Freeport-McMoRan Shares Surge 20% on Copper Price Boost
Freeport-McMoRan Inc.'s (FCX) shares have risen by 20% in six months, thanks to robust earnings supported by higher copper prices.
The company's second-quarter earnings were boosted by significantly higher realized copper prices, despite lower sales volumes. Resilient demand and supply concerns continue to support copper prices, which are up over 40% year-over-year.
Freeport has outperformed the Zacks Mining - Non Ferrous industry and the S&P 500 over the same period, with its peers Southern Copper Corporation (SCCO) and BHP Group Limited (BHP) gaining 7.6% and 23.5%, respectively.
The company's growth pipeline supports production gains, with expansion projects at El Abra in Chile and Arizona's Safford/Lone Star operations expected to boost copper production by over 700 million pounds annually.