Yahoo Finance Southern Copper (SCCO) Gains But Lags Market: What You Should Know
In the latest trading session, Southern Copper (SCCO) closed at $76.25, marking a +0.63% move from the previous day. This change lagged the S&P 500's 1.44% gain on the day. At the same time, the Dow added 1.26%, and the tech-heavy Nasdaq gained 5.21%.
Prior to today's trading, shares of the miner had gained 0.7% over the past month. This has outpaced the Basic Materials sector's gain of 0.43% and lagged the S&P 500's gain of 2.28% in that time.
Southern Copper will be looking to display strength as it nears its next earnings release. In that report, analysts expect Southern Copper to post earnings of $0.92 per share. This would mark a year-over-year decline of 9.8%. Meanwhile, our latest consensus estimate is calling for revenue of $2.61 billion, down 5.53% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.38 per share and revenue of $9.47 billion. These totals would mark changes of -0.88% and -5.78%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Southern Copper. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.39% lower within the past month. Southern Copper currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Southern Copper currently has a Forward P/E ratio of 22.4. This represents a premium compared to its industry's average Forward P/E of 16.48.
It is also worth noting that SCCO currently has a PEG ratio of 4.1. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Mining - Non Ferrous industry currently had an average PEG ratio of 4.1 as of yesterday's close.
The Mining - Non Ferrous industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 174, putting it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow SCCO in the coming trading sessions, be sure to utilize Zacks.com.
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Southern Copper Corporation (SCCO) : Free Stock Analysis Report
