Ero Copper Corp. (ERO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

China Gold International Resources Corp. Ltd.

Capstone Copper Corp.

Hudbay Minerals, Inc.

Ero Copper Corp.

Lundin Mining Corp.

Cameco Corp.

Ivanhoe Mines Ltd.

First Quantum Minerals Ltd.

Sigma Lithium Corp.

NexGen Energy Ltd.

Lithium Americas (Argentina) Corp.

Why is Ero Copper Corp. ?

High Management Efficiency with a high ROCE of 31.01%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 12.95

Healthy long term growth as Net Sales has grown by an annual rate of 15.15% and Operating profit at 11.32%

With a growth in Net Sales of 41.24%, the company declared Very Positive results in Jun 25

PRE-TAX PROFIT(Q) At CAD 107.22 MM has Grown at 324.86%
NET PROFIT(Q) At CAD 89.88 MM has Grown at 348.53%
OPERATING CASH FLOW(Y) Highest at CAD 312.14 MM

With ROE of 16.53%, it has a fair valuation with a 2.15 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -13.63%, its profits have risen by 809.8% ; the PEG ratio of the company is 0

High Institutional Holdings at 71.11%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 1.3% over the previous quarter.

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ero Copper Corp. should be less than 10%
Overall Portfolio exposure to Minerals & Mining should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Minerals & Mining)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Ero Copper Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ero Copper Corp.

63.26%

-0.20

48.64%

S&P/TSX 60

19.1%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

15.15%

EBIT Growth (5y)

11.32%

EBIT to Interest (avg)

12.95

Debt to EBITDA (avg)

1.27

Net Debt to Equity (avg)

0.81

Sales to Capital Employed (avg)

0.37

Tax Ratio

29.81%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

72.84%

ROCE (avg)

31.01%

ROE (avg)

24.68%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.12

EV to EBIT

18.21

EV to EBITDA

11.89

EV to Capital Employed

2.25

EV to Sales

5.74

PEG Ratio

0.02

Dividend Yield

ROCE (Latest)

12.34%

ROE (Latest)

16.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Bullish

OBV

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

28What is working for the Company

PRE-TAX PROFIT(Q)

At CAD 107.22 MM has Grown at 324.86%

NET PROFIT(Q)

At CAD 89.88 MM has Grown at 348.53%

OPERATING CASH FLOW(Y)

Highest at CAD 312.14 MM

ROCE(HY)

Highest at 19.81%

NET SALES(Q)

Highest at CAD 226.28 MM

OPERATING PROFIT(Q)

Highest at CAD 99.85 MM

RAW MATERIAL COST(Y)

Fallen by -11.68% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 16.09%

-2What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 6.18%

Here's what is working for Ero Copper Corp.

Pre-Tax Profit

At CAD 107.22 MM has Grown at 324.86%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CAD MM)

Net Profit

At CAD 89.88 MM has Grown at 348.53%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CAD MM)

Net Sales

Highest at CAD 226.28 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CAD MM)

Operating Profit

Highest at CAD 99.85 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (CAD MM)

Operating Cash Flow

Highest at CAD 312.14 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CAD MM)

Net Sales

At CAD 226.28 MM has Grown at 41.24%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CAD MM)

Debtors Turnover Ratio

Highest at 16.09%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -11.68% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at CAD 34.95 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (CAD MM)

Here's what is not working for Ero Copper Corp.

Inventory Turnover Ratio

Lowest at 6.18%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio