Freeport McMoRan Stock Digs Out Of Hole, Key Rating Soars

Mining giant Freeport McMoRan (FCX) got a huge rating lift on Tuesday. Freeport McMoRan stock’s Relative Strength (RS) Rating shot up 15 points overnight, to an outstanding 85 on Tuesday.

X

The new 85 Relative Strength Rating shows that Freeport stock is performing in the top 15% of all stocks in IBD’s database. Market research reveals that the best stocks often have an RS Rating north of 80 as they begin their biggest climbs.

Looking For Winning Stocks? Try This Simple Routine

Freeport McMoRan Stock Boasts Outstanding Composite Rating

Freeport McMoRan also carries a powerful 95 Composite Rating, of a best-possible 99. Its 77 EPS Rating is mediocre but it’s largely a reflection of weaker profit growth in past years. In the last four quarters the Phoenix, Ariz.-based company reported EPS growth of 999%-plus, 207%, 146% and 110% last quarter to $1.07. Revenue over that period grew 88%, 58%, 37% and 36% in its most recent quarter, to $6.6 billion.

Freeport McMoRan stock fell from a more-than-10-year high of 51.99 on March 24 to a 33.43 low on May 12 amid the market correction. It began rebounding there and closed at 43.39 Tuesday, up 1.4% for the day. Its stock also climbed above its 50-day line Tuesday, and its relative strength line has been trending up since early May. See if the stock goes on to build a sound pattern that could kick off a new climb.

Freeport McMoRan stock earns the No. 4 rank among its peers in the Mining-Metal Ores industry group. Teck Resources (TECK) and Mesabi Trust (MSB) are also among the group’s highest-rated stocks.