The 10-second takeaway
For the quarter ended March 31 (Q1), Southern Copper met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped. GAAP earnings per share shrank significantly.
Margins dropped across the board.
Southern Copper logged revenue of $1.62 billion. The six analysts polled by S&P Capital IQ wanted to see net sales of $1.64 billion on the same basis. GAAP reported sales were 10% lower than the prior-year quarter's $1.81 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.59. The seven earnings estimates compiled by S&P Capital IQ predicted $0.59 per share. GAAP EPS of $0.59 for Q1 were 19% lower than the prior-year quarter's $0.73 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 55.2%, 480 basis points worse than the prior-year quarter. Operating margin was 47.4%, 650 basis points worse than the prior-year quarter. Net margin was 30.5%, 390 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.62 billion. On the bottom line, the average EPS estimate is $0.54.
Next year's average estimate for revenue is $6.60 billion. The average EPS estimate is $2.34.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 4,141 members out of 4,310 rating the stock outperform, and 169 members rating it underperform. Among 811 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 783 give Southern Copper a green thumbs-up, and 28 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Southern Copper is hold, with an average price target of $41.13.
Is Southern Copper the right metals stock for you? Find out the best way to profit from inflation and gold with a little-known company we profile in, "The Tiny Gold Stock Digging Up Massive Profits." Click here for instant access to this free report.
- Add Southern Copper to My Watchlist.