Southern Copper (SCCO) Gains As Market Dips: What You Should Know
Southern Copper (SCCO) closed the most recent trading day at $59.48, moving +0.12% from the previous trading session. The stock outpaced the S&P 500's daily loss of 1.31%.
Coming into today, shares of the miner had lost 16.23% in the past month. In that same time, the Basic Materials sector lost 9.06%, while the S&P 500 gained 1.56%.
SCCO will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.09, up 220.59% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.55 billion, up 42.62% from the year-ago period.
SCCO's full-year Zacks Consensus Estimates are calling for earnings of $4.41 per share and revenue of $10.27 billion. These results would represent year-over-year changes of +117.24% and +28.65%, respectively.
It is also important to note the recent changes to analyst estimates for SCCO. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.32% higher. SCCO is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that SCCO has a Forward P/E ratio of 13.47 right now. Its industry sports an average Forward P/E of 18.33, so we one might conclude that SCCO is trading at a discount comparatively.
Meanwhile, SCCO's PEG ratio is currently 0.72. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Mining - Non Ferrous industry currently had an average PEG ratio of 0.56 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 70, putting it in the top 28% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Southern Copper Corporation (SCCO) : Free Stock Analysis Report
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