How Much Did Ero Copper's(TSE:ERO) Shareholders Earn From Share Price Movements Over The Last Year?

It is a pleasure to report that the Ero Copper Corp. (TSE:ERO) is up 50% in the last quarter. But in truth the last year hasn't been good for the share price. After all, the share price is down 22% in the last year, significantly under-performing the market.

Check out our latest analysis for Ero Copper

While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.

Even though the Ero Copper share price is down over the year, its EPS actually improved. It's quite possible that growth expectations may have been unreasonable in the past.

It's surprising to see the share price fall so much, despite the improved EPS. So it's well worth checking out some other metrics, too.

Ero Copper managed to grow revenue over the last year, which is usually a real positive. Since we can't easily explain the share price movement based on these metrics, it might be worth considering how market sentiment has changed towards the stock.

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

We know that Ero Copper has improved its bottom line lately, but what does the future have in store? If you are thinking of buying or selling Ero Copper stock, you should check out this free report showing analyst profit forecasts.

A Different Perspective

We doubt Ero Copper shareholders are happy with the loss of 22% over twelve months. That falls short of the market, which lost 9.6%. That's disappointing, but it's worth keeping in mind that the market-wide selling wouldn't have helped. It's great to see a nice little 50% rebound in the last three months. Let's just hope this isn't the widely-feared 'dead cat bounce' (which would indicate further declines to come). It's always interesting to track share price performance over the longer term. But to understand Ero Copper better, we need to consider many other factors. Even so, be aware that Ero Copper is showing 2 warning signs in our investment analysis , you should know about...

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CA exchanges.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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