ERO COPPER CORP (ERO.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ERO - CA2960061091 - Common Stock
34.65 CAD
-0.16 (-0.46%)
Taking everything into account, ERO scores 6 out of 10 in our fundamental rating. ERO was compared to 801 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.
In the past year ERO had a positive cash flow from operations.
Of the past 5 years ERO 4 years were profitable.
Each year in the past 5 years ERO had a positive operating cash flow.
1.2 Ratios
ERO has a Return On Assets of 7.34%. This is amongst the best in the industry. ERO outperforms 90.51% of its industry peers.
ERO's Return On Equity of 15.57% is amongst the best of the industry. ERO outperforms 93.26% of its industry peers.
ERO has a Return On Invested Capital of 9.11%. This is amongst the best in the industry. ERO outperforms 93.13% of its industry peers.
ERO had an Average Return On Invested Capital over the past 3 years of 8.14%. This is below the industry average of 12.94%.
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 has a better Profit Margin (23.43%) than 94.63% of its industry peers.
Looking at the Operating Margin, with a value of 29.97%, ERO belongs to the top of the industry, outperforming 94.51% of the companies in the same industry.
In the last couple of years the Operating Margin of ERO has remained more or less at the same level.
ERO has a Gross Margin of 39.72%. This is amongst the best in the industry. ERO outperforms 92.63% of its industry peers.
ERO's Gross Margin has been stable in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ERO is destroying value.
ERO has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ERO has more shares outstanding
ERO has a worse debt/assets ratio than last year.
2.2 Solvency
ERO has an Altman-Z score of 2.68. This is not the best score and indicates that ERO is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.68, ERO is in line with its industry, outperforming 48.81% of the companies in the same industry.
ERO has a debt to FCF ratio of 14.97. This is a negative value and a sign of low solvency as ERO would need 14.97 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 14.97, ERO belongs to the best of the industry, outperforming 89.26% of the companies in the same industry.
ERO has a Debt/Equity ratio of 0.64. This is a neutral value indicating ERO is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.64, ERO is doing worse than 74.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.97 | ||
| Altman-Z | 2.68 |
ROIC/WACC0.98
WACC9.26%
2.3 Liquidity
A Current Ratio of 0.82 indicates that ERO may have some problems paying 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 66.54% of its industry peers.
A Quick Ratio of 0.44 indicates that ERO may have some problems paying its short term obligations.
The Quick ratio of ERO (0.44) is worse than 72.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.44 |
3. Growth
3.1 Past
ERO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 52.44%, which is quite impressive.
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.
The Revenue has grown by 26.74% in the past year. This is a very strong growth!
Measured over the past years, ERO shows a quite strong growth in Revenue. The Revenue has been growing by 10.55% on average per year.
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.
The Revenue is expected to grow by 16.46% on average over the next years. This is quite good.
EPS Next Y175.26%
EPS Next 2Y119.29%
EPS Next 3Y71.24%
EPS Next 5Y33.36%
Revenue Next Year61.04%
Revenue Next 2Y53.57%
Revenue Next 3Y32.84%
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.
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
A Price/Earnings ratio of 20.15 indicates a rather expensive valuation of ERO.
91.76% of the companies in the same industry are more expensive than ERO, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.43, ERO is valued a bit cheaper.
ERO is valuated cheaply with a Price/Forward Earnings ratio of 6.71.
ERO's Price/Forward Earnings ratio is rather cheap when compared to the industry. ERO is cheaper than 96.13% of the companies in the same industry.
ERO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.66.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.15 | ||
| Fwd PE | 6.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ERO is valued cheaply inside the industry as 93.13% of the companies are valued more expensively.
92.38% 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 | 61.21 | ||
| EV/EBITDA | 11.75 |
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.
The excellent profitability rating of ERO may justify a higher PE ratio.
A more expensive valuation may be justified as ERO's earnings are expected to grow with 71.24% in the coming years.
PEG (NY)0.11
PEG (5Y)N/A
EPS Next 2Y119.29%
EPS Next 3Y71.24%
5. Dividend
5.1 Amount
No dividends for ERO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TSX:ERO (12/15/2025, 7:00:00 PM)
34.65
-0.16 (-0.46%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners72.24%
Inst Owner ChangeN/A
Ins Owners5.97%
Ins Owner ChangeN/A
Market Cap3.59B
Revenue(TTM)588.23M
Net Income(TTM)137.81M
Analysts76.84
Price Target37.74 (8.92%)
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)16.93%
PT rev (3m)42.8%
EPS NQ rev (1m)20.24%
EPS NQ rev (3m)33.58%
EPS NY rev (1m)7.95%
EPS NY rev (3m)4.6%
Revenue NQ rev (1m)3.45%
Revenue NQ rev (3m)3.91%
Revenue NY rev (1m)2.93%
Revenue NY rev (3m)2.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.15 | ||
| Fwd PE | 6.71 | ||
| P/S | 4.44 | ||
| P/FCF | 61.21 | ||
| P/OCF | 7.99 | ||
| P/B | 2.95 | ||
| P/tB | 2.95 | ||
| EV/EBITDA | 11.75 |
EPS(TTM)1.72
EY4.96%
EPS(NY)5.16
Fwd EY14.89%
FCF(TTM)0.57
FCFY1.63%
OCF(TTM)4.34
OCFY12.52%
SpS7.81
BVpS11.75
TBVpS11.75
PEG (NY)0.11
PEG (5Y)N/A
Graham Number21.33
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 | 2.68 |
F-Score8
WACC9.26%
ROIC/WACC0.98
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 Y175.26%
EPS Next 2Y119.29%
EPS Next 3Y71.24%
EPS Next 5Y33.36%
Revenue 1Y (TTM)26.74%
Revenue growth 3Y-1.36%
Revenue growth 5Y10.55%
Sales Q2Q%41.86%
Revenue Next Year61.04%
Revenue Next 2Y53.57%
Revenue Next 3Y32.84%
Revenue Next 5Y16.46%
EBIT growth 1Y69.59%
EBIT growth 3Y-23.68%
EBIT growth 5Y9.03%
EBIT Next Year204.03%
EBIT Next 3Y71.16%
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 2 / 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 175.26% in the next year.