Southern Copper Corporation $SCCO Holdings Raised by Nisa Investment Advisors LLC

Nisa Investment Advisors LLC lifted its stake in Southern Copper Corporation (NYSE:SCCO) by 10.0% during the 3rd quarter, according to its most recent disclosure with the SEC. The institutional investor owned 57,569 shares of the basic materials company’s stock after buying an additional 5,256 shares during the quarter. Nisa Investment Advisors LLC’s holdings in Southern Copper were worth $11,666,000 at the end of the most recent reporting period.

Several other hedge funds have also recently modified their holdings of the stock. Bell Investment Advisors Inc bought a new position in shares of Southern Copper during the second quarter worth $26,000. Rakuten Securities Inc. bought a new stake in Southern Copper in the 2nd quarter valued at $28,000. SHP Wealth Management bought a new stake in Southern Copper in the 4th quarter valued at $25,000. Compass Financial Management LLC purchased a new stake in Southern Copper in the 2nd quarter worth $41,000. Finally, Caitlin John LLC purchased a new stake in Southern Copper in the 2nd quarter worth $43,000. Hedge funds and other institutional investors own 7.94% of the company’s stock.

Analyst Upgrades and Downgrades

Several research firms have commented on SCCO. CICC Research downgraded shares of Southern Copper to a “market perform” rating in a report on Sunday, July 26th. Zacks Research lowered Southern Copper from a “strong-buy” rating to a “hold” rating in a research report on Friday, August 7th. Morgan Stanley reaffirmed an “underweight” rating and issued a $170.00 target price on shares of Southern Copper in a report on Wednesday, October 7th. Weiss Ratings upgraded Southern Copper from a “buy (b)” rating to a “buy (b+)” rating in a research report on Thursday, October 8th. Finally, Barclays reiterated an “underweight” rating and issued a $168.00 target price (up from $166.00) on shares of Southern Copper in a research report on Monday. Two equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and seven have assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Reduce” and an average target price of $160.95.

Insider Buying and Selling at Southern Copper

In other news, Director Luis Palomino Bonilla sold 202 shares of the business’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $196.79, for a total value of $39,751.28. Following the sale, the director directly owned 1,723 shares in the company, valued at $339,066.65. The trade was a 10.49% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. In the last 90 days, insiders have sold 603 shares of company stock valued at $120,213. Insiders own 0.07% of the company’s stock.

Southern Copper Trading Down 7.6%

SCCO stock opened at $183.03 on Friday. The firm has a fifty day moving average price of $201.48 and a 200 day moving average price of $188.16. Southern Copper Corporation has a fifty-two week low of $119.25 and a fifty-two week high of $223.88. The company has a debt-to-equity ratio of 0.63, a quick ratio of 4.56 and a current ratio of 5.06. The firm has a market cap of $152.70 billion, a PE ratio of 25.92, a price-to-earnings-growth ratio of 1.84 and a beta of 1.11.

Southern Copper shares are scheduled to split on Tuesday, November 3rd. The 1.0106-1 split was recently announced. The newly minted shares will be distributed to shareholders after the market closes on Monday, November 2nd.

Southern Copper (NYSE:SCCO) last released its quarterly earnings results on Wednesday, October 21st. The basic materials company reported $2.15 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.02 by $0.13. Southern Copper had a net margin of 37.16% and a return on equity of 53.46%. The company had revenue of $4.70 billion for the quarter, compared to the consensus estimate of $4.49 billion. Sell-side analysts anticipate that Southern Copper Corporation will post 7.97 earnings per share for the current fiscal year.

Southern Copper Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Shareholders of record on Tuesday, November 3rd will be paid a $1.30 dividend. This represents a $5.20 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend is Tuesday, November 3rd. This is an increase from Southern Copper’s previous quarterly dividend of $1.10. Southern Copper’s dividend payout ratio is 64.33%.

Southern Copper News Roundup

Here are the key news stories impacting Southern Copper this week:

• Positive Sentiment: Record Q3 performance: Third-quarter sales rose 39.1% year over year to $4.70 billion, while net income increased 62.7% to $1.80 billion, or $2.15 per share. Earnings and revenue exceeded analyst expectations. Operating cash flow also rose 42.6% to $2.22 billion. Southern Copper Posts Record $4.7 Billion Third-Quarter Sales
• Positive Sentiment: Shareholder returns and growth plans: The board approved a $1.30 quarterly dividend and a 1.06% stock dividend. Southern Copper is also targeting annual production of one million tonnes and is weighing a roughly $680 million expansion of its Cuajone mine, which could support longer-term output growth. Southern Copper weighs $680M Cuajone mine expansion
• Neutral Sentiment: Upcoming stock split: SCCO is scheduled to distribute 0.0106 additional shares per share after the November 2 close, with trading on a split-adjusted basis expected to begin November 3. The action may improve trading accessibility but does not by itself change the company’s fundamental value. Southern Copper Shares Set to Split
• Negative Sentiment: Valuation and execution concerns: Bank of America maintained a Sell rating, citing SCCO’s rich valuation and delays or uncertainty surrounding growth projects. Copper production fell 1.1% year over year to 232,396 tonnes, making recent earnings more dependent on higher metal prices. Southern Copper: Record Results but Rich Valuation and Project Delays
• Negative Sentiment: Profit-taking risk: Reports of insider transactions show selling rather than purchases over the past six months, while the stock’s elevated valuation may be encouraging investors to lock in gains after its strong run.

Southern Copper Profile

Southern Copper Corporation (NYSE:SCCO) is a mining and metals company engaged primarily in the exploration, development, extraction, processing and production of copper. The company also produces molybdenum, zinc, silver and lead, along with related byproducts. Its operations include open-pit mines, underground mines, concentrators, smelters, refineries and other processing facilities.

Southern Copper operates mainly in Peru and Mexico. Its Peruvian assets include the Toquepala and Cuajone copper mines, while its Mexican operations include the Buenavista del Cobre and La Caridad mines, as well as associated processing and infrastructure facilities.