Southern Copper SCCO
Southern Copper is a copper mining company with operations in Peru and Mexico, vertically integrated from extraction to smelting. Southern Copper shows exceptional financial health and quality (ROIC 45.92, operating margin 61.16), but its valuation is demanding (P/E 30.57) and the 71.6% growth is likely unsustainable.
Detailed metrics
Market and fundamental data as of the analysis date.
Full AI report
Generated automatically from the metrics, the macro context and the company's news.
Southern Copper is a copper mining company with operations in Peru and Mexico, vertically integrated from extraction to smelting. Southern Copper shows exceptional financial health and quality (ROIC 45.92, operating margin 61.16), but its valuation is demanding (P/E 30.57) and the 71.6% growth is likely unsustainable.
Score by category
| Category | Score |
|---|---|
| Financial health | 8.4 |
| Quality / Moat | 8.8 |
| Valuation | 3.6 |
| Growth | 7.2 |
| Dividend | 6.8 |
| Momentum | 9.2 |
| Risk & Context | 5.1 |
OVERALL SCORE: 6.8/10
Context and risks
Geopolitical risk due to the concentration of operations in Peru and Mexico, countries with a history of political and fiscal tensions in the mining sector. Possible new taxes or social unrest could affect production and costs.
News considered in the analysis
- Southern Copper (SCCO) Stock Could Be Overvalued On Current Earnings Strength — Artículo de opinión que cuestiona la valoración actual, sin datos nuevos sobre la compañía.
- How Upgraded Earnings Estimates Will Impact Southern Copper’s (SCCO) Profitability Narrative — Menciona revisiones al alza de estimaciones de beneficio, un factor positivo para el sentimiento.
- Can Freeport-McMoRan's Growth Projects Drive the Next Expansion Wave? — Noticia sobre un competidor directo, sin impacto directo en los fundamentales de SCCO.
- Southern Copper Corporation (SCCO) is Attracting Investor Attention: Here is What You Should Know — Artículo genérico de Zacks que resume datos conocidos, sin información nueva.
- FCX vs. SCCO: Which Copper Mining Giant Should You Bet on? — Comparativa genérica entre dos mineras, sin catalizadores específicos para SCCO.
Verdict: Hold, given strong momentum and quality, but with a valuation that already prices in much of the good news.
Main risk: Geopolitical risk in Peru and Mexico, where its operations are concentrated, which could lead to higher taxes or social instability.
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