Southern Copper (SCCO) is an Arizona-based miner of copper, zinc, molybdenum and other precious metals. Copper sales make up nearly 76% of total revenue. The company has been able to increase revenue and earnings per share every year since 2009, having felt the impact of the great recession.
For the most part, copper spot prices have trading in a range of $3 to $4 for pound, with the exception of the decline associated with the Great Recession.
What is also consistent for Southern Copper is cash flow from operations. The company doubled its cash flow in 2010 to $1.92 billion and then increased it by 8% in 2011 and is expected to increase by another 37% in 2012. >>7 Dividend Stocks That Want to Pay You More Cash This cash flow has been deployed into capital expenditures and the 79.1% dividend payout. If housing picks up as certain economic data points have indicated, then the demand for and price of copper may be headed back up. Southern Copper shows up on a list of 9 High-Yield Stocks to Consider in Lieu of Bonds.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV