Freeport-McMoRan Inc (NYSE:FCX) the completion of its at-the-market offering of common stock announced on July 27, 2016. FCX raised $1.5 billion in gross proceeds through the sale of 116.5 million shares of FCX common stock in open market transactions since July 28, 2016. The shares were issued pursuant to FCX’s shelf registration statement.
Richard C. Adkerson, President and Chief Executive Officer, said, “The completion of this offering, together with $6.6 billion in previously announced asset sale transactions, enables us to restore our balance sheet strength and achieve our stated debt reduction targets. This important milestone represents the successful completion of our plan to generate proceeds for debt repayment through asset sales and the issuance of equity. Our plan was executed in a manner to enable us to retain our industry leading portfolio of high quality, long-lived copper assets. We remain focused on executing our operating plans to generate significant free cash flow and to building long-term values for shareholders.”
After giving effect to this offering, FCX will have approximately 1.44 billion shares of common stock outstanding. (Original Source)
Shares of Freeport-McMoRan are currently trading at $14.94, down $0.18 or -1.19%. FCX has a 1-year high of $15.18 and a 1-year low of $3.52. The stock’s 50-day moving average is $10.01 and its 200-day moving average is $11.18.
On the ratings front, FCX stock has been the subject of a number of recent research reports. In a report issued on November 21, Cowen analyst Anthony Rizzuto reiterated a Buy rating on FCX, with a price target of $20, which represents a potential upside of 32% from where the stock is currently trading. Separately, on November 17, Deutsche Bank’s Chris Terry downgraded the stock to Hold and has a price target of $13.80.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Anthony Rizzuto and Chris Terry have a yearly average return of 8.0% and 23.5% respectively. Rizzuto has a success rate of 63% and is ranked #737 out of 4240 analysts, while Terry has a success rate of 100% and is ranked #2354.
Overall, 2 research analysts have rated the stock with a Sell rating, 5 research analysts have assigned a Hold rating and 2 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $20.00 which is 32.3% above where the stock closed yesterday.
Freeport-McMoRan, Inc. engages as copper, gold and molybdenum mining company. It operates through the following segments: North America Copper Mines, South America Copper Mines, Africa Mining, Indonesia Mining, and Molybdenum Mining. The North America Copper Mines segment operates seven open-pit copper mines in North America- Morenci, Bagdad, Safford, Sierrita and Miami in Arizona, and Chino and Tyrone in New Mexico. The South America Copper Mines segment has two copper mines-Cerro Verde in Peru and El Abra in Chile. The Africa Mining segment operates in the Tenke Fungurume minerals district in the Katanga province of the Democratic Republic of Congo which produces copper and cobalt hydroxide. The Indonesia Mining segment includes copper and gold deposits at the Grasberg minerals district in Papua. The Molybdenum Mining segment operates at the Henderson and Climax primary molybdenum mines in Colorado.