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Southern Copper (SCCO) closed the most recent trading day at $96.74, moving -0.67% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.39%. Meanwhile, the Dow lost 0.61%, and the Nasdaq, a tech-heavy index, lost 0.32%.
Shares of the miner witnessed a loss of 4.36% over the previous month, trailing the performance of the Basic Materials sector with its loss of 2.52% and the S&P 500's gain of 3.6%.
Investors will be eagerly watching for the performance of Southern Copper in its upcoming earnings disclosure. On that day, Southern Copper is projected to report earnings of $1.06 per share, which would represent year-over-year growth of 85.96%. Meanwhile, the latest consensus estimate predicts the revenue to be $2.85 billion, indicating a 24.24% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $4.45 per share and a revenue of $11.79 billion, demonstrating changes of +43.09% and +19.11%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates for Southern Copper. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.71% lower. Southern Copper is currently a Zacks Rank #3 (Hold).
Looking at valuation, Southern Copper is presently trading at a Forward P/E ratio of 21.9. This signifies no noticeable deviation in comparison to the average Forward P/E of 21.9 for its industry.
It's also important to note that SCCO currently trades at a PEG ratio of 1.52. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Mining - Non Ferrous industry stood at 0.96 at the close of the market yesterday.