Southern Copper (SCCO) got here out with quarterly earnings of $0.34 per share, beating the Zacks Consensus Estimate of $0.28 per share. This compares to earnings of $0.52 per share a yr in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of 21.43%. 1 / 4 in the past, it was anticipated that this miner would put up earnings of $0.39 per share when it really produced earnings of $0.28, delivering a shock of -28.21%.
Over the past 4 quarters, the corporate has surpassed consensus EPS estimates simply as soon as.
Southern Copper, which belongs to the Zacks Mining – Non Ferrous trade, posted revenues of $1.79 billion for the quarter ended June 2020, surpassing the Zacks Consensus Estimate by 46.03%. This compares to year-ago revenues of $1.82 billion. The corporate has topped consensus income estimates 4 occasions during the last 4 quarters.
The sustainability of the stock’s quick price motion primarily based on the recently-released numbers and future earnings expectations will largely rely on administration’s commentary on the earnings name.
Southern Copper shares have added about 8.5% for the reason that starting of the yr versus the S&P 500’s acquire of 0.3%.
What’s Subsequent for Southern Copper?
Whereas Southern Copper has outperformed the market thus far this yr, the query that involves buyers’ minds is: what’s subsequent for the stock?
There aren’t any straightforward solutions to this key query, however one dependable measure that may assist buyers deal with that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but additionally how these expectations have modified these days.
Empirical analysis reveals a powerful correlation between near-term stock actions and tendencies in earnings estimate revisions. Buyers can monitor such revisions by themselves or depend on a tried-and-tested score software just like the Zacks Rank, which has a formidable monitor report of harnessing the ability of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions pattern for Southern Copper was blended. Whereas the magnitude and path of estimate revisions may change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the stock. So, the shares are anticipated to carry out according to the market within the close to future. You may see the entire listing of as we speak’s Zacks #1 Rank (Robust Purchase) stocks right here.
It will likely be attention-grabbing to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is $0.36 on $1.69 billion in revenues for the approaching quarter and $1.33 on $6.64 billion in revenues for the present fiscal yr.
Buyers ought to be conscious of the truth that the outlook for the trade can have a fabric impression on the efficiency of the stock as effectively. When it comes to the Zacks Trade Rank, Mining – Non Ferrous is at present within the high 11% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
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Southern Copper Company (SCCO): Free Stock Evaluation Report
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The views and opinions expressed herein are the views and opinions of the creator and don’t essentially replicate these of Nasdaq, Inc.