The manufacturing division of Phelps Dodge Corporation, Phelps
Dodge Industries, consists of leading companies that manufacture
engineered products for the global energy, telecommunications,
transportation and specialty chemicals sectors. It employs more
than 5,000 people worldwide.
The division is dedicated to serving customers in any global
location and has developed a strong worldwide presence, with 30
manufacturing facilities in 17 countries. In each of those
geographic locations, Phelps Dodge Industries' companies possess
significant market share, internationally competitive cost
structures, and strong quality and technology positions. These
strengths allow the division to be a leading manufacturer of
products that help bring energy to homes and businesses and
extend the life of tires and rubber products.
The mining and metals division of Phelps Dodge Corporation, Phelps
Dodge Mining Company, is one of the world's leading producers of
copper and molybdenum and is the world's largest producer of
continuous-cast copper rod. It employs approximately 10,000 people
Phelps Dodge Mining Company has achieved its premier status in the
industry through safe, efficient and environmentally responsible
production of low-cost, high-quality metals and minerals. The
division continues to further its competitive position through the
use of advanced technology, strategic acquisitions and the
discovery and development of mineral deposits.
Phelps Dodge is Founding Shareholder of Quadrem, Mining, Minerals
and Metals eMarketplace. Quadrem is an open, independent, Internet
based global procurement and services eMarketplace, serving
suppliers and buyers in the mining, minerals and metals industry.
(Source: Phelps Dodge)
Reasons To Invest
Cyclical stocks have shown signs of strength in this market.
Those companies tied to the basic materials markets have
traded exceptionally well. Phelps Dodge falls into both
The company is the world's second largest producer of copper.
The firm recently said the it sees a balance in the copper
market for the remained of this year, based on the need to
restock inventories ahead of the economic recovery. Phelps
Dodge officials expect worldwide copper demand to grow by
between 2 and 2.5 percent this year and continue expanding
into next year.
The copper industry contracted by roughly 13 percent last year
as a whole, but with a rebound in several copper intensive
sectors, the business could exceed expectations this year.
Helping along with the rebound has been recent strength in
the automobile industry and the construction business. A
rebound in the manufacturing of electronic and electrical
equipment segments would increase the rebound of the copper
Specific to Phelps Dodge, we've noticed a trend in recent
insider transactions that bodes well for the stock. Since
last fall, insiders have been quietly accumulating shares.
Granted the purchases haven't been big, but they've been
purchases nonetheless. We're betting with the insider at
Shares to Qualify = 10 Accept Foreign Accounts: Yes
Auto-reinvestment = Yes Temper Enrollment Serv: Yes
Min/Max Investment = $100 to $1,000/month
Reinvestment Fees -
Div : 0
Cash: 12 cents per share
Industry Group: Metals 52-week high=$51.20
Annual Dividend Per Share= 0.50 52-week low =$25.74
Last earnings 01/1 est = -1.30 actual = -1.01
Next earnings 04-15 est = -1.20 versus = -0.19
P/E = N/A
Strong Buy = 2
Moderate Buy = 0
Hold = 14
Moderate Sell = 2
Strong Sell = 0