Last Updated: 14 Nov 2024
Executive Summary
Ero Copper Corp. (ERO) is a copper mining company with operations in Brazil. The company's stock price has been volatile in recent months, but it has outperformed the broader market over the past year. Ero Copper is a high-risk, high-reward investment. The company has a strong track record of production and profitability, but it operates in a cyclical industry that is subject to commodity price fluctuations.
Company Overview
Ero Copper Corp. is a copper mining company with operations in Brazil. The company's principal asset is the Caraíba Mine, which is located in the state of Bahia. Ero Copper also has a portfolio of exploration properties in Brazil and Peru. The company is headquartered in Vancouver, Canada.
Fundamental Analysis
Ero Copper's financial performance has been strong in recent years. The company has increased its production and profitability, and it has generated significant cash flow. Ero Copper's balance sheet is also strong, with low levels of debt and ample liquidity.
The company's key financial metrics are as follows:
Revenue: $464.1 million (TTM)
Gross profit: $187.2 million (TTM)
Net income: $167.0 million (TTM)
Diluted EPS: $0.19 (TTM)
EBITDA: $167.0 million (TTM)
Market capitalization: $1.8 billion
Technical Analysis
Ero Copper's stock price has been volatile in recent months, but it has outperformed the broader market over the past year. The stock is currently trading at $15.61, which is above its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is also above 50, which indicates that it is overbought.
Short Term Outlook
Ero Copper's stock price is likely to remain volatile in the short term. The company's earnings are expected to be impacted by commodity price fluctuations, and the stock market is likely to remain volatile. However, Ero Copper's strong financial performance and positive technical indicators suggest that the stock could continue to outperform the broader market.
Long Term Outlook
Ero Copper's long-term outlook is positive. The company has a strong track record of production and profitability, and it operates in a growing industry. The company's portfolio of exploration properties also provides it with the potential for future growth.
Analyst Recommendations
Analysts are generally positive on Ero Copper's stock. The consensus recommendation is a buy, with a price target of $20.00.
