WallStSmart

Ero Copper Corp (ERO)vsWorthington Steel Inc (WS)

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Smart Verdict

WallStSmart Research — data-driven comparison

Worthington Steel Inc generates 336% more annual revenue ($5.30B vs $1.22B). ERO leads profitability with a 32.2% profit margin vs -0.7%. ERO earns a higher WallStSmart Score of 78/100 (B+).

ERO

Strong Buy

78

out of 100

Grade: B+

Growth: 10.0Profit: 9.5Value: 7.0Quality: 7.0
Piotroski: 6/9Altman Z: 2.16

WS

Hold

45

out of 100

Grade: D

Growth: 4.7Profit: 4.0Value: 4.0Quality: 4.5
Piotroski: 1/9Altman Z: 2.73
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EROUndervalued (+9.4%)

Margin of Safety

+9.4%

Fair Value

$34.76

Current Price

$29.76

$5.00 discount

UndervaluedFair: $34.76Overvalued
WSSignificantly Overvalued (-81.0%)

Margin of Safety

-81.0%

Fair Value

$26.76

Current Price

$38.54

$11.78 premium

UndervaluedFair: $26.76Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ERO6 strengths · Avg: 10.0/10
P/E RatioValuation
8.4x10/10

Attractively priced relative to earnings

Return on EquityProfitability
32.5%10/10

Every $100 of equity generates 33 in profit

Profit MarginProfitability
32.2%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
39.8%10/10

Strong operational efficiency at 39.8%

Revenue GrowthGrowth
96.5%10/10

Revenue surging 96.5% year-over-year

EPS GrowthGrowth
216.8%10/10

Earnings expanding 216.8% YoY

WS2 strengths · Avg: 9.0/10
Revenue GrowthGrowth
212.4%10/10

Revenue surging 212.4% year-over-year

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

ERO0 concerns · Avg: 0/10

No major concerns identified

WS4 concerns · Avg: 2.5/10
Operating MarginProfitability
3.2%3/10

Operating margin of 3.2%

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

EPS GrowthGrowth
-25.9%2/10

Earnings declined 25.9%

Free Cash FlowQuality
$-53.50M2/10

Negative free cash flow — burning cash

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 32.2% and operating margin at 39.8%. Revenue growth of 96.5% demonstrates continued momentum.

Bull Case : WS

The strongest argument for WS centers on Revenue Growth, Price/Book. Revenue growth of 212.4% demonstrates continued momentum.

Bear Case : ERO

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

Bear Case : WS

The primary concerns for WS are Operating Margin, Piotroski F-Score, EPS Growth. Debt-to-equity of 2.50 is elevated, increasing financial risk.

Key Dynamics to Monitor

ERO profiles as a growth stock while WS is a hypergrowth play — different risk/reward profiles.

WS carries more volatility with a beta of 2.10 — expect wider price swings.

WS is growing revenue faster at 212.4% — sustainability is the question.

ERO generates stronger free cash flow (116M), providing more financial flexibility.

Bottom Line

ERO scores higher overall (78/100 vs 45/100), backed by strong 32.2% margins and 96.5% revenue growth. Both earn "Strong Buy" and "Hold" 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.

Worthington Steel Inc

BASIC MATERIALS · STEEL · USA

Worthington Steel, Inc. is a steel processor in North America. The company is headquartered in Columbus, Ohio.

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