In a recent transaction, Luis Miguel Palomino Bonilla, a director at Southern Copper Corp (NYSE:SCCO), sold shares of the company's stock. On September 17, 2024, Palomino Bonilla sold 100 shares at a price of $100 per share, totaling $10,000.
Southern Copper Corp, known for its significant role in metal mining, reported this transaction in a filing with the Securities and Exchange Commission. The sale slightly reduced Palomino Bonilla's holdings in the company, leaving him with 2,314 shares following the transaction.
Investors often monitor insider transactions as they can provide insights into the executives' perspectives on the company's current valuation and future prospects. The sale by Palomino Bonilla was executed directly, indicating that it was a personal transaction rather than through a trust or other entity.
The transaction was signed off by Andres Carlos Ferrero, acting as Attorney-in-Fact, and was filed the day after the sale took place. Southern Copper's stock transactions are closely watched by investors due to the company's influence in the copper market and its impact on global metal prices.
For those interested in Southern Copper's insider transactions, the company's stock is traded on the New York Stock Exchange under the ticker symbol SCCO.
In other recent news, Southern Copper Corporation has seen substantial developments. UBS has initiated coverage on the company with a Neutral rating and a $120.00 price target, acknowledging the company's advantageous position with long-life, low-cost copper assets and strong balance. The company has also announced the resumption of construction for the Tia Maria project in Peru, following discussions with the Peruvian government. This development underscores Southern Copper's commitment to regional and national interests.
On the financial front, Southern Copper reported a strong first quarter with earnings per share (EPS) of $0.95 and revenue of $2.6 billion. These figures exceeded analyst estimates, marking a significant achievement for the company. Jefferies has increased its price target for Southern Copper to $137, citing the company's operational strength and progress on the Tia Maria project. On the other hand, Scotiabank has revised its outlook, lowering its price target to $54, but anticipates an increase in the company's earnings before interest, taxes, depreciation, and amortization (EBITDA) from 2024 through 2026.
In other developments, the surge in illegal mining operations in Peru has led to increased traffic congestion along the country's crucial mining corridor highway. This situation poses challenges to the Peruvian government's efforts to boost investment and production in the sector and affects companies like Southern Copper operating in the region.
InvestingPro Insights
In light of the recent insider transaction at Southern Copper Corp (NYSE:SCCO), where director Luis Miguel Palomino Bonilla sold shares, investors might be curious about the company's financial health and performance metrics. According to InvestingPro data, Southern Copper boasts a substantial market capitalization of $79.57 billion, reflecting its significant presence in the metal mining industry. The company's Price/Earnings (P/E) Ratio stands at 29.1, with an adjusted P/E for the last twelve months as of Q2 2024 at 28.93, suggesting a stable earnings valuation over time.
One notable InvestingPro Tip is that Southern Copper has raised its dividend for 3 consecutive years, illustrating its commitment to returning value to shareholders. Additionally, the company has maintained dividend payments for an impressive 29 consecutive years, which may provide reassurance to investors looking for consistent income streams. Currently, the dividend yield is at 2.37%, with the last dividend ex-date recorded on August 9, 2024.
InvestingPro also highlights that Southern Copper operates with a moderate level of debt and has a strong history of profitability, having been profitable over the last twelve months. These factors, combined with the fact that liquid assets exceed short-term obligations, may indicate a solid financial footing for the company. For those seeking more in-depth analysis, InvestingPro offers additional tips on Southern Copper, which can be accessed by visiting the dedicated page for SCCO.
Investors tracking the performance of Southern Copper Corp can also note that the company's shares are currently trading at 78.05% of their 52-week high, with a previous close price of $99.18. With the next earnings date scheduled for October 22, 2024, stakeholders may want to stay updated on the company's quarterly developments and future outlook.
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