Orin
FCXNYSE·Copper

Freeport-McMoRan Inc. FCX

Market cap $102.4BP/E 35.8× trailingGross margin 26.8%Reports Thu 22 Oct, before the open
$71.26
−1.32 (−1.82%)live 09:30 ET
52-wk $35.15 – $80.24
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Orin's take
0.62conviction · moderate
Refreshed 26 Aug · take v6. A new filing or a print queues the next refresh.

FCX is a hold after its powerful rally to $79.91 (as of 2026-08-25) has pushed RSI to 72.9 and the stock well above both its 50-day ($65.13) and 200-day ($59.54) moving averages, leaving limited near-term upside despite the compelling copper-on-AI-demand narrative. FY2025 fundamentals show margin compression—gross margin fell to 26.98% from 29.48% in FY2024—and free cash flow declined to $1.12B from $2.35B while total debt rose to $11.5B from $9.74B.

At 39.36x trailing PE, a 22% premium to the peer median of 32.25x, the market is pricing in a copper bull case that the income statement has yet to confirm, and a newly announced investigation into officers and directors adds an unquantified legal overhang.

What could go wrong

  • Legal investigation. KSF announced an investigation into FCX officers and directors on 2026-08-24 related to the PT Freeport Indonesia mud rush disclosure, which could lead to litigation or regulatory action.
  • Margin and cash flow deterioration. FY2025 gross margin compressed to 26.98% from 29.48% in FY2024 and FCF fell to $1.12B from $2.35B, signaling rising costs or operational headwinds at a time of elevated capex ($4.49B).
  • Overbought technicals. RSI at 72.9 with the stock at $79.91, roughly 23% above its 50-day MA of $65.13, increases vulnerability to a sharp pullback on any negative catalyst.
  • Persistent insider selling. Over 24 months insiders net sold 350,413 shares for net value of $55.2M, with recent sales by the CAO and EVP in July–August 2026 at $63–$70 per share.

What would change my mind

Copper price breakout. Sustained copper prices above recent highs driving upward EPS revisions and margin recovery in Q3 2026 resultsbullish
Grasberg operational resolution. PT Freeport Indonesia mud rush issues fully resolved with production guidance reaffirmed or raisedbullish
Legal escalation. KSF investigation leads to formal securities class action or SEC inquirybearish
Margin guidance cut. Q3 2026 results show further gross margin compression below 26.98% or FCF deterioration versus FY2025 levelsbearish

Where this comes from: Technicals as of 2026-08-25 · Technicals as of 2026-08-25 · Derived metrics FY2025 and FY2024 · Fundamentals FY2025 and FY2024. Orin's read on FCX; not advice.

Twelve months actual closes to 2026-09-23 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
Vanguard Capital Management$5.9B0.1% of fund
State Street$4.2B0.1% of fund
Capital Research Global Investors$2.6B0.4% of fund
Franklin Resources$2.4B0.5% of fund
Bank Of America /De/$2.3B0.1% of fund
Geode Capital Management$2.0B0.1% of fund

135 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 80 Form 4 filings, net −$61.8M. Of the 50 on hand, 0 were open-market purchases and 12 sales— the rest are grants, option exercises and tax withholding.

Ask Orin about FCX

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Where it trades

vs its own 5y · Basic Materials
MetricNowOwn medianSector
P/E35.8×29.2×29.8×
EV/EBITDA12.3×6.4×
P/S4.03×2.69×
P/B5.2×3.7×

Its P/E sits above all 5 of the last 5 years (+1.27σ from its own mean).

What the price assumes

28.9%

free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $1.1B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.

What Wall Street published

41 firms · 2026-09-23
Consensus target

$71

$47$82 · +0% against today's price

How they rate it
  • 26 buy or overweight
  • 13 hold
  • 2 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 32.8× of 4 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
FCXFreeport-McMoRan Inc.$104B35.8×12.3×26.8%11.4%15%
APDAir Products and Chemicals, Inc.$64B62.5×32.1%-0.4%-0%
CRHCRH plc$57B19.2×12.8×39.4%13.7%14%
CTVACorteva, Inc.$54B53.3×17.4×48.5%5.7%4%
ECLEcolab Inc.$78B36.9×25.9×44.1%12.6%21%
VMCVulcan Materials Company$32B28.8×14.2×27.4%13.8%13%

The median is of the 4 peers listed above and nothing else — check it against the column. This company trades 8.9% above it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY17 15.6×FY25 33.2×

What its sector has traded at

Basic Materials
FY14 23.8×FY26 28.6×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Discounted cash flow

not recomputed since
ModelFair valueAgainstComputed
Standard DCF$1$61.89 · −99%2026-06-10
Levered DCF$16$61.89 · −75%2026-06-10

The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.

Every estimate on one scale

price $71.26
52-week range$35 – $80
Analyst targets$47 – $82
Standard DCF$1 as of 2026-06-10, when it was $61.89
Levered DCF$16 as of 2026-06-10, when it was $61.89
At own 5y-median P/E (29×)$59
At 5y P/E range (14–33×)$29 – $68
At sector P/E (30×)$60

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.