ERO COPPER CORP (ERO) Stock Fundamental Analysis
USA - NYSE:ERO - CA2960061091 - Common Stock
16.93 USD
+0.02 (+0.12%)
We assign a fundamental rating of 5 out of 10 to ERO. ERO was compared to 156 industry peers in the Metals & Mining industry. While ERO belongs to the best of the industry regarding profitability, there are concerns on its financial health. An interesting combination arises when we look at growth and value: ERO is growing strongly while it also seems undervalued.
1. Profitability
1.1 Basic Checks
In the past year ERO was profitable.
In the past year ERO had a positive cash flow from operations.
ERO had positive earnings in 4 of the past 5 years.
ERO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.05%, ERO belongs to the top of the industry, outperforming 85.26% of the companies in the same industry.
The Return On Equity of ERO (17.33%) is better than 90.38% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.33%, ERO belongs to the top of the industry, outperforming 80.77% 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 12.92%.
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
With an excellent Profit Margin value of 26.62%, ERO belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ERO is creating some 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.
Compared to 1 year ago, ERO has a worse debt to assets ratio.
2.2 Solvency
ERO has an Altman-Z score of 2.21. 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 (2.21) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.70 indicates that ERO is somewhat dependend on debt financing.
The Debt to Equity ratio of ERO (0.70) is worse than 82.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.21 |
ROIC/WACC1.03
WACC9.09%
2.3 Liquidity
A Current Ratio of 0.84 indicates that ERO may have some problems paying 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.
The Quick ratio of ERO (0.52) is worse than 88.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
ERO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 71.23%, which is quite impressive.
ERO shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.60% yearly.
Looking at the last year, ERO shows a very strong growth in Revenue. 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
ERO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.30% yearly.
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
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.54, ERO is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of ERO indicates a rather cheap valuation: ERO is cheaper than 90.38% of the companies listed in the same industry.
ERO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.30.
Based on the Price/Forward Earnings ratio of 6.12, the valuation of ERO can be described as very cheap.
Based on the Price/Forward Earnings ratio, ERO is valued cheaper than 96.79% 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 22.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.54 | ||
| Fwd PE | 6.12 |
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 | 9.02 |
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.
ERO's earnings are expected to grow with 56.21% in the coming years. This may justify a more expensive valuation.
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 |
NYSE:ERO (9/15/2025, 9:51:03 AM)
16.93
+0.02 (+0.12%)
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 Cap1.75B
Analysts81.05
Price Target19.12 (12.94%)
Short Float %4.79%
Short Ratio6.25
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 | 13.54 | ||
| Fwd PE | 6.12 | ||
| P/S | 3.27 | ||
| P/FCF | N/A | ||
| P/OCF | 6.52 | ||
| P/B | 2.13 | ||
| P/tB | 2.13 | ||
| EV/EBITDA | 9.02 |
EPS(TTM)1.25
EY7.38%
EPS(NY)2.77
Fwd EY16.34%
FCF(TTM)-0.16
FCFYN/A
OCF(TTM)2.6
OCFY15.35%
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 | 2.21 |
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%