Freeport McMoRan downgraded at Stifel, Grasberg export restart is priced in


Freeport McMoRan (NYSE:FCX) is downgraded to Hold from Buy at Stifel, which says shares already reflect the restart of exports from Indonesia.

Stifel views the memorandum of understanding FCX signed last month with the Indonesian government as a step in the right direction since it removes the near-term overhang on shares, although it believes the 18% rally from March lows suggests the market had been expecting a deal; bigger questions regarding mine ownership and permits beyond 2021 remain, the firm says.

FCX -1% premarket.

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Comments (10)
  • BAHAMAS1
    , contributor
    Comments (5167) | Send Message
     
    YAWN !
    Another bunch of crap from another brokerage. Like they are really looking into 2021 ! What BS !

     

    Stifel will probably be buying today for their top clients and themselves.

     

    Long FCX
    14 Aug 2014, 08:58 AM Reply Like
  • crash9010
    , contributor
    Comments (183) | Send Message
     
    I have found that when companies get crapped on by speculation or short attacks I buy. They often offer short term cheapness in the stock. I did it with JPM during the "white whale", with Linn and Kinder during Hedgeeye attacks, may even do it here or even with GM. In each case mentioned I have made good money. Patience, discipline, and knowing what you own goes a long way.
    14 Aug 2014, 10:01 AM Reply Like
  • BAHAMAS1
    , contributor
    Comments (5167) | Send Message
     
    Well said crash9010.
    It's like we're all stupid and the only ones in the know are the brokerage houses. Been sloppin' in the mud too long to have these kind of "downgrade" comments on good long term hold companies bother me.

     

    The 3.5% Dividend doesn't hurt either !
    14 Aug 2014, 11:02 AM Reply Like
  • mydogmoe
    , contributor
    Comments (1430) | Send Message
     
    I tend to agree with the previous posters. Why would you downgrade a stock when the barriers to growth and profitability have just been removed? The ink hasn't even dried on the deal...
    14 Aug 2014, 10:28 AM Reply Like
  • Siwanoy
    , contributor
    Comments (717) | Send Message
     
    I've not seen anything about the report to help me understand the downgrade, other than the view that the stock is on a growth course commseurate with market expectations. Maybe the problem is with optimistic market expectations.
    14 Aug 2014, 11:04 AM Reply Like
  • Just Some Guy
    , contributor
    Comments (2500) | Send Message
     
    I've noticed the stock price falling recently even while PM prices rising not to mention political stability falling. Mystified. If FCX declines to the 200ma I buy more!
    14 Aug 2014, 11:06 AM Reply Like
  • user 18159032
    , contributor
    Comments (2057) | Send Message
     
    It is, as they say in this area, "passing strange" that a stock gets down graded on such good news as regaining 20% of a company's production capacity. But it is normal for wall street--remember--buy on rumor sell on fact. Nuff said. In fact, that is a short but accurate summary of Stifel's rationale
    14 Aug 2014, 11:46 AM Reply Like
  • 30043175
    , contributor
    Comments (143) | Send Message
     
    What is Stifel? It sounds like some type of STD.
    14 Aug 2014, 03:58 PM Reply Like
  • clack
    , contributor
    Comments (71) | Send Message
     
    Stifel is what Archie Bunker advised Edith to do.
    14 Aug 2014, 10:11 PM Reply Like
  • BAHAMAS1
    , contributor
    Comments (5167) | Send Message
     
    What is stifel ?

     

    They are Buyers of FCX !
    15 Aug 2014, 08:14 AM Reply Like
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