Freeport-McMoRan (FCX)

Materials · $86.7B market cap · SEC CIK 0000831259

Next reports on Jan 20, 2027, after the close, with analysts expecting $1.07 in earnings per share.

52-week range $38.75 to $80.24. 25% below its 52-week high and 56% above its low.

The case for FCX

• Has compounded revenue at 12.8% a year over five years.
• Return on equity of 15%.
• Current assets cover the near-term bills 2.0 times over.
• Up 56.6% over the past year.

The case against

• Pricey for its growth: 28.5× mid-cycle earnings, where 8%+ a year of growth plus a 0.8% dividend would justify about 21×.
• Revenue was flat on the year (+0.2%).
• Only 27% of FY2025's $4.2B profit arrived as free cash.
• Free cash flow is only 1.3% of its market value, a thin cash return for the price.

What the score is made of

Each factor is half a curve over reported figures and half a rank among the other Materials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.

• Its profits follow commodity prices, so its earnings and margin are read as half the latest year and half the average of the years on file (5), and last year's change in earnings per share is not counted as growth.
• Each factor except momentum is half fixed thresholds, half rank among the 26 Materials companies.

The financials

The financials, five years deep

Pulled from Freeport-McMoRan's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.

Risk factors FCX lists in its 10-K

• Our debt and other financial commitments may limit our financial and operating flexibility
• Changes in or the failure to comply with the requirements of mine closure and reclamation regulations could have a material adverse effect on our business
• Unanticipated legal proceedings or negative developments in pending legal proceedings or other contingencies could have a material adverse effect on our financial condition
• Changes in and interpretations of tax laws and regulations could have a material adverse effect on our financial condition
• Our operations are subject to evolving geopolitical, economic, regulatory and social risks
• Because our operations in Indonesia are material to our business, our business may be adversely affected by political, economic, regulatory and social uncertainties in Indonesia
• Our operations are subject to significant operational risks that could adversely affect our business, including the ability to smelt and refine, and our underground mining operations have higher risks than a surface mine
• Our management of waste rock and tailings are subject to significant environmental, safety and engineering challenges and risks that could adversely affect our business
• Our Indonesia mining operations are susceptible to difficult and costly environmental challenges, and future changes in Indonesia environmental laws could increase our costs
• Violence, civil and religious strife, and activism could result in loss of life and disrupt our operations
• Our operations, including future expansions or developments, depend on the availability of secure water supplies
• Our information and operational technology systems have been and in the future may be adversely affected by cybersecurity events, disruptions, damage, failure and risks associated with implementation and integration
• Failure to successfully implement, advance or develop new technology systems and increased exposure to risks associated with the use of these systems may adversely affect our business
• Major public health crises may have an adverse impact on our business
• Labor disputes or labor unrest could disrupt our operations
• Our success depends on our ability to recruit, retain, develop and advance qualified personnel
• Development projects are inherently risky and may require more capital and have lower economic returns than anticipated, and the development of our underground mines are also subject to other unique risks
• We may not be able to maintain or grow our mineral reserves
• Estimates of mineral reserves and mineral resources are uncertain and the volume and grade of ore actually recovered may vary from our estimates
• We incur significant costs for remediating environmental conditions on or related to properties in the U.S. that have not been operated in many years
• The physical impacts of changing climate conditions may adversely affect our mining operations, workforce, communities, biodiversity and ecosystems, supply chains and customers, which may result in increased costs
• Failure or the perceived failure to manage our relationships with the communities and/or Indigenous Peoples where we operate or that are near our operations could harm our reputation and social license to operate
• Our holding company structure may impact our ability to service our debt, declare dividends, and repurchase shares and debt
• Anti-takeover provisions in our charter documents and Delaware law may make an acquisition of us more difficult

Filings

Other Materials companies