Using the industry peer median P/E multiple (trailing + forward), Freeport-McMoRan Inc. (FCX) has a fair value of $64.09 based on 4 comparable companies in the Copper industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| Freeport-McMoRan Inc.FCX | 80,296 | 36.6x | 18.3x |
| Ecolab Inc.ECL | 75,091 | 36.4x | 39.9x |
| CRH plcCRH | 69,510 | 22.2x | 17.3x |
| Corteva, Inc.CTVA | 55,651 | 51.7x | 24.8x |
| Vulcan Materials CompanyVMC | 35,180 | 32.8x | 31.7x |
| Industry Median | 34.6x | 28.3x | |
| (*) Profit after tax | 2,204 | 4,379 | |
| Equity Value | 76,266 | 108,685 | |
| (/) Outstanding shares | 1,443 | 1,443 | |
| Fair Price | $53 | $75 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.