SOUTHERN COPPER CORP/ (SCCO) Stock Analysis

Analysis from 10-Q filed 2025-10-31. Data as of Q2 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 31.7%. FCF margin 32.3%. D/E 0.6x. Source: 10-Q filed 2025-10-31.

Metric	Value	Context
ROIC	31.7%	Above industry average
FCF Margin	32.3%	Strong cash generation
Debt/Equity	0.6x	Moderate leverage

ROIC 31.7% — Top 5% of sector peers. FCF margin 32.3% — Top 5%.

Explore SOUTHERN COPPER CORP/: Earnings History | Filings

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for SCCO: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.

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Profitability: SOUTHERN COPPER CORP/ earns 31.7% ROIC, Top 5% in Materials

ROIC TTM 31.7%, sector median 4.0%, Top 5%. DuPont: NOPAT margin 36.2% × asset turnover 0.7x. Gross margin 63.8%. Operating margin 56.9%. Source: 10-Q filed 2025-10-31.

Metric	SCCO	Rating	Context
Return on Invested Capital (ROIC)	31.7%	Excellent	Above sector median of 4.0%
Return on Equity (ROE)	51.0%	Excellent	Efficient use of shareholder equity
Gross Margin	63.8%	Excellent	Strong pricing power
Operating Margin	56.9%	Excellent	Efficient operations

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Cash Flow: SOUTHERN COPPER CORP/ generates $5.1B FCF at 32.3% margin, positive NaN/8 quarters

FCF TTM $5.1B. FCF margin 32.3%, Top 5%. OCF/Net income 1.2x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-10-31.

Metric	SCCO	Rating	Context
Free Cash Flow Margin	32.3%	Excellent	Excellent cash conversion
Free Cash Flow (TTM)	$5.1B	Good	Positive cash generation
OCF/Net Income	1.2x	Excellent	High earnings quality
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

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Balance Sheet: SOUTHERN COPPER CORP/ at 0.6x leverage

Debt/Equity 0.6x. Total debt $8.0B, cash & investments $7.3B. Source: 10-Q filed 2025-10-31.

Metric	SCCO	Rating	Context
Debt to Equity	0.6x	Good	Moderate leverage
Net Cash Position	$-664.5M	Adequate	Net debt position

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Valuation: SOUTHERN COPPER CORP/ trades at 25.6x earnings

P/E 25.6x. EV/Sales 7.6x. FCF yield 3.5%. Dividend yield 2.1%. Source: 10-Q filed 2025-10-31.

Metric	SCCO	Rating	Context
P/E Ratio	25.6x	Adequate	Premium valuation
EV/Sales	7.6x	Adequate	Growth premium priced in
FCF Yield	3.5%	Adequate	Lower cash yield
Dividend Yield	2.1%	Adequate	Growth focus over income

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Capital Allocation: SOUTHERN COPPER CORP/ returns 2.1% shareholder yield

Total shareholder yield 2.1% (div 2.1%). Capital returned $3.0B TTM. Source: 10-Q filed 2025-10-31.

Metric	SCCO	Rating	Context
Total Shareholder Yield	2.1%	Adequate	Dividend + buyback yield combined
Total Capital Returned (TTM)	$3.0B	Good	Dividends + buybacks returned to shareholders

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Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	31.7%	Top 5%	7.9x above
Free Cash Flow Margin	32.3%	Top 5%	114.1x above
Gross Margin	63.8%	Top 5%	2.3x above
Operating Margin	56.9%	Top 5%	8.2x above
Return on Equity (ROE)	51.0%	Top 5%	7.8x above
P/E Ratio	25.6x	N/A	-

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Financial Scorecard

Metric	SCCO	Rating	Sector Context
Return on Invested Capital (ROIC)	31.7%	Excellent	Top 5% of sector (median: 4.0%)
Free Cash Flow Margin	32.3%	Excellent	Top 5% of sector (median: 0.3%)
Gross Margin	63.8%	Excellent	Top 5% of sector (median: 27.4%)
Debt to Equity Ratio	63.3%	Good	Moderate leverage
P/E Ratio (Price-to-Earnings)	25.6x	Adequate	Growth premium
Free Cash Flow Yield	3.5%	Adequate	Moderate yield

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Frequently Asked Questions

Q: What is SOUTHERN COPPER CORP/'s Return on Invested Capital (ROIC)?

SOUTHERN COPPER CORP/ (SCCO) has a trailing twelve-month Return on Invested Capital (ROIC) of 31.7%. Sector median 4.0%. Source: 10-Q filed 2025-10-31.

Q: What is SOUTHERN COPPER CORP/'s Free Cash Flow Margin?

SOUTHERN COPPER CORP/ (SCCO) has a free cash flow margin of 32.3%, generating $5.1 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-10-31.

Q: What is SOUTHERN COPPER CORP/'s P/E ratio and how does it compare to peers?

SOUTHERN COPPER CORP/ (SCCO) trades at a P/E ratio of 25.6x, which is above the sector median of N/A. EV/Sales 7.6x. FCF yield 3.5%. Source: 10-Q filed 2025-10-31.

Q: Does SOUTHERN COPPER CORP/ pay a dividend?

SOUTHERN COPPER CORP/ (SCCO) currently pays a dividend yield of 2.1%. Total shareholder yield (dividend + buybacks) 2.1%. Source: 10-Q filed 2025-10-31.

Q: How much debt does SOUTHERN COPPER CORP/ have?

SOUTHERN COPPER CORP/ (SCCO) has a debt-to-equity ratio of 0.6x with total debt of $8.0 billion. Net debt $664.5 million. Source: 10-Q filed 2025-10-31.

Q: What is SOUTHERN COPPER CORP/'s revenue and earnings growth?

SOUTHERN COPPER CORP/ (SCCO) grew revenue by 32.8% year-over-year. EPS +54.4% YoY. Source: 10-Q filed 2025-10-31.

Q: How does SOUTHERN COPPER CORP/ compare to competitors in Materials?

Compared to other companies in Materials, SOUTHERN COPPER CORP/ (SCCO) shows: ROIC 31.7%, sector median 4.0% (Top 5%). FCF margin 32.3%, sector median 0.3% (Top 5%). Gross margin 63.8%, 36.4pp above sector median. These rankings are based on MetricDuck's analysis of all Materials companies with available SEC filings.

Q: What warning signs should I watch for with SOUTHERN COPPER CORP/?

No quantitative warning flags fired for SOUTHERN COPPER CORP/ (SCCO) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-Q filed 2025-10-31.

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Data Source: Data sourced from 10-Q filed 2025-10-31. TTM metrics as of Q2 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.