $5.20 annualized dividend and a yield of 2.6%. The ex-dividend date of this dividend is Tuesday, November 3rd. Southern Copper's dividend payout ratio (DPR) is currently 64.33%.

Southern Copper News Summary

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

• Positive Sentiment: Results substantially exceeded expectations. Third-quarter earnings were $2.15 per share versus estimates of approximately $2.00–$2.04, while revenue reached a record $4.70 billion, up 39.1% year over year. Net income rose 62.7% to $1.80 billion, supported by higher metal prices. Southern Copper Beats Q3 Earnings and Revenue Estimates
• Positive Sentiment: Cash generation and shareholder returns improved. Operating cash flow increased 42.6% to $2.22 billion. The board approved a $1.30 quarterly cash dividend and a 1.06% stock dividend, payable November 19, 2026. Southern Copper Posts Record Third-Quarter Sales
• Positive Sentiment: Long-term copper growth remains a catalyst. Coverage highlighted Southern Copper’s plans to reach one million tonnes of annual production, while the ongoing copper bull market could support revenue and earnings if prices remain elevated. Southern Copper Sets Its Sights on One Million Tonnes of Annual Output
• Neutral Sentiment: Production was mixed. Third-quarter copper output declined 1.1% to 232,396 tonnes, although capital investment increased 47.7% to $515.8 million, indicating continued spending on expansion.
• Negative Sentiment: Valuation and execution risks are weighing on sentiment. Bank of America maintained a Sell rating, citing SCCO’s rich valuation and delays to development projects, with a $203 price target. Southern Copper Record Results but Valuation and Project Delays Drive Sell Rating
• Negative Sentiment: Some targets imply downside. JPMorgan raised its target to $154, still substantially below recent trading levels, reinforcing concerns that strong earnings may already be priced in. JPMorgan Raises Southern Copper Price Target

Analysts Set New Price Targets

A number of brokerages have issued reports on SCCO. Weiss Ratings upgraded shares of Southern Copper from a "buy (b)" rating to a "buy (b+)" rating in a research note on Thursday, October 8th. UBS Group restated a "sell" rating and issued a $180.00 target price (up from $160.00) on shares of Southern Copper in a research report on Thursday, October 8th. Zacks Research cut shares of Southern Copper from a "strong-buy" rating to a "hold" rating in a research report on Friday, August 7th. Wall Street Zen raised shares of Southern Copper from a "hold" rating to a "buy" rating in a report on Saturday, October 10th. Finally, Citigroup reiterated a "positive" rating on shares of Southern Copper in a research report on Wednesday, July 15th. Two equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and seven have assigned a Sell rating to the company's stock. According to data from MarketBeat, Southern Copper currently has a consensus rating of "Reduce" and an average target price of $160.95.

Insider Transactions at Southern Copper

In other Southern Copper news, Director Luis Palomino Bonilla sold 202 shares of Southern Copper stock in a transaction dated 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 in the company, valued at $339,066.65. The trade was a 10.49% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Insiders sold a total of 704 shares of company stock valued at $138,077 in the last quarter. Insiders own 0.07% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. BlackRock Inc. bought a new stake in shares of Southern Copper during the 2nd quarter valued at approximately $1,729,500,000. Bank of America Corp DE acquired a new stake in Southern Copper in the second quarter valued at approximately $318,448,000. Legal & General Group Plc acquired a new stake in Southern Copper in the second quarter valued at approximately $149,739,000. Healthcare of Ontario Pension Plan Trust Fund acquired a new stake in Southern Copper in the first quarter valued at approximately $85,342,000. Finally, Deutsche Bank AG bought a new stake in shares of Southern Copper during the second quarter worth $85,770,000. Institutional investors own 7.94% of the company's stock.

Southern Copper Company Profile

Southern Copper Corporation NYSE: SCCO is a mining and metals company engaged primarily in the exploration, development, extraction, processing and production of copper. The company also produces molybdenum, zinc, silver and lead, along with related byproducts. Its operations include open-pit mines, underground mines, concentrators, smelters, refineries and other processing facilities.

Southern Copper operates mainly in Peru and Mexico. Its Peruvian assets include the Toquepala and Cuajone copper mines, while its Mexican operations include the Buenavista del Cobre and La Caridad mines, as well as associated processing and infrastructure facilities.

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