Freeport-McMoRan Inc (FCX) is overvalued and Southern Copper Corp (SCCO) is overvalued.
Both trade above our estimate of their intrinsic value. SCCO is the closer of the two: -20%, against -120% for FCX.
Values as of the 30 Oct 2026 close.
Discounting its cash flows at 10.7% (average of 3 methods) values the shares at $28.37; the price of $62.47 is 120% above that value, and 70% of that value comes from beyond year five.
Leak Score 37/100 on 12 of 12 signals
Discounting its cash flows at 10.2% (average of 3 methods) values the shares at $147.48; the price of $177.53 is 20% above that value, and 73% of that value comes from beyond year five.
Leak Score 48/100 on 12 of 12 signals
| Metric | FCX | SCCO |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $62.47 | $177.53 |
| Intrinsic value | $28.37 | $147.48 |
| Margin of safety | -120% | -20% |
| Leak Score | 37/100 (12/12) | 48/100 (12/12) |
| Market cap | $89.7B | $149.9B |
| Revenue growth, 5 years | 12.6% | 10.9% |
| Operating margin | 23.6% | 58.6% |
| Net margin | 13.3% | 37.2% |
| Return on equity | 17.3% | 53.0% |
| Debt to equity | 0.49 | 0.63 |
| P/E | 26.3x | 23.6x |
| Forward P/E | 14.6x | 23.5x |
| P/B | 4.5x | 11.1x |
| Dividend yield | 0.9% | 2.5% |