Freeport-McMoran Inc (NYSE:FCX) stock coverage was initiated by Berenberg Bank’s analyst with a Hold rating and a price target of $7.35. However, the suggested price target shows a downside of 1.08% compared to the current market price. The company’s stock is currently trading at $7.62 up by 2.67% as of 10.19AM EST on February 29. The increase in the market value of Freeport-McMoran stock was due to the rally in copper prices last Friday.

Berenberg analyst, Fawzi Hanano, highlighted a few key areas including the ongoing debt issues in the company. The analyst believes that the company should reduce its debt as there are rising concerns about risk of breaching the covenants in the near term. Furthermore, the research firm analyst stated in the report that stabilizing Freeport-McMoran’s financial position should be one of the priorities of management of the company. Moreover, any positive advancement in this area will result in enhanced investor’s confidence in the company.

The analyst also stated worries about the volatility in copper and oil prices which is currently the biggest risk for the company amid weak financial position. Moreover, as per the analyst, the company’s stock is one of the worst performers in the research firm coverage profile and he believes that the stock’s price will remain volatile in near future.

Some of the research firms have recently revised their ratings on Freeport-McMoran’s stock. Deutsche Bank slashed its price target for Freeport-McMoran’s stock to $6 from $7, however, maintained a Hold rating over the stock. Vetr downgraded its rating on Freeport-McMoran’s stock to a Hold from a Buy with a price target of $4.43. Moreover, Citigroup Inc. also revised its rating for company’s stock to a Neutral from a Sell with a price target of $4.50.

Freeport-McMoran’s stock market value is up by 12.19% year-to-date (YTD). However, Dow Jones Index and S&P 500 Index are down by 4.62% and 4.79% in the same period, respectively. The company’s stock has an average daily trading volume of 63.73 million and a 52 week range of $3.53-23.97.