ERO COPPER CORP (ERO.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ERO - CA2960061091 - Common Stock
35.22 CAD
+1.25 (+3.68%)
ERO gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 796 industry peers in the Metals & Mining industry. ERO has an excellent profitability rating, but there are concerns on its financial health. ERO has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination!
1. Profitability
1.1 Basic Checks
ERO had positive earnings in the past year.
ERO had a positive operating cash flow in the past year.
ERO had positive earnings in 4 of the past 5 years.
In the past 5 years ERO always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 7.34%, ERO belongs to the best of the industry, outperforming 90.33% of the companies in the same industry.
The Return On Equity of ERO (15.57%) is better than 93.22% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.11%, ERO belongs to the top of the industry, outperforming 93.59% of the companies in the same industry.
ERO had an Average Return On Invested Capital over the past 3 years of 8.14%. This is below the industry average of 12.57%.
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 94.85% of its industry peers.
The Operating Margin of ERO (29.97%) is better than 94.60% 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 92.96% 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) just above the Cost of Capital (WACC), ERO is creating some value.
The number of shares outstanding for ERO has been increased compared to 1 year ago.
Compared to 5 years ago, ERO has more shares outstanding
Compared to 1 year ago, ERO has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.67 indicates that ERO is not a great score, but indicates only limited risk for bankruptcy at the moment.
ERO's Altman-Z score of 2.67 is in line compared to the rest of the industry. ERO outperforms 49.50% of 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.
ERO's Debt to FCF ratio of 14.97 is amongst the best of the industry. ERO outperforms 89.07% 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 74.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.97 | ||
| Altman-Z | 2.67 |
ROIC/WACC1.05
WACC8.64%
2.3 Liquidity
A Current Ratio of 0.82 indicates that ERO may have some problems paying its short term obligations.
ERO has a Current ratio of 0.82. This is in the lower half of the industry: ERO underperforms 65.58% 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's Quick ratio of 0.44 is on the low side compared to the rest of the industry. ERO is outperformed by 72.49% 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.
The Earnings Per Share has been decreasing by -2.60% on average over the past years.
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
ERO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 33.36% yearly.
ERO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.46% yearly.
EPS Next Y155%
EPS Next 2Y100.32%
EPS Next 3Y61.87%
EPS Next 5Y33.36%
Revenue Next Year56.46%
Revenue Next 2Y46.59%
Revenue Next 3Y28.84%
Revenue Next 5Y16.46%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
ERO is valuated rather expensively with a Price/Earnings ratio of 20.13.
Based on the Price/Earnings ratio, ERO is valued cheaper than 91.96% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.31. ERO is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 8.03 indicates a reasonable valuation of ERO.
ERO's Price/Forward Earnings ratio is rather cheap when compared to the industry. ERO is cheaper than 94.47% of the companies in the same industry.
ERO is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.13 | ||
| Fwd PE | 8.03 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ERO is valued cheaply inside the industry as 93.47% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ERO is valued cheaper than 91.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 61.07 | ||
| EV/EBITDA | 11.69 |
4.3 Compensation for Growth
ERO's 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 61.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.13
PEG (5Y)N/A
EPS Next 2Y100.32%
EPS Next 3Y61.87%
5. Dividend
5.1 Amount
No dividends for ERO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:ERO (11/28/2025, 7:00:00 PM)
35.22
+1.25 (+3.68%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners74.32%
Inst Owner ChangeN/A
Ins Owners6.14%
Ins Owner ChangeN/A
Market Cap3.65B
Revenue(TTM)588.23M
Net Income(TTM)137.81M
Analysts76.67
Price Target34.97 (-0.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)31.06%
PT rev (3m)32.96%
EPS NQ rev (1m)6.57%
EPS NQ rev (3m)19.65%
EPS NY rev (1m)-3.19%
EPS NY rev (3m)-3.1%
Revenue NQ rev (1m)3.45%
Revenue NQ rev (3m)5.66%
Revenue NY rev (1m)-0.82%
Revenue NY rev (3m)-0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.13 | ||
| Fwd PE | 8.03 | ||
| P/S | 4.43 | ||
| P/FCF | 61.07 | ||
| P/OCF | 7.97 | ||
| P/B | 2.94 | ||
| P/tB | 2.94 | ||
| EV/EBITDA | 11.69 |
EPS(TTM)1.75
EY4.97%
EPS(NY)4.39
Fwd EY12.46%
FCF(TTM)0.58
FCFY1.64%
OCF(TTM)4.42
OCFY12.55%
SpS7.96
BVpS11.97
TBVpS11.97
PEG (NY)0.13
PEG (5Y)N/A
Graham Number21.71
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 | 2.67 |
F-Score8
WACC8.64%
ROIC/WACC1.05
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 Y155%
EPS Next 2Y100.32%
EPS Next 3Y61.87%
EPS Next 5Y33.36%
Revenue 1Y (TTM)26.74%
Revenue growth 3Y-1.36%
Revenue growth 5Y10.55%
Sales Q2Q%41.86%
Revenue Next Year56.46%
Revenue Next 2Y46.59%
Revenue Next 3Y28.84%
Revenue Next 5Y16.46%
EBIT growth 1Y69.59%
EBIT growth 3Y-23.68%
EBIT growth 5Y9.03%
EBIT Next Year194.25%
EBIT Next 3Y61.44%
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 ChartMill fundamental rating of ERO COPPER CORP (ERO.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to ERO.CA.
What is the valuation status for ERO stock?
ChartMill assigns a valuation rating of 9 / 10 to ERO COPPER CORP (ERO.CA). This can be considered as Undervalued.
How profitable is ERO COPPER CORP (ERO.CA) stock?
ERO COPPER CORP (ERO.CA) has a profitability rating of 8 / 10.
What is the financial health of ERO COPPER CORP (ERO.CA) stock?
The financial health rating of ERO COPPER CORP (ERO.CA) is 3 / 10.
What is the expected EPS growth for ERO COPPER CORP (ERO.CA) stock?
The Earnings per Share (EPS) of ERO COPPER CORP (ERO.CA) is expected to grow by 155% in the next year.