- FCX Stock has broken down below the symmetric triangle.
- Freeport-McMoRan Inc. share is facing huge selling from $52.00 level.
Freeport-McMoRan Inc. is also known as Freeport. It is an American metals and mining company. Freeport is world’s largest producer of Molybdenum which is a major copper producer. It also operates world’s largest gold mine which is Grasberg mine situated in Indonesia.
Freeport McMoRan Inc. was founded in 1912, the company more than 100 years old. It was founded by Eric Pierson Swenson and the current CEO of the company is Richard Adkerson. It has nearly 25.6K employees and has its headquarters in Arizona U.S.
FCX stock has a PE ratio of 24.86 which is much higher than its EPS of 1.46 USD. This indicates that the investors are willing to pay higher price for FCX stock than its earnings. The stock has a beta of 1.82 and has 1.413B shares floating in the market while 20.732M shares are closely held. Due to higher beta of FCX which is larger than one, its return also may vary more than the overall market.
The Freeport-McMoRan Inc. makes highest income from mining in Indonesia and then from Rod & Refining. Its highest chunk of revenue comes from United states resulting in 32% share of the revenue.
FCX stock yielded a dividend of 0.79% per share in the year 2022. It paid a total dividend of $0.30 in the year 2022 following a payout ratio of 12.58%. The average trading volume of the FCX stock in the last three months is 10.006M and the gross margin is 27.98%.
Freeport-McMoRan Inc. Stock Performance Analysis
The FCX’s revenue has shown growth for the last three years despite the company has not performed good enough in the recent quarter. The reported revenue of the company for the year 2022 is $23.33B resulting in a net income of 14.83%. This is $3.46B of the total revenue and the debt of the company stands at $.10.95B with a free cash flow of $1.67B.
Price Targets For FCX Stock
The experts for the FCX stock are so optimistic and aiming for targets of 60% above the current market price. The average price for the stock is 35.55% above the CMP and the minimum decline is also expected to $41.00. The FCX stock price is currently trading below its minimum level which indicates that the stock is available at a cheaper price.
Experts Bullish Technicals Bearish, What’s Coming Ahead?
Chart by on TradingView.com
After trading in a dynamic tight range and leading to the formation of a symmetric triangle, the FCX stock has broken below the triangle pattern. The FCX share made a swing high of $44.50 and then started to face selling pressure resulting in breakdown below the triangle pattern.
The FCX stock is currently forming bearish candle on the weekly timeframe breaking below the doji candle. The share price has currently reached to a crucial support of $34.00. It is also the low of the previous uptrend swing. If the stock price breaks below this level then we can expect further decline in price.
The EMAs on the weekly of FCX stock are trading in a golden cross of 50-day and the 200-day EMA. Despite this the stock price has declined below the 50-day EMA and is currently trading above the 200-day EMA. This behavior of the stock price indicates uncertainty in the price of the stock.
The RSI on the weekly chart of FCX stock is currently volatile to bearish declining below the 50-level. The RSI value has also broken below the 14-day SMA. This indicates more chances of decline in price of the stock in the upcoming days.
Conclusion
Freeport-McMoRan Inc. has performed well annually but its recent quarter results has not been that optimistic. The technicals for the stock are bearish such as the EMAs are acting uncertain while the RSI is indicating bearishness on the charts.
Therefore, we can witness further lower levels in the FCX stock price if it breaks below the level of $33.00.
Technical Levels
- Support levels- $19.30 and $26.00
- Resistance levels- $44.50 and $52.00
Disclaimer
The information provided in this article, including the views and opinions expressed by the author or any individuals mentioned, is intended for informational purposes only. It is important to note that the article does not provide financial or investment advice. Investing or trading in cryptocurrency assets carries inherent risks and can result in financial loss.