Southern Copper Target of Unusually High Options Trading (NYSE:SCCO)

Southern Copper Corporation (NYSE:SCCO) saw unusually large options trading on Monday. Traders purchased 19,229 put options on the stock. This represents an increase of 760% compared to the average volume of 2,237 put options.

Insider Activity

In other news, Director Bonilla Luis Miguel Palomino sold 400 shares of the firm’s stock in a transaction that occurred on Wednesday, December 3rd. The shares were sold at an average price of $139.00, for a total transaction of $55,600.00. Following the completion of the sale, the director owned 1,265 shares of the company’s stock, valued at approximately $175,835. This trade represents a 24.02% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Over the last quarter, insiders sold 948 shares of company stock valued at $131,130. Corporate insiders own 0.07% of the company’s stock.

Hedge Funds Weigh In On Southern Copper

A number of hedge funds have recently modified their holdings of SCCO. Norden Group LLC raised its position in shares of Southern Copper by 7.8% during the fourth quarter. Norden Group LLC now owns 9,084 shares of the basic materials company’s stock worth $1,303,000 after purchasing an additional 655 shares during the period. National Wealth Management Group LLC purchased a new position in Southern Copper in the 4th quarter worth about $1,281,000. Foster Group Inc. acquired a new stake in Southern Copper during the 4th quarter worth about $236,000. Focus Financial Network Inc. lifted its stake in Southern Copper by 43.2% during the fourth quarter. Focus Financial Network Inc. now owns 2,694 shares of the basic materials company’s stock valued at $387,000 after buying an additional 813 shares in the last quarter. Finally, Avanza Fonder AB boosted its holdings in shares of Southern Copper by 0.8% in the fourth quarter. Avanza Fonder AB now owns 8,736 shares of the basic materials company’s stock worth $1,253,000 after buying an additional 73 shares during the period. 7.94% of the stock is currently owned by institutional investors and hedge funds.

Southern Copper Price Performance

Shares of NYSE:SCCO opened at $174.74 on Wednesday. The stock has a market cap of $141.92 billion, a price-to-earnings ratio of 36.63, a PEG ratio of 1.49 and a beta of 1.06. The company has a debt-to-equity ratio of 0.64, a current ratio of 4.52 and a quick ratio of 3.91. Southern Copper has a 12 month low of $74.84 and a 12 month high of $177.39. The stock’s 50 day moving average price is $142.04 and its 200 day moving average price is $120.99.

Southern Copper (NYSE:SCCO) last posted its quarterly earnings data on Friday, October 31st. The basic materials company reported $1.35 EPS for the quarter, topping analysts’ consensus estimates of $1.26 by $0.09. Southern Copper had a return on equity of 38.74% and a net margin of 30.98%.The company had revenue of $3.38 billion for the quarter, compared to the consensus estimate of $3.05 billion. Equities research analysts anticipate that Southern Copper will post 4.66 earnings per share for the current fiscal year.

Southern Copper Cuts Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, November 28th. Stockholders of record on Wednesday, November 12th were given a dividend of $0.90 per share. The ex-dividend date was Wednesday, November 12th. This represents a $3.60 annualized dividend and a dividend yield of 2.1%. Southern Copper’s dividend payout ratio (DPR) is 75.47%.

Analyst Upgrades and Downgrades

SCCO has been the topic of a number of research reports. Itau BBA Securities cut shares of Southern Copper from a “market perform” rating to an “underperform” rating and set a $126.00 target price on the stock. in a report on Monday, December 22nd. UBS Group reiterated a “neutral” rating and set a $143.00 price objective (up previously from $135.00) on shares of Southern Copper in a research note on Friday, December 12th. JPMorgan Chase & Co. lifted their target price on Southern Copper from $114.50 to $119.50 and gave the company a “neutral” rating in a research note on Thursday, December 18th. The Goldman Sachs Group restated a “sell” rating and set a $115.00 price objective (up from $89.00) on shares of Southern Copper in a research note on Wednesday, October 29th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Southern Copper in a research note on Monday, December 29th. Two research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and five have issued a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and an average price target of $127.65.

About Southern Copper

Southern Copper Corporation (NYSE: SCCO) is a large, integrated copper producer whose operations span the full value chain from exploration and mining to smelting, refining and the sale of copper and other metal products. The company produces a range of copper products including copper concentrate and refined cathodes, and recovers valuable byproducts such as molybdenum, silver and zinc. Southern Copper concentrates on high-volume, long-life assets designed to support steady production and processing capabilities.

Southern Copper’s operations are concentrated in Peru and Mexico, where it owns and operates multiple large-scale mining and processing facilities.