Freeport-McMoRan Faces Stock Struggles Amid Variable Market Conditions
Overview of Freeport-McMoRan’s Operations
Freeport-McMoRan Inc. (FCX), based in Arizona, operates as a major international mining company. Its primary focus lies on the exploration and processing of copper, gold, molybdenum, and silver. With a market capitalization of $52.1 billion, the company conducts its business through subsidiaries, including PT Freeport Indonesia, Freeport-McMoRan Corporation, and Atlantic Copper.
Stock Performance in Context
Over the past year, Freeport-McMoRan’s shares have not performed as well as the broader market. The company’s stock has dropped by 8.3%, while the S&P 500 Index ($SPX) has seen a significant gain of nearly 23.3%. In 2025, the trend continued with FCX down 3.8%, while SPX managed a slight increase of 3.2% year-to-date.
Comparative Analysis with Mining ETFs
When examining further, it becomes evident that FCX has also underperformed compared to the Copper And Metals Mining ETF (ICOP). Over the last year, this ETF has gained approximately 5.4%, and its growth in 2025 stands at 2.8%.
Quarterly Earnings Report Insights
On January 23, FCX released its fourth-quarter earnings report. Following this announcement, shares dropped over 8% in the next four trading sessions. The decline stemmed from lower-than-expected production and higher projected costs. Although the company reported an earnings per share (EPS) of $0.31, exceeding analyst predictions of $0.22, its revenue of $5.72 billion fell short of the estimated $5.88 billion.
Future Earnings Expectations
For the fiscal year 2024, ending in December, analysts forecast an EPS increase of 18.2%, bringing it to $1.75 on a diluted basis. Notably, Freeport-McMoRan has beaten consensus estimates in three out of the last four quarters, but there was one occasion where it did not meet expectations.
Analyst Ratings Overview
Currently, of the 18 analysts tracking FCX, the consensus rating is “Moderate Buy.” This rating stems from eight “Strong Buy,” two “Moderate Buy,” and eight “Hold” recommendations. This outlook is not as bullish as it was a month ago, when there were ten “Strong Buy” ratings.
Analyst Price Targets and Expectations
On January 24, Scotiabank analyst Orest Wowkodaw reaffirmed a “Hold” rating on Freeport-McMoRan and set a target price of $45. The average price target among analysts is $50.23, suggesting a potential increase of 37.1% from current prices. There is also a more optimistic price target of $62, indicating an upside potential of 69.2%.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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