NYSE · Basic Materials

Freeport-McMoRan Inc.

FCX · Copper

$68.68

▼ -0.38 (-0.55%)

Cached · 10 min

Overall Grade

Defensive

Enterprising

Profitability

B⤢

Gross Profit Margin 26.5%

Operating Margin 23.1%

Net Income Margin 14.1%

Fin. Health

D⤢

Years to Pay Off Debt 11.8 yrs

Working Capital vs Long-Term Debt -$729M

Working Capital $8.2B

Valuation

F⤢

Margin of Safety 0.0%

Price-to-Book 5.06x

Cash Flow

C⤢

Free Cash Flow $522M

CapEx % of Net Income 110.4%

Owner Earnings $2.4B

Profitability

Gross Profit Margin 26.5%

Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.

Operating Margin 23.1%

Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.

Net Income Margin 14.1%

Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.

Financial Health

Years to Pay Off Debt 11.8 yrs

Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.

Working Capital vs Long-Term Debt -$729M

Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.

Working Capital $8.2B

Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.

Cash Flow

Free Cash Flow $522M

Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.

CapEx % of Net Income 110.4%

Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.

Owner Earnings $2.4B

Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

About Freeport-McMoRan Inc.

Freeport-McMoRan Inc. engages in the mining of mineral properties in North America, South America, and Indonesia. The company primarily explores for copper, gold, molybdenum, silver, and other metals. Its assets include the Grasberg minerals district in Indonesia; Morenci, Bagdad, Safford, Sierrita, and Miami in Arizona; Chino and Tyrone in New Mexico; and Henderson and Climax in Colorado, North America, as well as Cerro Verde in Peru and El Abra in Chile. The company was formerly known as Freeport-McMoRan Copper & Gold Inc. and changed its name to Freeport-McMoRan Inc. in July 2014. The company was incorporated in 1987 and is headquartered in Phoenix, Arizona.

Market Data

Market Cap $98.7B

Enterprise Value $119.5B

P/E (TTM) 36.34

Dividend Yield 0.87%

Exchange NYSE

Key Margins

Gross Profit 26.5%

Operating Margin 23.1%

Net Margin 14.1%

Company Info

Sector Basic Materials

Industry Copper

Employees 29000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Freeport-McMoRan Inc. at $68.68.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

At $68.68, the stock trades at a 403% premium to its Graham Number of $13.65. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: This stock is better suited for Graham's Enterprising investor — one willing to devote time and skill to security selection.

Showing Key Metrics

Income Highlights

Metric	Q1 2026	Q4 2025	Q4 2024
Gross Profit %	26.5%▲	18.1%•	N/A
Operating Margin %	23.1%▲	14.4%•	N/A
Net Income %	14.1%▲	7.2%•	N/A
Diluted EPS	0.61▲	0.28•	N/A

Balance Sheet Highlights

Metric	Q1 2026	Q4 2025	Q4 2024
Total Assets	$58.8B	$58.2B	N/A
Total Debt	$10.4B▼	$10.5B•	N/A
Working Capital	$8.2B▲	$7.8B•	N/A
Years to Pay Debt	11.81	25.84	N/A

Cash Flow Highlights

Metric	Q1 2026	Q4 2025	Q4 2024
Free Cash Flow	$522M▲	-$312M•	N/A
Owner Earnings	$2.4B	$1.9B	N/A
CapEx % of Net Income	110.4%	247.5%	N/A

Income Statement

	2026	2025	2024
Tax Effect Of Unusual Items	224,409	0
Tax Rate For Calcs	0	0
Normalized EBITDA	1,963,000	1,361,000
Total Unusual Items	699,000	0	0
Total Unusual Items Excluding Goodwill	699,000	0	0
Net Income From Continuing Operation Net Minority Interest	881,000	406,000
Reconciled Depreciation	514,000	485,000
Reconciled Cost Of Revenue	4,579,000	4,616,000
EBITDA	2,662,000	1,361,000
EBIT	2,148,000	876,000
Net Interest Income	-114,000	-110,000
Interest Expense	114,000	110,000
Normalized Income	406,409	406,000
Net Income From Continuing And Discontinued Operation	881,000	406,000
Total Expenses	4,796,000	4,822,000
Total Operating Income As Reported	2,137,000	811,000
Diluted Average Shares	1,444,000	1,443,000
Basic Average Shares	1,437,000	1,433,000
Diluted EPS	0	0
Basic EPS	0	0
Diluted NI Availto Com Stockholders	881,000	406,000
Net Income Common Stockholders	881,000	406,000
Net Income	881,000	406,000
Minority Interests	-506,000	-159,000
Net Income Including Noncontrolling Interests	1,387,000	565,000
Net Income Continuous Operations	1,387,000	565,000
Earnings From Equity Interest Net Of Tax	6,000	1,000
Tax Provision	653,000	202,000
Pretax Income	2,034,000	766,000
Other Income Expense	710,000	65,000
Other Non Operating Income Expenses	11,000	65,000
Special Income Charges	699,000	0	0
Gain On Sale Of Ppe		0
Other Special Charges	-699,000
Net Non Operating Interest Income Expense	-114,000	-110,000
Interest Expense Non Operating	114,000	110,000
Operating Income	1,438,000	811,000
Operating Expense	217,000	206,000
Other Operating Expenses	55,000	73,000
Selling General And Administration	162,000	133,000
Gross Profit	1,655,000	1,017,000
Cost Of Revenue	4,579,000	4,616,000
Total Revenue	6,234,000	5,633,000
Operating Revenue	6,234,000	5,633,000

Balance Sheet

	2026	2025	2024
Treasury Shares Number	193,000	191,000
Ordinary Shares Number	1,437,000	1,433,000
Share Issued	1,630,000	1,624,000
Net Debt	5,677,000	5,555,000
Total Debt	10,401,000	10,492,000
Tangible Book Value	19,505,000	18,467,000
Invested Capital	28,919,000	28,278,000
Working Capital	8,185,000	7,771,000
Net Tangible Assets	19,505,000	18,467,000
Capital Lease Obligations	987,000	1,113,000	790,000
Common Stock Equity	19,505,000	18,899,000
Total Capitalization	28,419,000	27,812,000
Total Equity Gross Minority Interest	31,511,000	30,766,000
Minority Interest	12,006,000	11,867,000
Stockholders Equity	19,505,000	18,899,000
Gains Losses Not Affecting Retained Earnings	-304,000	-305,000
Other Equity Adjustments	-304,000	-305,000
Treasury Stock	6,117,000	6,024,000
Retained Earnings	2,050,000	1,385,000
Additional Paid In Capital	23,713,000	23,680,000
Capital Stock	163,000	163,000
Common Stock	163,000	163,000
Total Liabilities Net Minority Interest	27,329,000	27,401,000
Total Non Current Liabilities Net Minority Interest	21,422,000	21,382,000
Other Non Current Liabilities	1,288,000	249,000
Employee Benefits		916,000	800,000
Non Current Pension And Other Postretirement Benefit Plans		770,000	689,000
Non Current Deferred Liabilities	4,641,000	4,753,000
Non Current Deferred Taxes Liabilities	4,641,000	4,753,000
Long Term Debt And Capital Lease Obligation	9,901,000	9,923,000
Long Term Capital Lease Obligation	987,000	1,010,000	692,000
Long Term Debt	8,914,000	8,913,000
Long Term Provisions	5,592,000	5,541,000
Current Liabilities	5,907,000	6,019,000
Current Deferred Liabilities		106,000	91,000
Current Deferred Revenue		106,000	91,000
Current Debt And Capital Lease Obligation	500,000	569,000
Current Capital Lease Obligation		103,000	98,000
Current Debt	500,000	466,000
Other Current Borrowings		466,000	41,000
Pensionand Other Post Retirement Benefit Plans Current		148,000	128,000
Current Provisions	323,000	313,000
Payables And Accrued Expenses	5,084,000	4,883,000
Current Accrued Expenses		870,000	530,000
Interest Payable		145,000	135,000
Payables	5,084,000	4,013,000
Other Payable		262,000	291,000
Dividends Payable	217,000	219,000
Total Tax Payable	725,000	584,000
Income Tax Payable	725,000	456,000
Accounts Payable	4,142,000	2,948,000
Total Assets	58,840,000	58,167,000
Total Non Current Assets	44,748,000	44,377,000
Other Non Current Assets	2,815,000	1,898,000
Non Current Prepaid Assets			9,000
Non Current Accounts Receivable	832,000	834,000	330,000
Investments And Advances		477,000	456,000
Investmentin Financial Assets		125,000	102,000
Available For Sale Securities		125,000	102,000
Long Term Equity Investment		352,000	354,000
Investmentsin Joint Venturesat Cost		352,000	354,000
Goodwill And Other Intangible Assets		432,000	428,000
Other Intangible Assets		432,000	428,000
Net PPE	41,101,000	40,736,000
Accumulated Depreciation		-25,694,000	-23,831,000
Gross PPE		66,430,000	62,345,000
Construction In Progress		5,523,000	9,381,000
Other Properties		6,313,000	5,598,000
Machinery Furniture Equipment		21,585,000	16,319,000
Buildings And Improvements		12,046,000	10,667,000
Current Assets	14,092,000	13,790,000
Other Current Assets	609,000	580,000
Restricted Cash	280,000	230,000
Inventory	7,420,000	7,493,000
Finished Goods	3,042,000	3,332,000
Raw Materials	4,378,000	4,161,000
Receivables	2,046,000	1,663,000
Other Receivables	699,000
Taxes Receivable	666,000	686,000
Accounts Receivable	681,000	977,000
Cash Cash Equivalents And Short Term Investments	3,737,000	3,824,000
Cash And Cash Equivalents	3,737,000	3,824,000
Cash Equivalents
Cash Financial

Cash Flow

	2026	2025
Free Cash Flow	522,000	-312,000
Repurchase Of Capital Stock	-93,000	0
Repayment Of Debt	-1,111,000	-971,000
Issuance Of Debt	1,137,000	1,015,000
Capital Expenditure	-973,000	-1,005,000
End Cash Position	4,149,000	4,173,000
Beginning Cash Position	4,173,000	4,653,000
Changes In Cash	-24,000	-480,000
Financing Cash Flow	-534,000	-143,000
Cash Flow From Continuing Financing Activities	-534,000	-143,000
Net Other Financing Charges	-268,000	23,000
Proceeds From Stock Option Exercised	19,000	6,000
Cash Dividends Paid	-218,000	-216,000
Common Stock Dividend Paid	-218,000	-216,000
Net Common Stock Issuance	-93,000	0
Common Stock Payments	-93,000	0
Net Issuance Payments Of Debt	26,000	44,000
Net Long Term Debt Issuance	26,000	44,000
Long Term Debt Payments	-1,111,000	-971,000
Long Term Debt Issuance	1,137,000	1,015,000
Investing Cash Flow	-985,000	-1,030,000
Cash Flow From Continuing Investing Activities	-985,000	-1,030,000
Net Other Investing Changes	-12,000	-25,000
Capital Expenditure Reported	-973,000	-1,005,000
Operating Cash Flow	1,495,000	693,000
Cash Flow From Continuing Operating Activities	1,495,000	693,000
Change In Working Capital	139,000	-828,000
Change In Other Current Assets	0	-101,000
Change In Payables And Accrued Expense	-387,000	-43,000
Change In Payable	-387,000	-43,000
Change In Account Payable	-671,000	519,000
Change In Tax Payable	284,000	-562,000
Change In Income Tax Payable	284,000	-562,000
Change In Inventory	201,000	-596,000
Change In Receivables	325,000	-88,000
Changes In Account Receivables	325,000	-88,000
Other Non Cash Items	-639,000	94,000
Stock Based Compensation	68,000	23,000
Deferred Tax	19,000	263,000
Deferred Income Tax	19,000	263,000
Depreciation Amortization Depletion	514,000	485,000
Operating Gains Losses	7,000	27,000
Pension And Employee Benefit Expense	7,000	11,000
Net Income From Continuing Operations	1,387,000	565,000

📊 Quarterly mode — Graham Fair Value & 7 Criteria require annual data. Switch to Annual for full analysis.

Quarter vs Same Quarter Last Year

YoY strips seasonality

Revenue Growth (YoY)

Prior year: $5.7B ▲ $6.2B +8.8%

Revenue growth vs same quarter last year strips seasonality. Consistent double-digit growth is a Buffett hallmark.

Gross Margin

Prior year: 26.3% ▲ 26.5% +0.3pp

Buffett: consistent gross margin above 40% signals durable pricing power and competitive moat.

Operating Margin

Prior year: 25.1% ▲ 23.1% -2.0pp

Graham: operating margin reflects true business economics before financing. Trend matters as much as level.

Net Margin

Prior year: 6.1% ▲ 14.1% +8.0pp

Net margin can be distorted by one-time items, tax timing, or interest costs — compare to operating margin for signal quality.

Quarterly Health Checks

3 Graham/Buffett criteria that are valid and reliable on quarterly data

✅ Adequate Size

Graham required scale for resilience. Quarterly revenue × 4 gives an annualised proxy.

$6.2B/qtr (≈$24.9B ann.)

vs > $1.5B annualised revenue

✅ Financial Condition

Current assets vs current liabilities — a real-time liquidity snapshot. Valid and reliable on quarterly data.

2.39x current ratio

vs ≥ 2.0x

✅ Free Cash Flow

Buffett's most important single metric. A positive FCF quarter means the business generated real cash for owners after maintaining its asset base.

$522M

vs Positive

Operating Cash Flow

$1.5B

Latest quarter · Buffett's cash reality check

ROIC

2.1%

Based on latest annual operating income

Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.

Market Cap / Net Assets

3.1x

Net Assets: $31.5B

Asset Context — Copper

Asset-heavy businesses (energy, industrials, utilities, REITs) have physical assets with real replacement value — book value and Net Assets are more meaningful here than for technology or consumer brand companies. A low Market Cap / Net Assets ratio may indicate genuine undervaluation.

⚠️ Revenue grew vs prior year but operating margin contracted. Possible explanations: deliberate investment in growth (hiring, marketing, R&D), input cost inflation, or pricing pressure from competition. Buffett distinguishes between spending that builds moat vs. spending that doesn't.

Peers & Industry

No auto-detected peers for Copper. You can manually compare FCX against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.69%

Low — management has little skin in the game

Return on Equity (ROE)

4.5%

Weak — poor returns on equity

Return on Assets (ROA)

1.5%

Poor — assets are not generating adequate returns

Share Buybacks (Latest Year)

$107M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-0.9% YoY

Debt is declining — management is deleveraging

Leadership Team

Kathleen Lynne Quirk

CEO, President & Director

Age 61

Pay: $3,007,529

0.341% of net income

Maree Robertson

Executive VP & CFO

Age 49

Pay: $1,690,079

0.192% of net income

David Joint

Vice President of Investor Relations

Russell King

Senior Vice President of International Relations & Federal Government Affairs

Age 75

Cory Stevens

Senior Vice President and President & COO of Freeport McMoRan Mining Services

Top Institutional Holders

Institution	% Owned	Shares
Blackrock Inc.	8.76%	125,871,028
Vanguard Capital Management LLC	6.50%	93,403,193
Fisher Asset Management, LLC	4.53%	65,089,606
State Street Corporation	4.46%	64,185,008
Bank of America Corporation	2.95%	42,345,502
Capital Research Global Investors	2.84%	40,841,930
Franklin Resources, Inc.	2.46%	35,318,777
Geode Capital Management, LLC	2.25%	32,282,535

Risk Analysis

Beta (Market Risk)

1.36

Moderate volatility — moves slightly more than market

Short Interest

2.0% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

0.33x

Conservative balance sheet — low financial risk

Current Ratio

2.39x

Strong liquidity — Graham approved

52-Week Price Range

Low: $35.15 Current: $68.68 High: $72.28

Currently at 90% of 52-week range

Freeport-McMoRan Inc.

Metric Explanations

Full Graham Analysis

Income Highlights

Balance Sheet Highlights

Cash Flow Highlights

Quarter vs Same Quarter Last Year

Quarterly Health Checks

Operating Cash Flow

ROIC

Market Cap / Net Assets

Peers & Industry

Capital Allocation & Alignment

Leadership Team

Top Institutional Holders

Risk Analysis