SCCO stock: buy or sell?
August 22nd, 2019
Southern Copper Corporation engages in mining, exploring, smelting, and refining copper and other minerals in Peru, Mexico, Argentina, Chile, and Ecuador.
Should I buy SCCO stock?Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. That's why is so important to choose your own trading strategy that matches with your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
None of our preferred buy setups matches with Southern Copper stock situation right now, hence this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Southern Copper stock a buy?
Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we collected 6 ratings published for SCCO stock in the last 30 days. The general sentiment of these ratings is bullish for SCCO stock, with 5 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-8-15||Bank of America||n/a||Buy|
|2019-2-19||Goldman Sachs Group||n/a||Buy|
|2019-1-29||Bank of America||n/a||Buy|
|2019-1-16||Itau BBA Securities||Market Perform||Outperform|
SCCO stock analysis
Southern Copper ended today at $30.17 and appreciated a slightly fine 0.84%.
Southern Copper shares appreciated 0.84% to $30.17 today. Since price and SMA200d lines crossed down on August 1st, SCCO fell $-5.18 per share (-14.65%). Since SMA100d and SMA200d crossed up on June, SCCO price slid a -17.90%. SCCO marked a lower low and a lower high in the short term, defining a downward trend. Climbing above $33.40 would break this short term down trend and open possibilities for reversing this situation.
After sliding a chilling -6.92% in a week last week, Southern Copper closed this week at $30.17 and raised a slightly good 0.87%. This week broke a red streak of 4 weeks.
Since price and 40-weeks moving average lines crossed down late July, SCCO fell $-6.73 per share (-18.24%). Trading stocks that are below the 40-weeks (that is, 200-days) moving average line is not recommended by many experts, as it indicates that the stock has not enough institutional support. Since late May when SMA20w and SMA40w crossed up, SCCO price slipped $-2.90 per share (-8.77%).
SCCO stock price history
SCCO IPO was on January 5th, 1996 at $0.02 per share1. Since then, SCCO stock surged a 150,750.00%, with an average of 6,554.30% per year. If you had invested right after SCCO's IPO a $1,000 in SCCO stock in 1996, it would worth $1,507,500.00 today.
1: Adjusted price after possible price splits or reverse-splits.
SCCO stock historical price chart
SCCO stock reached 52-week highs on August at $43.32, and all-time highs 2018-04-18 with a price of 53.95.
SCCO stock price target is $45.00How much a stock will be priced tomorrow or next week is quite unpredictable However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last 30 days we found 2 price forecasts for Southern Copper stock:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-8-15||Bank of America||Lowers Target||$46.00||$42.00||-8.7%|
|2019-1-16||Itau BBA Securities||Upgrades||n/a||$48.00||-|
Financials and fundamental analysis
Earnings date and Earnings per ShareAfter publishing its last earnings report on April, Southern Copper plunged a hair-raising -23.60%. As soon as we get its actual EPS from the earnings report, we will extend this review.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual revenues report draw an excellent gain of 6.65% to $7,096.70 million USD. When comparing 2018 vs 2017, instead, profit margin (that is, the net income divided by revenues) boosted a 10.80% to 21.74%.
|2013||$5,950 M||-||$1,620 M27.2%||-|
|2014||$5,788 M||-2.73%||$1,333 M23.0%||-17.72%|
|2015||$5,046 M||-12.82%||$736 M14.6%||-44.75%|
|2016||$5,380 M||6.62%||$777 M14.4%||5.45%|
|2017||$6,655 M||23.69%||$729 M10.9%||-6.18%|
|2018||$7,097 M||6.65%||$1,543 M21.7%||111.81%|
Quarterly financial resultsSouthern Copper reported $1,694.60 M in sales for 2018-Q4, a -1.69% less compared to previous quarter. Reported quarter earnings marked $293.20 million with a profit margin of 17.30%. Profit margin depreciated a -4.13% compared to previous quarter when profit margin was 21.43%. When comparing revenues to same quarter last year, Southern Copper sales marked a shocking drop down and fell a -9.10%. Looking back to recent quarterly results, Southern Copper posted 4 negative quarters in a row.
|2017-Q2||$1,530 M||-||$300 M19.6%||-|
|2017-Q3||$1,680 M||9.80%||$402 M23.9%||34.07%|
|2017-Q4||$1,864 M||10.97%||$-288 M-15.4%||-171.55%|
|2018-Q1||$1,841 M||-1.24%||$471 M25.6%||-263.72%|
|2018-Q2||$1,837 M||-0.21%||$410 M22.3%||-12.98%|
|2018-Q3||$1,724 M||-6.18%||$369 M21.4%||-9.81%|
|2018-Q4||$1,695 M||-1.69%||$293 M17.3%||-20.63%|
|2019-Q1||$1,753 M||3.47%||$388 M22.1%||32.40%|
Southern Copper ownershipWhen you are planning to invest in a stock, it's always worth to have a look its ownership structure.
Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Southern Copper, 89.37% of all outstanding shares are owned by its staff.
In case of Southern Copper stock, 7.86% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for SCCO stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to Southern Copper:
|Market cap||$23.3 B||$105.1 B||$126.6 B||$13.2 B||$81.9 B|
|Total shares||773.0 M||2,530.0 M||2,660.0 M||1,450.0 M||1,690.0 M|
|Float shares||82.1 M||2,640.0 M||2,640.0 M||1,400.0 M||1,260.0 M|
|- Institutional holdings (%)||7.9%||4.3%||3.9%||72.4%||8.4%|
|- Insider holdings (%)||89.4%||0.0%||0.0%||0.5%||0.0%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Thursday, August 22nd, 2019|
|Day range||$30.00 - $30.36|
|Average true range||$0.92|
|50d mov avg||$35.42|
|100d mov avg||$36.02|
|200d mov avg||$34.49|
Southern Copper performanceTo measure stock performance is always good to benchmark with competitors or related stocks. We chose BHP, BHP, Freeport-McMoran, Rio Tinto and Teck Resources as the bechmarking frame for Southern Copper stock.
Southern Copper competitorsOne check before investing in any stock is to review a list of its competitors, in this case for Southern Copper. We chose 5 companies as Southern Copper competitors as they are in the same industry or have similar market objectives.
Latest SCCO stock news
- Seeking AlphaCopper Attempts To Rally - Southern Copper Shares Follow The Red MetalJuly 25, 2019
- Seeking AlphaSouthern Copper: A Copper Major With An Ambitious Growth PlanApril 24, 2019