Freeport-McMoRan (FCX) Stock Forecast & Price Target

Freeport-McMoRan maintains a robust balance sheet and possesses significant reserves, with approximately 25 years of copper reserves remaining, positioning the company favorably for sustained production volumes. In 2024, the company reported sales of around 1.2 million metric tons of copper, 900,000 ounces of gold, and 70 million pounds of molybdenum, highlighting its status as one of the largest copper miners globally. Furthermore, through strategic initiatives aimed at reducing greenhouse gas emissions and transitioning to renewable energy sources, Freeport is set to enhance its operational efficiency and sustainability, which could contribute to positive long-term financial outlooks.

Freeport-McMoRan's outlook is negatively impacted by expectations of a significant decline in gold production, particularly from its Grasberg operations, projected to fall to approximately 650,000 ounces by 2029, which signals potential revenue challenges. The company's valuation has been adjusted downward, with a NAV estimate decreasing by 3% from $36.06 to $35.05, reflecting concerns over production levels that are expected to be 35% below prior guidance in 2026. Furthermore, despite trading below its historical EV/EBITDA multiple, Freeport remains higher than North American copper peers, with anticipated consensus EBITDA reductions of around 20%, indicating a deteriorating financial position relative to the market.