ERO COPPER CORP (ERO.CA) Fundamental Analysis & Valuation
TSX:ERO • CA2960061091
37.2 CAD
-0.82 (-2.16%)
Last: Mar 12, 2026, 07:00 PM
This ERO.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
We assign a fundamental rating of 5 out of 10 to ERO. ERO was compared to 815 industry peers in the Metals & Mining industry. While ERO has a great profitability rating, there are quite some concerns on its financial health. ERO has a bad growth rate and is valued cheaply.
1. ERO.CA Profitability Analysis
1.1 Basic Checks
- In the past year ERO was profitable.
- In the past year ERO had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: ERO reported negative net income in multiple years.
- Of the past 5 years ERO 4 years had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 7.34%, ERO belongs to the top of the industry, outperforming 90.31% of the companies in the same industry.
- ERO has a Return On Equity of 15.57%. This is amongst the best in the industry. ERO outperforms 92.64% of its industry peers.
- With an excellent Return On Invested Capital value of 9.11%, ERO belongs to the best of the industry, outperforming 93.37% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for ERO is below the industry average of 12.69%.
- 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 94.11% of its industry peers.
- Looking at the Operating Margin, with a value of 29.97%, ERO belongs to the top of the industry, outperforming 94.11% of the companies in the same industry.
- ERO's Operating Margin has been stable in the last couple of years.
- ERO has a Gross Margin of 39.72%. This is amongst the best in the industry. ERO outperforms 92.52% 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. ERO.CA Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ERO is destroying value.
- There is no outstanding debt for ERO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 2.82 indicates that ERO is not a great score, but indicates only limited risk for bankruptcy at the moment.
- ERO has a Altman-Z score of 2.82. This is comparable to the rest of the industry: ERO outperforms 47.24% of its industry peers.
- 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.
- ERO has a better Debt to FCF ratio (14.97) than 89.82% of its industry peers.
- ERO has a Debt/Equity ratio of 0.64. This is a neutral value indicating ERO is somewhat dependend on debt financing.
- ERO has a worse Debt to Equity ratio (0.64) than 71.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.97 | ||
| Altman-Z | 2.82 |
ROIC/WACC0.89
WACC10.25%
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.
- With a Current ratio value of 0.82, ERO is not doing good in the industry: 64.17% of the companies in the same industry are doing better.
- 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 70.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.44 |
3. ERO.CA Growth Analysis
3.1 Past
- ERO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 171.79%, which is quite impressive.
- The Earnings Per Share has been growing by 11.14% on average over the past years. This is quite good.
EPS 1Y (TTM)171.79%
EPS 3Y32.57%
EPS 5Y11.14%
EPS Q2Q%511.76%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%161.39%
3.2 Future
- ERO is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.37% yearly.
- Based on estimates for the next years, ERO will show a small growth in Revenue. The Revenue will grow by 4.45% on average per year.
EPS Next Y92.19%
EPS Next 2Y42.52%
EPS Next 3Y17.17%
EPS Next 5Y-1.37%
Revenue Next Year54.77%
Revenue Next 2Y24.41%
Revenue Next 3Y10.21%
Revenue Next 5Y4.45%
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 decreasing.
4. ERO.CA Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.92, which indicates a correct valuation of ERO.
- Based on the Price/Earnings ratio, ERO is valued cheaper than 95.34% of the companies in the same industry.
- ERO's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.71.
- 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 96.20% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 23.82. ERO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.92 | ||
| Fwd PE | 6.71 |
4.2 Price Multiples
- 93.74% of the companies in the same industry are more expensive than ERO, based on the Enterprise Value to EBITDA ratio.
- 91.90% 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 | 66.84 | ||
| EV/EBITDA | 12.59 |
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 a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as ERO's earnings are expected to grow with 17.17% in the coming years.
PEG (NY)0.14
PEG (5Y)1.16
EPS Next 2Y42.52%
EPS Next 3Y17.17%
5. ERO.CA Dividend Analysis
5.1 Amount
- ERO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ERO.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:ERO (3/12/2026, 7:00:00 PM)
37.2
-0.82 (-2.16%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)03-05 2026-03-05/amc
Earnings (Next)05-04 2026-05-04
Inst Owners73.07%
Inst Owner ChangeN/A
Ins Owners5.86%
Ins Owner ChangeN/A
Market Cap3.88B
Revenue(TTM)N/A
Net Income(TTM)137.81M
Analysts74
Price Target47.58 (27.9%)
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)3.09%
PT rev (3m)26.08%
EPS NQ rev (1m)8.95%
EPS NQ rev (3m)7.56%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)1.46%
Revenue NQ rev (1m)7.64%
Revenue NQ rev (3m)7.64%
Revenue NY rev (1m)-1.11%
Revenue NY rev (3m)-1.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.92 | ||
| Fwd PE | 6.71 | ||
| P/S | 4.84 | ||
| P/FCF | 66.84 | ||
| P/OCF | 8.72 | ||
| P/B | 3.22 | ||
| P/tB | 3.22 | ||
| EV/EBITDA | 12.59 |
EPS(TTM)2.88
EY7.74%
EPS(NY)5.54
Fwd EY14.9%
FCF(TTM)0.56
FCFY1.5%
OCF(TTM)4.27
OCFY11.47%
SpS7.68
BVpS11.56
TBVpS11.56
PEG (NY)0.14
PEG (5Y)1.16
Graham Number27.36
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 | 2.82 |
F-Score8
WACC10.25%
ROIC/WACC0.89
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)171.79%
EPS 3Y32.57%
EPS 5Y11.14%
EPS Q2Q%511.76%
EPS Next Y92.19%
EPS Next 2Y42.52%
EPS Next 3Y17.17%
EPS Next 5Y-1.37%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%161.39%
Revenue Next Year54.77%
Revenue Next 2Y24.41%
Revenue Next 3Y10.21%
Revenue Next 5Y4.45%
EBIT growth 1Y69.59%
EBIT growth 3Y-23.68%
EBIT growth 5Y9.03%
EBIT Next Year199.83%
EBIT Next 3Y77.81%
EBIT Next 5Y37.2%
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 5 / 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 7 / 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 12.92 and the Price/Book (PB) ratio is 3.22.