Why Freeport-McMoRan Stock Rose Nearly 11% in October
Shares of copper and gold miner Freeport-McMoRan (NYSE: FCX) rose just shy of 11% in October, according to data from S&P Global Market Intelligence. Performance, however, didn't go in a straight line across the month. In fact, the stock was up by 17% at one point, just after the company reported earnings. But over the last week of the month the stock headed lower, giving back a portion of its gains.
It would be easy to suggest that earnings were the problem, but the numbers were actually pretty solid. For example, year-over-year revenues were higher by 22% in the third quarter, with earnings coming in at $0.22 per share up from a loss of $0.15 per share in the same quarter of 2019. That said, the improved performance was largely attributable to increased selling prices for copper and gold, higher by 15% and 28%, respectively. Production of both copper and gold was lower year over year, though the company actually sold more copper in the third quarter of 2020 than it did in the same period of 2019. On the whole, Freeport-McMoRan appears to have had a decent third quarter. So why did the stock start to fall after the company reported results?
Image source: Getty Images.
Source Fool.com
