Fintel reports that on May 10, 2023, Goldman Sachs downgraded their outlook for Southern Copper (NYSE:SCCO) from Neutral to Sell .

Analyst Price Forecast Suggests 20.31% Downside

As of April 24, 2023, the average one-year price target for Southern Copper is 62.98. The forecasts range from a low of 43.43 to a high of $85.05. The average price target represents a decrease of 20.31% from its latest reported closing price of 79.04.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Southern Copper is 9,768MM, a decrease of 3.08%. The projected annual non-GAAP EPS is 2.95.

Southern Copper Declares $1.00 Dividend

On April 20, 2023 the company declared a regular quarterly dividend of $1.00 per share ($4.00 annualized). Shareholders of record as of May 9, 2023 will receive the payment on May 23, 2023. Previously, the company paid $1.00 per share.

At the current share price of $79.04 / share, the stock’s dividend yield is 5.06%.

Looking back five years and taking a sample every week, the average dividend yield has been 4.66%, the lowest has been 1.74%, and the highest has been 10.46%. The standard deviation of yields is 1.54 (n=237).

The current dividend yield is 0.26 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 1.01. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 3.38%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 805 funds or institutions reporting positions in Southern Copper. This is an increase of 27 owner(s) or 3.47% in the last quarter. Average portfolio weight of all funds dedicated to SCCO is 0.21%, an increase of 7.50%. Total shares owned by institutions increased in the last three months by 14.62% to 68,269K shares. The put/call ratio of SCCO is 0.60, indicating a bullish outlook.

What are Other Shareholders Doing?

FIL holds 6,050K shares representing 0.78% ownership of the company. In it’s prior filing, the firm reported owning 3,023K shares, representing an increase of 50.03%. The firm increased its portfolio allocation in SCCO by 151.51% over the last quarter.

Fisher Asset Management holds 3,311K shares representing 0.43% ownership of the company. In it’s prior filing, the firm reported owning 3,324K shares, representing a decrease of 0.39%. The firm increased its portfolio allocation in SCCO by 12.67% over the last quarter.

Price T Rowe Associates holds 3,217K shares representing 0.42% ownership of the company. In it’s prior filing, the firm reported owning 4,325K shares, representing a decrease of 34.43%. The firm decreased its portfolio allocation in SCCO by 1.63% over the last quarter.

Mawer Investment Management holds 2,757K shares representing 0.36% ownership of the company. In it’s prior filing, the firm reported owning 320K shares, representing an increase of 88.40%. The firm increased its portfolio allocation in SCCO by 1,054,311.05% over the last quarter.

Standard Life Aberdeen holds 2,702K shares representing 0.35% ownership of the company. In it’s prior filing, the firm reported owning 1,151K shares, representing an increase of 57.40%. The firm increased its portfolio allocation in SCCO by 172.81% over the last quarter.

Southern Copper Background Information
(This description is provided by the company.)

Southern Copper Corporation is one of the largest integrated copper producers in the world and has the largest copper reserves of the industry. The company is a NYSE and Lima Stock Exchange listed company that is 88.9% owned by Grupo Mexico, a Mexican company listed on the Mexican Stock Exchange. The remaining 11.1% ownership interest is held by the international investment community. Southern Copper Corp. operates mining units and metallurgical facilities in Mexico, Peru and conduct exploration activities in Argentina, Chile, Ecuador, Mexico and Peru.

See all Southern Copper regulatory filings.

This article originally appeared on Fintel