Ero Copper Corp. Common Shares (ERO)

FairStock Score: 84/100 — HIGH CONVICTION

Key Financials

Strengths

• Strong Piotroski F-Score of 8/9 indicating robust financial health across profitability, leverage, and efficiency metrics
• High return on equity of 34.9% demonstrating efficient capital deployment
• Revenue growth of 161.3% demonstrates strong top-line momentum
• FairStock composite score of 84/100 places it in the top tier across value, quality, and momentum factors

AI Analysis

Ero Copper Corp. Common Shares is a small-cap basic materials company valued at $2.9 billion. Revenue stands at $786 million. From a quality standpoint, Ero shows near-perfect Piotroski F-Score of 8/9 indicating exceptional financial health and Altman Z-Score of 2.7 in the grey zone. On valuation, the stock is attractively valued at 10.8x earnings, with trades above its Graham Number with a negative 21% margin. Growth dynamics show revenue growing at 161.3% and profit growth of 257.3%. Our composite FairStock Score of 84/100 reflects strong fundamentals overall. This combination of reasonable valuation, solid returns, and conservative leverage makes it worth a closer look for value-oriented portfolios.

Bull Case

Ero's 161% revenue growth trajectory could accelerate as it captures additional market share in the basic materials sector. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the basic materials space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer