RWC Asset Management LLP has acquired a new stake in Southern Copper Corporation (NYSE: SCCO), purchasing 27,969 shares valued at approximately $5,668,000 during the third quarter. This move comes as several other institutional investors have also adjusted their positions in the company. Bell Investment Advisors, Rakuten Securities, Pin Oak Investment Advisors, Compass Financial Management, and Princeton Global Asset Management all bought new stakes in Southern Copper during the first and second quarters, with values ranging from $26,000 to $43,000. Currently, institutional investors and hedge funds own 7.94% of the stock.
Southern Copper's stock (NYSE: SCCO) rose by $1.60 during mid-day trading on Friday, reaching $185.19. The company's stock has a market cap of $154.51 billion, a price-to-earnings ratio of 24.24, and a PEG ratio of 1.71. The stock's 50-day simple moving average is $201.50, while its 200-day simple moving average is $188.14. Southern Copper reported strong quarterly earnings on Wednesday, October 21st, with earnings per share of $2.15, exceeding analysts' estimates of $2.03. The company's revenue for the quarter was $4.70 billion, surpassing the consensus estimate of $4.49 billion.
The company also announced a quarterly dividend of $1.30 per share, payable on Thursday, November 19th, to stockholders of record on Tuesday, November 3rd. This represents an increase from the previous quarterly dividend of $1.10 and results in an annualized dividend of $5.20 and a dividend yield of 2.8%. Additionally, Southern Copper shares are set to split in a 1.0106-for-1 distribution on the morning of Tuesday, November 3rd.
Despite the positive earnings report, some analysts remain cautious about Southern Copper's valuation. CICC Research downgraded the stock to a "market perform" rating, while UBS Group reaffirmed a "sell" rating with a price target of $180.00. Morgan Stanley maintained an "underweight" rating with a price objective of $170.00. Overall, the stock has an average rating of "Reduce" and an average target price of $161.28.