ERO COPPER CORP (ERO) Stock Fundamental Analysis
USA - NYSE:ERO - CA2960061091 - Common Stock
16.98 USD
-0.12 (-0.7%)
16.98 USD
0 (0%)
Overall ERO gets a fundamental rating of 5 out of 10. We evaluated ERO against 156 industry peers in the Metals & Mining industry. ERO scores excellent on profitability, but 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
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 8.05%, ERO belongs to the best of the industry, outperforming 85.26% of the companies in the same industry.
ERO has a better Return On Equity (17.33%) than 90.38% of its industry peers.
ERO has a better Return On Invested Capital (9.33%) than 80.77% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ERO is below the industry average of 12.92%.
The 3 year average ROIC (8.14%) for ERO is below the current ROIC(9.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.05% | ||
| ROE | 17.33% | ||
| ROIC | 9.33% |
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
The Profit Margin of ERO (26.62%) is better than 91.67% of its industry peers.
ERO has a Operating Margin of 32.35%. This is amongst the best in the industry. ERO outperforms 84.62% of its industry peers.
ERO's Operating Margin has been stable in the last couple of years.
The Gross Margin of ERO (42.71%) is better than 80.77% of its industry peers.
ERO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.35% | ||
| PM (TTM) | 26.62% | ||
| GM | 42.71% |
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
ERO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ERO has more shares outstanding
The number of shares outstanding for ERO has been increased compared to 5 years ago.
ERO has a worse debt/assets ratio than last year.
2.2 Solvency
ERO has an Altman-Z score of 2.22. 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.
The Altman-Z score of ERO (2.22) is comparable to the rest of the industry.
ERO has a Debt/Equity ratio of 0.70. This is a neutral value indicating ERO is somewhat dependend on debt financing.
ERO has a Debt to Equity ratio of 0.70. This is amonst the worse of the industry: ERO underperforms 82.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.22 |
ROIC/WACC1.03
WACC9.09%
2.3 Liquidity
ERO has a Current Ratio of 0.84. 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 0.84 is on the low side compared to the rest of the industry. ERO is outperformed by 88.46% of its industry peers.
ERO has a Quick Ratio of 0.84. This is a bad value and indicates that ERO is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.52, ERO is doing worse than 88.46% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 71.23% 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 20.59%.
The Revenue has been growing by 10.55% on average over the past years. This is quite good.
EPS 1Y (TTM)71.23%
EPS 3Y-30.56%
EPS 5Y-2.6%
EPS Q2Q%155.56%
Revenue 1Y (TTM)20.59%
Revenue growth 3Y-1.36%
Revenue growth 5Y10.55%
Sales Q2Q%39.63%
3.2 Future
Based on estimates for the next years, ERO will show a very strong growth in Earnings Per Share. The EPS will grow by 21.30% on average per year.
ERO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.24% yearly.
EPS Next Y163.16%
EPS Next 2Y88.34%
EPS Next 3Y56.21%
EPS Next 5Y21.3%
Revenue Next Year57.49%
Revenue Next 2Y43.5%
Revenue Next 3Y27.97%
Revenue Next 5Y11.24%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.58, the valuation of ERO can be described as correct.
Based on the Price/Earnings ratio, ERO is valued cheaper than 90.38% of the companies in the same industry.
ERO is valuated cheaply when we compare the Price/Earnings ratio to 27.27, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 6.14, which indicates a rather cheap valuation of ERO.
96.79% of the companies in the same industry are more expensive than ERO, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.77. ERO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.58 | ||
| Fwd PE | 6.14 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ERO indicates a somewhat cheap valuation: ERO is cheaper than 77.56% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.1 |
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.
A more expensive valuation may be justified as ERO's earnings are expected to grow with 56.21% in the coming years.
PEG (NY)0.08
PEG (5Y)N/A
EPS Next 2Y88.34%
EPS Next 3Y56.21%
5. Dividend
5.1 Amount
No dividends for ERO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.98
-0.12 (-0.7%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners72.53%
Inst Owner Change-10.63%
Ins Owners6.17%
Ins Owner ChangeN/A
Market Cap1.76B
Analysts81.05
Price Target19.12 (12.6%)
Short Float %4.58%
Short Ratio5.64
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)2
Avg EPS beat(2)43.75%
Min EPS beat(2)11.2%
Max EPS beat(2)76.3%
EPS beat(4)2
Avg EPS beat(4)6.18%
Min EPS beat(4)-44.95%
Max EPS beat(4)76.3%
EPS beat(8)4
Avg EPS beat(8)7.42%
EPS beat(12)5
Avg EPS beat(12)-2.7%
EPS beat(16)6
Avg EPS beat(16)-5.04%
Revenue beat(2)0
Avg Revenue beat(2)-5.09%
Min Revenue beat(2)-6.41%
Max Revenue beat(2)-3.77%
Revenue beat(4)0
Avg Revenue beat(4)-11.95%
Min Revenue beat(4)-20.39%
Max Revenue beat(4)-3.77%
Revenue beat(8)1
Avg Revenue beat(8)-7.79%
Revenue beat(12)3
Avg Revenue beat(12)-6.75%
Revenue beat(16)5
Avg Revenue beat(16)-5.93%
PT rev (1m)-2.82%
PT rev (3m)2.52%
EPS NQ rev (1m)-1.97%
EPS NQ rev (3m)-28.93%
EPS NY rev (1m)-4.61%
EPS NY rev (3m)-4.61%
Revenue NQ rev (1m)-2.76%
Revenue NQ rev (3m)-8.42%
Revenue NY rev (1m)-4.57%
Revenue NY rev (3m)-5.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.58 | ||
| Fwd PE | 6.14 | ||
| P/S | 3.28 | ||
| P/FCF | N/A | ||
| P/OCF | 6.54 | ||
| P/B | 2.14 | ||
| P/tB | 2.14 | ||
| EV/EBITDA | 9.1 |
EPS(TTM)1.25
EY7.36%
EPS(NY)2.77
Fwd EY16.29%
FCF(TTM)-0.16
FCFYN/A
OCF(TTM)2.6
OCFY15.3%
SpS5.17
BVpS7.95
TBVpS7.95
PEG (NY)0.08
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.05% | ||
| ROE | 17.33% | ||
| ROCE | 11.11% | ||
| ROIC | 9.33% | ||
| ROICexc | 9.75% | ||
| ROICexgc | 9.75% | ||
| OM | 32.35% | ||
| PM (TTM) | 26.62% | ||
| GM | 42.71% | ||
| FCFM | N/A |
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%
ROICexcg growth 3Y-45.44%
ROICexcg 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-Score7
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.23 | ||
| Cap/Depr | 333.17% | ||
| Cap/Sales | 53.24% | ||
| Interest Coverage | 4.47 | ||
| Cash Conversion | 103.91% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 2.22 |
F-Score7
WACC9.09%
ROIC/WACC1.03
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)71.23%
EPS 3Y-30.56%
EPS 5Y-2.6%
EPS Q2Q%155.56%
EPS Next Y163.16%
EPS Next 2Y88.34%
EPS Next 3Y56.21%
EPS Next 5Y21.3%
Revenue 1Y (TTM)20.59%
Revenue growth 3Y-1.36%
Revenue growth 5Y10.55%
Sales Q2Q%39.63%
Revenue Next Year57.49%
Revenue Next 2Y43.5%
Revenue Next 3Y27.97%
Revenue Next 5Y11.24%
EBIT growth 1Y92.66%
EBIT growth 3Y-23.68%
EBIT growth 5Y9.03%
EBIT Next Year216.04%
EBIT Next 3Y61.79%
EBIT Next 5Y24.76%
FCF growth 1Y93.43%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y80.87%
OCF growth 3Y-26.39%
OCF growth 5Y2.62%