WallStSmart

Ero Copper Corp (ERO)vsGrupo Simec SAB de CV ADR (SIM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Grupo Simec SAB de CV ADR generates 3205% more annual revenue ($30.54B vs $923.93M). ERO leads profitability with a 31.6% profit margin vs 6.3%. SIM trades at a lower P/E of 8.0x. ERO earns a higher WallStSmart Score of 78/100 (B+).

ERO

Strong Buy

78

out of 100

Grade: B+

Growth: 10.0Profit: 9.5Value: 5.7Quality: 6.5
Piotroski: 6/9Altman Z: 2.16

SIM

Buy

54

out of 100

Grade: C-

Growth: 5.3Profit: 5.5Value: 7.3Quality: 9.0
Piotroski: 4/9Altman Z: 5.69
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EROSignificantly Overvalued (-17.9%)

Margin of Safety

-17.9%

Fair Value

$26.73

Current Price

$27.05

$0.32 premium

UndervaluedFair: $26.73Overvalued
SIMUndervalued (+37.9%)

Margin of Safety

+37.9%

Fair Value

$49.88

Current Price

$27.50

$22.38 discount

UndervaluedFair: $49.88Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ERO6 strengths · Avg: 9.7/10
P/E RatioValuation
8.6x10/10

Attractively priced relative to earnings

Return on EquityProfitability
32.5%10/10

Every $100 of equity generates 33 in profit

Profit MarginProfitability
31.6%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
34.7%10/10

Strong operational efficiency at 34.7%

Revenue GrowthGrowth
110.4%10/10

Revenue surging 110.4% year-over-year

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

SIM5 strengths · Avg: 9.6/10
P/E RatioValuation
8.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0010/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
5.6910/10

Safe zone — low bankruptcy risk

EPS GrowthGrowth
30.9%8/10

Earnings expanding 30.9% YoY

Areas to Watch

ERO0 concerns · Avg: 0/10

No major concerns identified

SIM4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
3.2%4/10

3.2% revenue growth

Return on EquityProfitability
4.4%3/10

ROE of 4.4% — below average capital efficiency

Profit MarginProfitability
6.3%3/10

6.3% margin — thin

PEG RatioValuation
4.432/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ERO

The strongest argument for ERO centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 31.6% and operating margin at 34.7%. Revenue growth of 110.4% demonstrates continued momentum.

Bull Case : SIM

The strongest argument for SIM centers on P/E Ratio, Price/Book, Debt/Equity.

Bear Case : ERO

No major red flags identified for ERO, but monitor valuation.

Bear Case : SIM

The primary concerns for SIM are Revenue Growth, Return on Equity, Profit Margin.

Key Dynamics to Monitor

ERO profiles as a growth stock while SIM is a value play — different risk/reward profiles.

ERO carries more volatility with a beta of 1.58 — expect wider price swings.

ERO is growing revenue faster at 110.4% — sustainability is the question.

ERO generates stronger free cash flow (20M), providing more financial flexibility.

Bottom Line

ERO scores higher overall (78/100 vs 54/100), backed by strong 31.6% margins and 110.4% revenue growth. SIM offers better value entry with a 37.9% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ero Copper Corp

BASIC MATERIALS · COPPER · USA

Ero Copper Corp. The company is headquartered in Vancouver, Canada.

Grupo Simec SAB de CV ADR

BASIC MATERIALS · STEEL · USA

Grupo Simec, SAB de CV manufactures, processes and distributes steel and steel alloys with special bar quality (SBQ) in Mexico, the United States, Brazil, Canada and internationally. The company is headquartered in Guadalajara, Mexico.

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