COM - Freeport-McMoRan: Bullish Breakout Is Now The Base Case (Rating Upgrade)
2024-06-12 08:30:00 ET
Summary
- Freeport-McMoRan rode the recent surge in copper prices as FCX easily outperformed the market.
- FCX has robust growth drivers, supported by sector-leading profitability and a healthy balance sheet.
- FCX's Indonesian business is critical. Negotiations for operational rights beyond 2041 must be followed closely.
- I argue why FCX's bullish breakout seems decisive, suggesting a further rally is now my base case. Read on.
Freeport-McMoRan Rode The Surge In Copper
In my previous Freeport-McMoRan article in January 2024, I urged Freeport-McMoRan Inc. ( FCX ) investors to consider waiting for a pullback in FCX stock before buying more shares. My cautious rating panned out as FCX dipped in February before bottoming above the $35 level. Notwithstanding my caution, I underscored my belief in the structural tailwinds underpinning Freeport-McMoRan's copper mining leadership in renewable energy and EV market share growth....
Freeport-McMoRan: Bullish Breakout Is Now The Base Case (Rating Upgrade)