FMP

FMP

Southern Copper Corporation (SCCO) Quarterly Earnings Preview

  • Southern Copper Corporation (NYSE:SCCO) is set to announce its quarterly earnings with an expected EPS of $1.53 and projected revenue of $3.73 billion.
  • The company's production of nearly 235 million tons of copper in Q3 2025 underscores its capacity to meet the surging demand for copper, essential for AI technologies.
  • Despite a high P/E ratio of 40.56, Southern Copper's strategic expansions and financial health position it as a potential hidden winner in the AI sector.

Southern Copper Corporation, listed on the NYSE as SCCO, is a major player in the copper mining industry. The company is preparing to announce its quarterly earnings on January 27, 2026. Analysts predict an earnings per share (EPS) of $1.53 and project revenue to reach around $3.73 billion. Southern Copper's operations are crucial in meeting the rising demand for copper, especially with the growth of AI technologies.

In the third quarter of 2025, Southern Copper produced nearly 235 million tons of copper. This production level highlights the company's capacity to meet increasing copper demand. The company plans to expand its operations with new projects set to launch in 2027 and 2028. These expansions position Southern Copper as a key player in the supply chain supporting AI development.

Despite a high price-to-earnings (P/E) ratio of 40.56, Southern Copper's strategic positioning in the copper market makes it a potential hidden winner in the AI sector. The company's price-to-sales ratio is 12.51, and its enterprise value to sales ratio is 12.79. These metrics indicate the company's market valuation relative to its sales and enterprise value.

Southern Copper's financial health is further supported by its earnings yield of 2.47% and a debt-to-equity ratio of 0.71, indicating a moderate level of debt compared to equity. The company's current ratio of 4.52 suggests strong liquidity, ensuring it can meet its short-term obligations. This financial stability is crucial as the company expands its operations to capitalize on the growing demand for copper.