ERO COPPER CORP (ERO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ERO - CA2960061091 - Common Stock
31.14 USD
+0.15 (+0.48%)
31.6332 USD
+0.49 (+1.58%)
Taking everything into account, ERO scores 5 out of 10 in our fundamental rating. ERO was compared to 156 industry peers in the Metals & Mining industry. While ERO has a great profitability rating, there are quite some 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 has a better Return On Assets (7.34%) than 81.41% of its industry peers.
- ERO's Return On Equity of 15.57% is amongst the best of the industry. ERO outperforms 89.10% of its industry peers.
- ERO has a better Return On Invested Capital (9.11%) than 76.28% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ERO is below the industry average of 10.34%.
- 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 87.18% of its industry peers.
- ERO's Operating Margin of 29.97% is amongst the best of the industry. ERO outperforms 82.69% of its industry peers.
- ERO's Operating Margin has been stable in the last couple of years.
- ERO has a better Gross Margin (39.72%) than 76.28% 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
- ERO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ERO has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for ERO has been increased compared to 5 years ago.
- The debt/assets ratio for ERO is higher compared to a year ago.
2.2 Solvency
- ERO has an Altman-Z score of 3.04. This indicates that ERO is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of ERO (3.04) is comparable to the rest of the 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.
- Looking at the Debt to FCF ratio, with a value of 14.97, ERO is in line with its industry, outperforming 57.69% of the companies in the same industry.
- A Debt/Equity ratio of 0.64 indicates that ERO is somewhat dependend on debt financing.
- The Debt to Equity ratio of ERO (0.64) is worse than 77.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.97 | ||
| Altman-Z | 3.04 |
ROIC/WACC0.94
WACC9.68%
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 has a worse Current ratio (0.82) than 88.46% of its industry peers.
- A Quick Ratio of 0.44 indicates that ERO may have some problems paying its short term obligations.
- ERO has a worse Quick ratio (0.44) than 92.31% 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.
- ERO shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.60% yearly.
- ERO shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.74%.
- ERO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.55% yearly.
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 31.51% yearly.
- Based on estimates for the next years, ERO will show a quite strong growth in Revenue. The Revenue will grow by 16.22% on average per year.
EPS Next Y178.36%
EPS Next 2Y121.75%
EPS Next 3Y71.79%
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.
- 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
- Based on the Price/Earnings ratio of 24.91, the valuation of ERO can be described as rather expensive.
- Based on the Price/Earnings ratio, ERO is valued cheaper than 82.69% 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 27.32, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 8.12, the valuation of ERO can be described as very reasonable.
- 94.23% of the companies in the same industry are more expensive than ERO, based on the Price/Forward Earnings ratio.
- ERO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.91 | ||
| Fwd PE | 8.12 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ERO is valued a bit cheaper than the industry average as 70.51% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, ERO is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 75.68 | ||
| EV/EBITDA | 13.92 |
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 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 71.79% in the coming years.
PEG (NY)0.14
PEG (5Y)N/A
EPS Next 2Y121.75%
EPS Next 3Y71.79%
5. Dividend
5.1 Amount
- No dividends for ERO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
31.14
+0.15 (+0.48%)
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 Change0.08%
Ins Owners5.99%
Ins Owner ChangeN/A
Market Cap3.23B
Revenue(TTM)588.23M
Net Income(TTM)137.81M
Analysts75
Price Target28.5 (-8.48%)
Short Float %3.61%
Short Ratio2.73
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)5.46%
PT rev (3m)48.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)30.81%
EPS NY rev (1m)1.13%
EPS NY rev (3m)5.68%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.91%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)1.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.91 | ||
| Fwd PE | 8.12 | ||
| P/S | 5.48 | ||
| P/FCF | 75.68 | ||
| P/OCF | 9.87 | ||
| P/B | 3.65 | ||
| P/tB | 3.65 | ||
| EV/EBITDA | 13.92 |
EPS(TTM)1.25
EY4.01%
EPS(NY)3.84
Fwd EY12.32%
FCF(TTM)0.41
FCFY1.32%
OCF(TTM)3.15
OCFY10.13%
SpS5.68
BVpS8.54
TBVpS8.54
PEG (NY)0.14
PEG (5Y)N/A
Graham Number15.5
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 | 3.04 |
F-Score8
WACC9.68%
ROIC/WACC0.94
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 Y178.36%
EPS Next 2Y121.75%
EPS Next 3Y71.79%
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 FAQ
What is the fundamental rating for ERO stock?
ChartMill assigns a fundamental rating of 5 / 10 to ERO.
What is the valuation status of ERO COPPER CORP (ERO) stock?
ChartMill assigns a valuation rating of 7 / 10 to ERO COPPER CORP (ERO). This can be considered as Undervalued.
What is the profitability of ERO stock?
ERO COPPER CORP (ERO) 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) is 24.91 and the Price/Book (PB) ratio is 3.65.