Oaktree Capital Management Reduces Stake in Freeport-McMoRan

Oaktree Capital Management LP has recently decreased its investment in Freeport-McMoRan Inc. (NYSE:FCX) by 27.3% during the fourth quarter of the year. According to its latest Form 13F filing submitted to the Securities and Exchange Commission, Oaktree owned 1,763,003 shares after selling off 662,236 shares during this period. This reduction means that Freeport-McMoRan now makes up about 1.2% of Oaktree’s investment portfolio, ranking as the firm’s 19th largest position. The total value of Oaktree's stake in Freeport-McMoRan amounts to approximately $67,135,000, as noted in the recent SEC filing.

In addition to Oaktree Capital Management, various institutional investors and hedge funds have also been actively trading Freeport-McMoRan shares. For instance, Asset Planning Inc acquired a new shareholding during the fourth quarter worth around $25,000. Vision Financial Markets LLC followed suit with an investment of about $27,000. Laurel Wealth Advisors LLC notably increased its holdings in Freeport-McMoRan by an impressive 487.8%, now owning a total of 723 shares valued at approximately $28,000 after buying 600 additional shares. Roxbury Financial LLC and Kohmann Bosshard Financial Services LLC also made new investments worth approximately $28,000 and $29,000 respectively. Overall, institutional investors and hedge funds own around 80.77% of Freeport-McMoRan's stock.

Analyst Ratings and Price Targets

A number of financial analysts have recently updated their price targets for Freeport-McMoRan’s shares. BMO Capital Markets reduced its price target from $54.00 to $50.00 while maintaining an "outperform" rating for the stock as of January 24th. On the other hand, StockNews.com downgraded Freeport-McMoRan from a "buy" to a "hold" rating on March 20th. Deutsche Bank Aktiengesellschaft, however, upgraded the stock from a "hold" to a "buy" status and set a price target of $47.00 on March 6th. JPMorgan Chase & Co. also lifted their forecast by moving from a "neutral" to an "overweight" rating and increasing their target from $48.00 to $52.00 on March 20th. Lastly, Dbs Bank upgraded Freeport-McMoRan from a "hold" rating to a "strong-buy" rating on March 10th. In summary, six analysts currently rate the stock as a hold, nine recommend a buy, and two suggest a strong buy. MarketBeat indicates that Freeport-McMoRan has an overall average rating of "Moderate Buy" and an average price target of $52.04.

Current Stock Performance

As of Friday, shares of Freeport-McMoRan were trading at $38.36. The company has experienced a 52-week range with a low of $33.98 and a high of $55.24. The stock’s 50-day moving average stands at $38.14, while the 200-day moving average is $41.97. Freeport-McMoRan boasts a debt-to-equity ratio of 0.31, a quick ratio of 1.18, and a current ratio of 2.42. The company currently holds a market capitalization of $55.13 billion, with a P/E ratio of 29.74 and a price-to-earnings-growth ratio of 0.87.

Financial Results

On January 23rd, Freeport-McMoRan released its latest earnings report, disclosing earnings of $0.31 per share for the quarter. This figure fell short of analysts' forecasted average of $0.36 per share by $0.05. The company noted a net margin of 7.42% and a return on equity of 7.50%. Analysts anticipate that Freeport-McMoRan will report earnings of 1.68 per share for the current fiscal year.

Dividend Announcement

Freeport-McMoRan has declared a quarterly dividend that will be distributed on May 1st. Shareholders on record by April 15th will receive a dividend of $0.15 per share, marking a total annual dividend of $0.60 and reflecting a yield of 1.56%. The company’s payout ratio is 23.26%.

About Freeport-McMoRan

Freeport-McMoRan Inc. is engaged in mining mineral properties across North America, South America, and Indonesia. The company primarily explores for essential metals such as copper, gold, molybdenum, silver, and others. Its significant assets include the Grasberg mineral district in Indonesia, and various mining sites in Arizona, New Mexico, Colorado, and internationally in Peru and Chile.

Oaktree, Freeport-McMoRan, Stocks