We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
SCCO Gears Up to Report Q3 Earnings: What's in Store for the Stock?
Read MoreHide Full Article
Key Takeaways
Southern Copper's Q3 revenues are estimated at $4.50 billion, up 33.3%, with EPS projected to rise 53.3%.
Copper production fell 3.5% in Q2, while lower ore grades and recoveries in Peru weighed on output.
Higher metal prices and cost-control efforts may cushion lower production volumes and elevated expenses.
Southern Copper Corporation (SCCO - Free Report) is expected to deliver year-over-year improvements in both its top and bottom lines when it reports third-quarter 2026 results next week.
The Zacks Consensus Estimate for the quarter’s revenues is $4.50 billion, indicating year-over-year growth of 33.3%. The consensus mark for earnings suggests 53.3% growth from the year-ago quarter’s actual and is currently pegged at $2.07 per share. The estimate has moved up 14.4% in the past 60 days.
Image Source: Zacks Investment Research
Southern Copper’s Earnings Surprise History
The company’s bottom line beat the Zacks Consensus Estimate in each of the trailing four quarters. Over the same period, the company recorded an average earnings surprise of 6.34%.
Image Source: Zacks Investment Research
What the Zacks Model Unveils for SCCO
Our proven model does not conclusively predict an earnings beat for Southern Copper this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, but that is not the case here.
Earnings ESP: The Earnings ESP for SCCO is -4.35%. You can uncover the best stocks before they are reported with our Earnings ESP Filter.
Factors Likely to Have Shaped Southern Copper’s Q3 Performance
Copper production fell 3.5% year over year in the second quarter of 2026 to 230,662 tons, while first-half 2026 output declined 3.8% to 461,206 tons. The weakness was concentrated in Peru, where second-quarter production fell 12% because of lower ore grades and recoveries at Toquepala and Cuajone. Even though management raised its copper production outlook for 2026 to 917,000 tons, this suggests a 4% decline from the 956,270 tons of copper produced in 2025.
Other metals are also expected to see declines. Molybdenum production is projected at 27,900 tons in 2026, indicating a 10% decline from the 2025 level. Silver output is projected at 24 million ounces, a decrease of around 1% compared with 2025. Zinc production for the year is projected at 163,900 tons, 7% lower than the 2025 level.
We, thus, expect Southern Copper’s production to be lower year over year in the third quarter of 2026. For comparison, the company mined 234,892 tons of copper in the third quarter of 2025. Including third-party concentrate, copper production was reported at 237,333 tons. Molybdenum production for the quarter was 7,874 tons, silver was 6.2 million ounces and zinc output was 45,482 tons.
Metal prices have trended higher year over year in the third quarter. Copper was supported by demand expectations and supply concerns. Copper prices had touched an all-time high of $6.93 per pound in September, driven by intense front-loading ahead of anticipated U.S. tariffs and supply disruptions. Copper averaged $6.53 per pound in the third quarter. Although silver declined from its January high of $121.64 an ounce, prices averaged around $63 per ounce in the third quarter of 2026. Zinc and molybdenum prices also improved from last year. Zinc prices in the third quarter remained elevated and hovered near multi-year highs supported by persistent global supply tightness, shrinking Western smelter capacity and declining exchange inventories.
Higher realized prices are likely to have offset the impacts of lower production and sales volumes on the company’s revenues in the quarter. However, the company continues to face elevated operating costs and expenses pertaining to workers’ participation, repair materials (mainly heavy equipment spare parts), inventory variance and exchange rate variance. The company's cost-control initiatives are likely to have cushioned the impact on earnings.
SCCO Stock’s Price Performance
Southern Copper stock has gained 57.2% in a year compared with the industry’s 42.9% growth.
Image Source: Zacks Investment Research
Stocks Likely to Deliver Earnings Beat
Here are some Basic Material stocks with the right combination of elements to post an earnings beat in their upcoming releases.
Reliance, Inc. (RS - Free Report) , scheduled to release third-quarter 2026 earnings on Oct. 21, has an Earnings ESP of +3.37% and a Zacks Rank of 1 at present.
The Zacks Consensus Estimate for earnings for Reliance for the third quarter of 2026 is pegged at $6.76 per share, suggesting an 85.7% year-over-year increase. Reliance has a trailing four-quarter average earnings surprise of 3.15%.
OR Royalties Inc. (OR - Free Report) , scheduled to release third-quarter 2026 earnings on Nov. 11, has an Earnings ESP of +9.43% and a Zacks Rank of 2 at present.
The Zacks Consensus Estimate for OR Royalties’ earnings for the third quarter of 2026 is pegged at 27 cents per share, indicating 22.7% growth from the year-ago quarter’s reported figure. OR Royalties has a trailing four-quarter average earnings surprise of 9.98%.
FreeportMcMoRan (FCX - Free Report) , scheduled to release third-quarter 2026 earnings on Oct. 27, has an Earnings ESP of +2.60% and a Zacks Rank of 3 at present.
The Zacks Consensus Estimate for earnings for FreeportMcMoRan for the third quarter of 2026 is 75 cents per share, indicating a 50% year-over-year increase. FreeportMcMoRan has a trailing four-quarter average earnings surprise of 32.61%.
View the Zacks #1 Rank List
Image: Bigstock
SCCO Gears Up to Report Q3 Earnings: What's in Store for the Stock?
Key Takeaways
Southern Copper Corporation (SCCO - Free Report) is expected to deliver year-over-year improvements in both its top and bottom lines when it reports third-quarter 2026 results next week.
The Zacks Consensus Estimate for the quarter’s revenues is $4.50 billion, indicating year-over-year growth of 33.3%. The consensus mark for earnings suggests 53.3% growth from the year-ago quarter’s actual and is currently pegged at $2.07 per share. The estimate has moved up 14.4% in the past 60 days.
Image Source: Zacks Investment Research
Southern Copper’s Earnings Surprise History
The company’s bottom line beat the Zacks Consensus Estimate in each of the trailing four quarters. Over the same period, the company recorded an average earnings surprise of 6.34%.
Image Source: Zacks Investment Research
What the Zacks Model Unveils for SCCO
Our proven model does not conclusively predict an earnings beat for Southern Copper this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, but that is not the case here.
Earnings ESP: The Earnings ESP for SCCO is -4.35%. You can uncover the best stocks before they are reported with our Earnings ESP Filter.
Zacks Rank: Southern Copper currently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Factors Likely to Have Shaped Southern Copper’s Q3 Performance
Copper production fell 3.5% year over year in the second quarter of 2026 to 230,662 tons, while first-half 2026 output declined 3.8% to 461,206 tons. The weakness was concentrated in Peru, where second-quarter production fell 12% because of lower ore grades and recoveries at Toquepala and Cuajone. Even though management raised its copper production outlook for 2026 to 917,000 tons, this suggests a 4% decline from the 956,270 tons of copper produced in 2025.
Other metals are also expected to see declines. Molybdenum production is projected at 27,900 tons in 2026, indicating a 10% decline from the 2025 level. Silver output is projected at 24 million ounces, a decrease of around 1% compared with 2025. Zinc production for the year is projected at 163,900 tons, 7% lower than the 2025 level.
We, thus, expect Southern Copper’s production to be lower year over year in the third quarter of 2026. For comparison, the company mined 234,892 tons of copper in the third quarter of 2025. Including third-party concentrate, copper production was reported at 237,333 tons. Molybdenum production for the quarter was 7,874 tons, silver was 6.2 million ounces and zinc output was 45,482 tons.
Metal prices have trended higher year over year in the third quarter. Copper was supported by demand expectations and supply concerns. Copper prices had touched an all-time high of $6.93 per pound in September, driven by intense front-loading ahead of anticipated U.S. tariffs and supply disruptions. Copper averaged $6.53 per pound in the third quarter. Although silver declined from its January high of $121.64 an ounce, prices averaged around $63 per ounce in the third quarter of 2026. Zinc and molybdenum prices also improved from last year. Zinc prices in the third quarter remained elevated and hovered near multi-year highs supported by persistent global supply tightness, shrinking Western smelter capacity and declining exchange inventories.
Higher realized prices are likely to have offset the impacts of lower production and sales volumes on the company’s revenues in the quarter. However, the company continues to face elevated operating costs and expenses pertaining to workers’ participation, repair materials (mainly heavy equipment spare parts), inventory variance and exchange rate variance. The company's cost-control initiatives are likely to have cushioned the impact on earnings.
SCCO Stock’s Price Performance
Southern Copper stock has gained 57.2% in a year compared with the industry’s 42.9% growth.
Image Source: Zacks Investment Research
Stocks Likely to Deliver Earnings Beat
Here are some Basic Material stocks with the right combination of elements to post an earnings beat in their upcoming releases.
Reliance, Inc. (RS - Free Report) , scheduled to release third-quarter 2026 earnings on Oct. 21, has an Earnings ESP of +3.37% and a Zacks Rank of 1 at present.
The Zacks Consensus Estimate for earnings for Reliance for the third quarter of 2026 is pegged at $6.76 per share, suggesting an 85.7% year-over-year increase. Reliance has a trailing four-quarter average earnings surprise of 3.15%.
OR Royalties Inc. (OR - Free Report) , scheduled to release third-quarter 2026 earnings on Nov. 11, has an Earnings ESP of +9.43% and a Zacks Rank of 2 at present.
The Zacks Consensus Estimate for OR Royalties’ earnings for the third quarter of 2026 is pegged at 27 cents per share, indicating 22.7% growth from the year-ago quarter’s reported figure. OR Royalties has a trailing four-quarter average earnings surprise of 9.98%.
FreeportMcMoRan (FCX - Free Report) , scheduled to release third-quarter 2026 earnings on Oct. 27, has an Earnings ESP of +2.60% and a Zacks Rank of 3 at present.
The Zacks Consensus Estimate for earnings for FreeportMcMoRan for the third quarter of 2026 is 75 cents per share, indicating a 50% year-over-year increase. FreeportMcMoRan has a trailing four-quarter average earnings surprise of 32.61%.