Vale’s (VALE) base metal (DBB) production, including nickel and copper production, was in line with its decision to lower its footprint by putting non-competitive mines on care and maintenance.
Canadian Pacific’s carloads Canadian Pacific Railway’s (CP) total carloads rose 15.0% in the week ended April 29, 2017. The company hauled more than 34,000 railcars that week, similar to its total carloads in the corresponding week of 2016. CP’s railcars, excluding coal, rose 7.4% YoY (year-over-year) to settle at more than 27,000 units, compared with […]
Of the 21 analysts covering BHP Billiton (BHP), seven analysts issued “buy” recommendations, 11 gave “hold” recommendations, and three gave “sell” recommendations on the stock.
Canadian Pacific’s carloads Canadian Pacific’s (CP) total carloads rose 6.5% in the week ended January 28, 2017. The company hauled 32,000 railcars that week, compared with 30,000 in the corresponding week of 2016. CP’s railcars, excluding coal, rose 3% to settle at 26,000 units in the third week of 2017, compared with ~24,600 railcars in the […]
According to the slides shared by Freeport during its 4Q16 earnings call, its net debt should fall to $9.4 billion if copper prices average $2.25 per pound in 2017.
Freeport-McMoRan (FCX) released its 4Q16 earnings on January 25, 2017. In this article, we’ll take a look at analysts’ ratings for Freeport after its 4Q16 earnings release.
Improved operating environment BHP Billiton’s (BHP) operating environment has significantly improved in the last year, mainly due to an increase and firming up of commodity prices between 2015 and 2016. As we’ve seen in the previous parts of this series, its production volumes, apart from those of copper, have also been quite strong. This combination of […]
BHP’s consensus rating Of the 19 analysts covering BHP Billiton (BHP), four analysts have issued “buy” recommendations, 12 have “hold” recommendations, and three have “sell” recommendations on the stock. The consensus target price for the company is 27.50 Australian dollars, which implies a downside of 2% based on its current market price. Mining peers Freeport-McMoRan […]
Copper production Along with other commodities, copper gained in 2016, especially after Donald Trump’s win. Companies producing copper are still taking steps to increase production to lower costs. These companies include BHP Billiton (BHP) (BBL), Freeport-McMoRan (FCX), Teck Resources (TCK), Southern Copper (SCCO), and Newmont Mining (NEM). Copper volumes fell BHP’s total copper production for […]
Freeport-McMoRan (FCX) posted revenue of $4.4 billion in 4Q16. In contrast, Freeport posted revenue of nearly $3.6 billion in 4Q15 and $3.9 billion in 3Q16.
According to Reuters, TRQ has a mean one-year price target of 5.68 Canadian dollars (~$4.28), which is a 24.3% upside over its closing price on January 20.
In our view, although 2017 could be a close call for a copper market deficit, we could head toward a deficit by 2018 as a result of supply-side factors.
Although copper is the key driver of Freeport-McMoRan’s (FCX) earnings, its earnings could improve in the next few quarters due to higher gold volumes from the Grasberg mine.
Copper is no different than other commodities that have a negative correlation to the US dollar. Further strengthening of the dollar could negatively impact copper prices (DBB).
During its 4Q15 earnings conference call, Freeport-McMoRan (FCX) announced its plans to raise $5 billion–$10 billion in 2016 to shore up its balance sheet.
The first half of 2016 went well for Freeport-McMoRan (FCX) as it rose 65% in 1H16. However, in 3Q16, Freeport largely traded sideways, falling 2.5% during the quarter.
Teck Resources has risen a whopping 556% year-to-date, placing it among the best-performing stocks of 2016. What factors supported Teck Resources’ dream run in 2016?
Teck Resources (TCK) has been one of the best-performing companies in the metals and mining space (XME) in 2016. The stock has gained a whopping 556% YTD (year-to-date).
Canadian Pacific’s carloads Canadian Pacific (CP) registered a fall of 9% in total railcars in the week ended December 17, 2016. The company hauled 29,000 railcars that week, compared with ~32,000 in the corresponding week last year. CP’s railcars, excluding coal, fell 11% to settle at just more than 23,000 units in the reported week […]
The uncertainty over the long-awaited US interest rate hike finally ended when the Federal Reserve raised rates by 25 basis points on December 14, 2016.
Coal has been falling due to the global shift toward renewable and clean energy. However, as we noted in the previous article, coal prices have risen steeply so far in 2016.
Of the 19 analysts covering BHP Billiton, five have “buy” recommendations, ten have “hold” recommendations, and four have “sell” recommendations on the stock.
Freeport-McMoRan and Glencore suffered from the same issues last year. While Glencore restored its dividend, Freeport hasn’t restored its dividend yet.
Seaborne coking coal prices have been on fire this year, tripling since the beginning of the year. Rising coal prices were a key talking point for steel companies in 3Q16.
Canadian Pacific (CP) registered a fall of 5.5% in total railcars in the week ended October 29, 2016. The company hauled over 32,000 railcars in the week.
Market observers are closely following the current election. This isn’t surprising given the diametrically opposed stances of the two candidates on key economic issues.
Canadian Pacific (CP) registered a YoY fall of 2.3% in total railcars in the week ended October 22, 2016. The company hauled ~30,000 railcars that week.
Citigroup has downgraded BHP Billiton (BHP) and Rio Tinto (RIO) because the bank believes there could be a big pullback in commodities by the end of 2016.
During its 3Q16 earnings call, Freeport-McMoRan (FCX) reduced its production guidance. The company expects its 2016 copper shipments to be 4.8 billion pounds.
Freeport-McMoRan posted revenue of $3.9 billion in 3Q16. In contrast, Freeport posted revenue of nearly ~$3.7 billion in 3Q15 and ~$3.3 billion in 2Q16.
Freeport-McMoRan released its 3Q16 earnings before the market opened on October 25, 2016. The company reported adjusted EPS (earnings per share) of $0.13.
BHP’s total copper production for the September quarter was 6.0% lower YoY at 355,000 tons. This was expected since the grade declines at Escondida had kicked in.
Freeport-McMoRan has been trading in a narrow price channel for quite some time. In this article, we’ll look at some of Freeport’s key technical trading parameters.
According to the latest update, Freeport-McMoRan’s short interest ratio was 4.3 on September 30, 2016. The ratio increased from its previous update of 3.3 on September 15.
Canadian Pacific (CP) registered a fall of 2.3% in total railcars in the week ended October 8, 2016. The company hauled 32,000 railcars in the same week.
Factors impacting earnings estimates Commodity producers’ earnings are sensitive to underlying commodity prices (USCI). It’s worth noting that analysts’ recommendations and target prices are based on expected forward earnings. Revenue estimates The graph above shows BHP Billiton’s (BHP) consensus revenue and EBITDA (earnings before interest, tax, depreciation, and amortization) estimates. According to data compiled by […]
