Published: Thu, October 26, 2017
World | By Paul Elliott

Featured Stock Overview: Freeport-McMoRan Inc. (FCX)


(NYSE:FCX) is performing, let's look at some of the company's recent insider trading activity. Realized copper price played a key role in Freeport-McMoRan's success in the third quarter, rising from $2.65 per pound in the second quarter to $2.94 per pound in the third quarter. FCX share have rallied by 15.47% in percentage terms since the start of the year - and added 9.65% in the last month.

After initial gains, Freeport quickly turned lower losing as much 4.9% by mid day in heavy trade of more than 18m shares. (FCX) most recent 13F filing, the company has 68 new institutional holders - accounting for 20.11 million shares of its common stock. The share price was last seen 0.02% higher, reaching at $154.63 on October 20, 2017. Geode Capital Management LLC raised its holdings in shares of Freeport-McMoran by 14.7% during the 1st quarter. Currently, 1.45 billion total shares are owned by the public and among those 1.44 billion shares have been available to trade. Analysts have a mean recommendation of 2.90 on this stock.

The lack of certainty regarding Indonesia is constantly weighing on Freeport-McMoRan's share price. Macquarie initiated coverage on Freeport-McMoran in a report on Thursday, September 7th. Shareholders can make better decisions if they focus on target prices, which convey more information for evaluating the potential risk/reward profile of a stock. BidaskClub raised Freeport-McMoran from a "strong sell" rating to a "sell" rating in a report on Tuesday, June 27th. Overall, the share price is up 12.43% so far this year. Of those analysts, 5 rate stock as a Strong Buy, 6 rate it as Hold, and just 1 analyst rates it as a Moderate Sell. Analysts believe that we could see stock price minimum in the $7.2 range (lowest target price), allowing for another -51.45% drop from its current position.

Freeport has been mining at Grasberg since the early 1970s and now owns just over 90% of the local subsidiary PT-FI operating the mine. "(FCX)" was first reported by Week Herald and is the sole property of of Week Herald. The legal version of this news story can be accessed at https://weekherald.com/2017/10/25/wfg-advisors-lp-trims-stake-in-freeport-mcmoran-inc-fcx.html. Of those transactions, there were 837,543 shares of FCX bought and 504,370 shares sold. Following the acquisition, the chief operating officer now directly owns 73,943 shares in the company, valued at $1,126,151.89. (NYSE:VOYA) shares can stay above the price resistance around $41.28 a share, that could help propel Voya Financial, Inc. In this situation, a situation when Freeport's price is close to $14 should be seen as a buying opportunity. The company had a trading volume of 21,914,020 shares. FCX price is down almost -12.02% from its 52-week high price of $17.06 a share but is up about 32.17% from its 52-week low price of $10.33 a share. During the earnings call, the company commented that the price of the divestment should include the value of Freeport's efforts in exploration and development of Grasberg reserves, but it's still uncertain whether the Indonesian government will fully accept this position. (NYSE:FCX) are $14.44 and $13.25. One can easily perform a fundamental analysis by having an eye on data from sources counting financial records, economic reports, company assets and market share. Freeport-McMoran had a return on equity of 10.45% and a net margin of 5.97%.

Freeport maintained its 2017 sales forecast of 3.7 billion pounds of copper and 1.6 million ounces of gold, after twice lowering it earlier this year.

On a similar note, analysts expect EPS of $1.07 in September 2017 quarter and $1.42 in December 2017 quarter, representing -37.79% and 10.94% growth, respectively. The company's quarterly revenue was up 11.2% on a year-over-year basis.

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