# Southern Copper Corporation (SCCO) — Stock CV

Southern Copper Corporation is a $177B materials company. Revenue grew 32.8% over the last year, it keeps 36¢ of every dollar of sales as profit, and its net debt equals ~0.4 years of free cash flow. It trades at 31.2× earnings — in the most expensive third of its own history.

> Southern Copper Corp is an integrated producer of copper and other minerals and operates the mining, smelting, and refining facilities in Peru and Mexico. Its production includes copper, molybdenum, zinc, and silver.

## Identity

- **Ticker**: SCCO
- **Sector**: Basic Materials
- **Industry**: Metal Mining
- **Headquarters**: PHOENIX, AZ
- **Employees**: 16 617
- **Website**: https://www.southerncoppercorp.com
- **Market cap**: $177B
- **Last price**: $209.42
- **Financial profile**: Strong

## Vitals (TTM)

- **Revenue**: $15.8B
- **Net income**: $5.66B
- **Free cash flow**: $5.10B
- **Net debt**: $1.84B
- **P/E**: 31.2
- **Revenue growth (YoY)**: 32.8%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 22 |
| Growth | 42 |
| Profitability | 100 |
| Health | 95 |
| Quality | 76 |
| Moat | 88 |

## Qualifications (beginner checklist) — 11 of 11 passed

- [x] Revenue growing — +32.8% YoY
- [x] Profitable — $5.66B TTM
- [x] Profit growing — +16.5% YoY
- [x] Generates cash — $5.10B TTM
- [x] Debt under control — ~0.4y of cash flow to repay
- [x] Established company — $177B market cap
- [x] Not printing shares — +6.9% shares over ~5y
- [x] Proven track record — 10/10 profitable years
- [x] Financially stable — Altman Z 10.9 — safe
- [x] Pays a dividend — yield 1.71%
- [x] Valuation not extreme — P/E 31.2

## Experience (career milestones)

- **FY2025** — Best year on record: $4.33B net income
- **FY2021** — Revenue crossed $10B: $10.9B for the year
- **FY2018** — Revenue crossed $1B: $7.10B for the year
- **FY2017** — Positive free cash flow every year since: 9-year streak
- **FY2016** — Profitable every year on record: 10 consecutive profitable years in our data
- **2005** — The company acquired Grupo Minera in Mexico from Grupo México for $3.75 billion
- **2005** — It changed its name from Southern Peru to Southern Copper Corporation
- **1999** — Grupo México acquired ASARCO and became the majority owner of Southern Copper
- **1996** — Southern Copper became a public company in January 1996 after a reorganization
- **1995** — ASARCO acquired an additional 10% of the company from Newmont for $116.4 million, raising its stake to 63%
- **1952** — The company was founded in 1952 as a joint venture between ASARCO and Newmont

## Strengths

- High gross margin (64.5%)
- Strongly profitable — 35.9% net margin
- Revenue growing 32.8% year over year
- Strong cash conversion — FCF is 32.3% of revenue
- Could repay net debt from ~0.3 years of free cash flow

## Watch-outs

- None stand out in the data.

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $10.9B | $3.40B | $3.40B |
| FY2022 | $10.0B | $2.64B | $1.85B |
| FY2023 | $9.90B | $2.43B | $2.56B |
| FY2024 | $11.4B | $3.38B | $3.39B |
| FY2025 | $13.4B | $4.33B | $3.43B |

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Source: https://stockcv.com/SCCO — derived from company filings; may be delayed or incomplete. Information, not investment advice.