Ero Copper Corp. (ERO) shares ended the last trading session 9% higher at $17.25. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 10.8% gain over the past four weeks.
Ero Copper has gained in tandem with the recent gains in copper prices. Copper futures climbed above $5 per pound as traders accelerated shipments toward the United States to get ahead of potential tariffs. Since the Trump administration launched a probe into copper imports in February, around 400 kilotons have been rushed into the United States, tightening global supply. Sentiment was further buoyed by easing Middle East tensions, reduced fears of retaliatory tariffs, anticipated Chinese stimulus, and a more dovish Fed, factors that collectively strengthen the global demand outlook.
This company is expected to post quarterly earnings of $0.43 per share in its upcoming report, which represents a year-over-year change of +138.9%. Revenues are expected to be $195 million, up 66.5% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Ero Copper, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on ERO going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Ero Copper belongs to the Zacks Mining - Non Ferrous industry. Another stock from the same industry, Centrus Energy Corp. (LEU), closed the last trading session 3.4% lower at $174.96. Over the past month, LEU has returned 41.8%.
For Centrus Energy, the consensus EPS estimate for the upcoming report has changed -21.3% over the past month to $0.67. This represents a change of -64.6% from what the company reported a year ago. Centrus Energy currently has a Zacks Rank of #3 (Hold).
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Ero Copper Corp. (ERO): Free Stock Analysis Report Centrus Energy Corp. (LEU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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