ERO COPPER CORP (ERO.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:ERO • CA2960061091
50.33 CAD
+3.59 (+7.68%)
Last: Feb 3, 2026, 07:00 PM
Taking everything into account, ERO scores 6 out of 10 in our fundamental rating. ERO was compared to 814 industry peers in the Metals & Mining industry. While ERO belongs to the best of the industry regarding profitability, there are concerns on its financial health. ERO is evaluated to be cheap and growing strongly. This does not happen too often!
1. Profitability
1.1 Basic Checks
- In the past year ERO was profitable.
- ERO had a positive operating cash flow in the past year.
- ERO had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years ERO had a positive operating cash flow.
1.2 Ratios
- ERO's Return On Assets of 7.34% is amongst the best of the industry. ERO outperforms 90.79% of its industry peers.
- Looking at the Return On Equity, with a value of 15.57%, ERO belongs to the top of the industry, outperforming 93.49% of the companies in the same industry.
- ERO has a Return On Invested Capital of 9.11%. This is amongst the best in the industry. ERO outperforms 93.37% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ERO is below the industry average of 12.04%.
- The last Return On Invested Capital (9.11%) for ERO is above the 3 year average (8.14%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 15.57% | ||
| ROIC | 9.11% |
ROA(3y)3.34%
ROA(5y)9.91%
ROE(3y)6.26%
ROE(5y)18.84%
ROIC(3y)8.14%
ROIC(5y)19.2%
1.3 Margins
- ERO's Profit Margin of 23.43% is amongst the best of the industry. ERO outperforms 94.72% of its industry peers.
- ERO has a better Operating Margin (29.97%) than 94.47% of its industry peers.
- In the last couple of years the Operating Margin of ERO has remained more or less at the same level.
- ERO has a better Gross Margin (39.72%) than 93.00% of its industry peers.
- In the last couple of years the Gross Margin of ERO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.97% | ||
| PM (TTM) | 23.43% | ||
| GM | 39.72% |
OM growth 3Y-22.63%
OM growth 5Y-1.37%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-16.13%
GM growth 5Y-1.36%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ERO is destroying value.
- The number of shares outstanding for ERO has been increased compared to 1 year ago.
- ERO has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for ERO is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 3.40 indicates that ERO is not in any danger for bankruptcy at the moment.
- ERO has a Altman-Z score (3.40) which is in line with its industry peers.
- The Debt to FCF ratio of ERO is 14.97, which is on the high side as it means it would take ERO, 14.97 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of ERO (14.97) is better than 89.56% of its industry peers.
- A Debt/Equity ratio of 0.64 indicates that ERO is somewhat dependend on debt financing.
- ERO has a Debt to Equity ratio of 0.64. This is in the lower half of the industry: ERO underperforms 72.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.97 | ||
| Altman-Z | 3.4 |
ROIC/WACC0.92
WACC9.9%
2.3 Liquidity
- ERO has a Current Ratio of 0.82. This is a bad value and indicates that ERO is not financially healthy enough and could expect problems in meeting its short term obligations.
- ERO's Current ratio of 0.82 is on the low side compared to the rest of the industry. ERO is outperformed by 64.00% of its industry peers.
- ERO has a Quick Ratio of 0.82. This is a bad value and indicates that ERO is not financially healthy enough and could expect problems in meeting its short term obligations.
- ERO has a Quick ratio of 0.44. This is in the lower half of the industry: ERO underperforms 70.02% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.44 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 52.44% over the past year.
- Measured over the past years, ERO shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.60% on average per year.
- ERO shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.74%.
- The Revenue has been growing by 10.55% on average over the past years. This is quite good.
EPS 1Y (TTM)52.44%
EPS 3Y-30.56%
EPS 5Y-2.6%
EPS Q2Q%0%
Revenue 1Y (TTM)26.74%
Revenue growth 3Y-1.36%
Revenue growth 5Y10.55%
Sales Q2Q%41.86%
3.2 Future
- The Earnings Per Share is expected to grow by 31.51% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 16.22% on average over the next years. This is quite good.
EPS Next Y179.88%
EPS Next 2Y122.58%
EPS Next 3Y71.31%
EPS Next 5Y31.51%
Revenue Next Year60.62%
Revenue Next 2Y52.71%
Revenue Next 3Y32.18%
Revenue Next 5Y16.22%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 29.43, ERO can be considered very expensive at the moment.
- Based on the Price/Earnings ratio, ERO is valued cheaper than 90.54% of the companies in the same industry.
- ERO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 9.54, the valuation of ERO can be described as reasonable.
- 94.10% of the companies in the same industry are more expensive than ERO, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.51, ERO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.43 | ||
| Fwd PE | 9.54 |
4.2 Price Multiples
- ERO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ERO is cheaper than 93.24% of the companies in the same industry.
- 91.89% of the companies in the same industry are more expensive than ERO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 89.57 | ||
| EV/EBITDA | 16.15 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- ERO has an outstanding profitability rating, which may justify a higher PE ratio.
- ERO's earnings are expected to grow with 71.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.16
PEG (5Y)N/A
EPS Next 2Y122.58%
EPS Next 3Y71.31%
5. Dividend
5.1 Amount
- ERO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TSX:ERO (2/3/2026, 7:00:00 PM)
50.33
+3.59 (+7.68%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)11-04 2025-11-04/amc
Earnings (Next)03-04 2026-03-04/amc
Inst Owners76%
Inst Owner ChangeN/A
Ins Owners5.99%
Ins Owner ChangeN/A
Market Cap5.21B
Revenue(TTM)588.23M
Net Income(TTM)137.81M
Analysts75
Price Target39.52 (-21.48%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-16.33%
Min EPS beat(2)-43.87%
Max EPS beat(2)11.2%
EPS beat(4)2
Avg EPS beat(4)-0.33%
Min EPS beat(4)-44.95%
Max EPS beat(4)76.3%
EPS beat(8)4
Avg EPS beat(8)3.42%
EPS beat(12)5
Avg EPS beat(12)0.41%
EPS beat(16)6
Avg EPS beat(16)-7.74%
Revenue beat(2)0
Avg Revenue beat(2)-13.19%
Min Revenue beat(2)-19.98%
Max Revenue beat(2)-6.41%
Revenue beat(4)0
Avg Revenue beat(4)-11.85%
Min Revenue beat(4)-19.98%
Max Revenue beat(4)-3.77%
Revenue beat(8)1
Avg Revenue beat(8)-9.27%
Revenue beat(12)3
Avg Revenue beat(12)-7.14%
Revenue beat(16)4
Avg Revenue beat(16)-7.42%
PT rev (1m)2.84%
PT rev (3m)22.46%
EPS NQ rev (1m)0.52%
EPS NQ rev (3m)21.41%
EPS NY rev (1m)0.54%
EPS NY rev (3m)6.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.45%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.43 | ||
| Fwd PE | 9.54 | ||
| P/S | 6.49 | ||
| P/FCF | 89.57 | ||
| P/OCF | 11.68 | ||
| P/B | 4.31 | ||
| P/tB | 4.31 | ||
| EV/EBITDA | 16.15 |
EPS(TTM)1.71
EY3.4%
EPS(NY)5.28
Fwd EY10.49%
FCF(TTM)0.56
FCFY1.12%
OCF(TTM)4.31
OCFY8.56%
SpS7.75
BVpS11.67
TBVpS11.67
PEG (NY)0.16
PEG (5Y)N/A
Graham Number21.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 15.57% | ||
| ROCE | 10.86% | ||
| ROIC | 9.11% | ||
| ROICexc | 9.5% | ||
| ROICexgc | 9.5% | ||
| OM | 29.97% | ||
| PM (TTM) | 23.43% | ||
| GM | 39.72% | ||
| FCFM | 7.25% |
ROA(3y)3.34%
ROA(5y)9.91%
ROE(3y)6.26%
ROE(5y)18.84%
ROIC(3y)8.14%
ROIC(5y)19.2%
ROICexc(3y)9.9%
ROICexc(5y)23.79%
ROICexgc(3y)9.9%
ROICexgc(5y)23.79%
ROCE(3y)9.69%
ROCE(5y)22.87%
ROICexgc growth 3Y-45.44%
ROICexgc growth 5Y-14.21%
ROICexc growth 3Y-45.44%
ROICexc growth 5Y-14.21%
OM growth 3Y-22.63%
OM growth 5Y-1.37%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-16.13%
GM growth 5Y-1.36%
F-Score8
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.97 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 297.66% | ||
| Cap/Sales | 48.31% | ||
| Interest Coverage | 4.25 | ||
| Cash Conversion | 120.25% | ||
| Profit Quality | 30.94% | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.44 | ||
| Altman-Z | 3.4 |
F-Score8
WACC9.9%
ROIC/WACC0.92
Cap/Depr(3y)480.9%
Cap/Depr(5y)425.39%
Cap/Sales(3y)82.97%
Cap/Sales(5y)64.48%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)52.44%
EPS 3Y-30.56%
EPS 5Y-2.6%
EPS Q2Q%0%
EPS Next Y179.88%
EPS Next 2Y122.58%
EPS Next 3Y71.31%
EPS Next 5Y31.51%
Revenue 1Y (TTM)26.74%
Revenue growth 3Y-1.36%
Revenue growth 5Y10.55%
Sales Q2Q%41.86%
Revenue Next Year60.62%
Revenue Next 2Y52.71%
Revenue Next 3Y32.18%
Revenue Next 5Y16.22%
EBIT growth 1Y69.59%
EBIT growth 3Y-23.68%
EBIT growth 5Y9.03%
EBIT Next Year204.36%
EBIT Next 3Y73.55%
EBIT Next 5Y33.96%
FCF growth 1Y115.56%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y121.29%
OCF growth 3Y-26.39%
OCF growth 5Y2.62%
ERO COPPER CORP / ERO.CA FAQ
What is the fundamental rating for ERO stock?
ChartMill assigns a fundamental rating of 6 / 10 to ERO.CA.
What is the valuation status of ERO COPPER CORP (ERO.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to ERO COPPER CORP (ERO.CA). This can be considered as Undervalued.
What is the profitability of ERO stock?
ERO COPPER CORP (ERO.CA) has a profitability rating of 8 / 10.
What is the valuation of ERO COPPER CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ERO COPPER CORP (ERO.CA) is 29.43 and the Price/Book (PB) ratio is 4.31.