ERAMET (ER7.DE) Stock Fundamental Analysis
FRA:ER7 - Deutsche Boerse Ag - FR0000131757 - Common Stock - Currency: EUR
Overall ER7 gets a fundamental rating of 3 out of 10. We evaluated ER7 against 37 industry peers in the Metals & Mining industry. There are concerns on the financial health of ER7 while its profitability can be described as average. ER7 has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
ER7 had positive earnings in the past year.
ER7 had a negative operating cash flow in the past year.
Of the past 5 years ER7 4 years were profitable.
Of the past 5 years ER7 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.22%, ER7 perfoms like the industry average, outperforming 42.11% of the companies in the same industry.
With a Return On Equity value of 0.97%, ER7 perfoms like the industry average, outperforming 42.11% of the companies in the same industry.
ER7's Return On Invested Capital of 1.34% is on the low side compared to the rest of the industry. ER7 is outperformed by 68.42% of its industry peers.
ER7 had an Average Return On Invested Capital over the past 3 years of 7.29%. This is in line with the industry average of 7.32%.
The last Return On Invested Capital (1.34%) for ER7 is well below the 3 year average (7.29%), which needs to be investigated, but indicates that ER7 had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.22% | ||
| ROE | 0.97% | ||
| ROIC | 1.34% |
ROA(3y)4.1%
ROA(5y)1.33%
ROE(3y)16.44%
ROE(5y)-1.91%
ROIC(3y)7.29%
ROIC(5y)7.73%
1.3 Margins
ER7 has a Profit Margin of 0.48%. This is comparable to the rest of the industry: ER7 outperforms 44.74% of its industry peers.
ER7's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 3.27%, ER7 perfoms like the industry average, outperforming 42.11% of the companies in the same industry.
In the last couple of years the Operating Margin of ER7 has declined.
ER7's Gross Margin of 66.89% is amongst the best of the industry. ER7 outperforms 89.47% of its industry peers.
In the last couple of years the Gross Margin of ER7 has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.27% | ||
| PM (TTM) | 0.48% | ||
| GM | 66.89% |
OM growth 3Y-46.5%
OM growth 5Y-18.83%
PM growth 3Y-61.12%
PM growth 5YN/A
GM growth 3Y-3.21%
GM growth 5Y23.96%
2. Health
2.1 Basic Checks
ER7 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, ER7 has more shares outstanding
Compared to 5 years ago, ER7 has more shares outstanding
Compared to 1 year ago, ER7 has an improved debt to assets ratio.
2.2 Solvency
ER7 has an Altman-Z score of 1.13. This is a bad value and indicates that ER7 is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.13, ER7 is not doing good in the industry: 76.32% of the companies in the same industry are doing better.
A Debt/Equity ratio of 1.35 is on the high side and indicates that ER7 has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.35, ER7 is doing worse than 81.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.13 |
ROIC/WACC0.15
WACC9.02%
2.3 Liquidity
A Current Ratio of 1.64 indicates that ER7 should not have too much problems paying its short term obligations.
ER7 has a Current ratio (1.64) which is comparable to the rest of the industry.
A Quick Ratio of 1.17 indicates that ER7 should not have too much problems paying its short term obligations.
ER7's Quick ratio of 1.17 is fine compared to the rest of the industry. ER7 outperforms 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
ER7 shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -88.47%.
Measured over the past years, ER7 shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -64.00% on average per year.
Looking at the last year, ER7 shows a decrease in Revenue. The Revenue has decreased by -9.78% in the last year.
ER7 shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.39% yearly.
EPS 1Y (TTM)-88.47%
EPS 3Y-64%
EPS 5YN/A
EPS Q2Q%406.32%
Revenue 1Y (TTM)-9.78%
Revenue growth 3Y-7.18%
Revenue growth 5Y-4.39%
Sales Q2Q%-10.08%
3.2 Future
ER7 is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 31.30% yearly.
Based on estimates for the next years, ER7 will show a small growth in Revenue. The Revenue will grow by 5.55% on average per year.
EPS Next Y-57.76%
EPS Next 2Y8.24%
EPS Next 3Y31.3%
EPS Next 5YN/A
Revenue Next Year5.37%
Revenue Next 2Y8.73%
Revenue Next 3Y5.55%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 112.14, ER7 can be considered very expensive at the moment.
60.53% of the companies in the same industry are cheaper than ER7, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.30, ER7 is valued quite expensively.
A Price/Forward Earnings ratio of 27.20 indicates a quite expensive valuation of ER7.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ER7 indicates a slightly more expensive valuation: ER7 is more expensive than 60.53% of the companies listed in the same industry.
ER7 is valuated rather expensively when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 112.14 | ||
| Fwd PE | 27.2 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ER7 is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.51 |
4.3 Compensation for Growth
A more expensive valuation may be justified as ER7's earnings are expected to grow with 31.30% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.24%
EPS Next 3Y31.3%
5. Dividend
5.1 Amount
ER7 has a Yearly Dividend Yield of 2.66%.
Compared to an average industry Dividend Yield of 3.11, ER7 pays a bit more dividend than its industry peers.
ER7's Dividend Yield is comparable with the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
307.14% of the earnings are spent on dividend by ER7. This is not a sustainable payout ratio.
DP307.14%
EPS Next 2Y8.24%
EPS Next 3Y31.3%
FRA:ER7 (7/9/2025, 7:00:00 PM)
48.22
+0.82 (+1.73%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners11.85%
Inst Owner ChangeN/A
Ins Owners0.17%
Ins Owner ChangeN/A
Market Cap1.39B
Analysts55
Price Target65.18 (35.17%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
Yearly Dividend1.51
Dividend Growth(5Y)N/A
DP307.14%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-23.51%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-39.06%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 112.14 | ||
| Fwd PE | 27.2 | ||
| P/S | 0.47 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.96 | ||
| P/tB | 1.38 | ||
| EV/EBITDA | 9.51 |
EPS(TTM)0.43
EY0.89%
EPS(NY)1.77
Fwd EY3.68%
FCF(TTM)-28.23
FCFYN/A
OCF(TTM)-4.35
OCFYN/A
SpS101.98
BVpS50.1
TBVpS34.87
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.22% | ||
| ROE | 0.97% | ||
| ROCE | 1.92% | ||
| ROIC | 1.34% | ||
| ROICexc | 1.63% | ||
| ROICexgc | 1.82% | ||
| OM | 3.27% | ||
| PM (TTM) | 0.48% | ||
| GM | 66.89% | ||
| FCFM | N/A |
ROA(3y)4.1%
ROA(5y)1.33%
ROE(3y)16.44%
ROE(5y)-1.91%
ROIC(3y)7.29%
ROIC(5y)7.73%
ROICexc(3y)10.98%
ROICexc(5y)11.38%
ROICexgc(3y)12.91%
ROICexgc(5y)13.43%
ROCE(3y)10.76%
ROCE(5y)11.32%
ROICexcg growth 3Y-56.22%
ROICexcg growth 5Y-25.38%
ROICexc growth 3Y-55.33%
ROICexc growth 5Y-24.94%
OM growth 3Y-46.5%
OM growth 5Y-18.83%
PM growth 3Y-61.12%
PM growth 5YN/A
GM growth 3Y-3.21%
GM growth 5Y23.96%
F-Score2
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.9 | ||
| Cap/Depr | 454.97% | ||
| Cap/Sales | 23.42% | ||
| Interest Coverage | 0.56 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | 1.13 |
F-Score2
WACC9.02%
ROIC/WACC0.15
Cap/Depr(3y)260.42%
Cap/Depr(5y)209.27%
Cap/Sales(3y)18.57%
Cap/Sales(5y)15.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-88.47%
EPS 3Y-64%
EPS 5YN/A
EPS Q2Q%406.32%
EPS Next Y-57.76%
EPS Next 2Y8.24%
EPS Next 3Y31.3%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.78%
Revenue growth 3Y-7.18%
Revenue growth 5Y-4.39%
Sales Q2Q%-10.08%
Revenue Next Year5.37%
Revenue Next 2Y8.73%
Revenue Next 3Y5.55%
Revenue Next 5YN/A
EBIT growth 1Y-23.81%
EBIT growth 3Y-50.34%
EBIT growth 5Y-22.39%
EBIT Next Year104.71%
EBIT Next 3Y37.27%
EBIT Next 5YN/A
FCF growth 1Y-61.75%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-161.27%
OCF growth 3YN/A
OCF growth 5YN/A