Critical Analysis: Eramet (ERMAY) & Its Peers

Eramet (OTCMKTS:ERMAY) is one of 1,989 publicly-traded companies in the “Metals & Mining” industry, but how does it contrast to its rivals? We will compare Eramet to similar businesses based on the strength of its analyst recommendations, dividends, risk, profitability, valuation, institutional ownership and earnings.

Valuation & Earnings

This table compares Eramet and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Eramet	N/A	N/A	-3.30
Eramet Competitors	$4.47 billion	$267.99 million	-20.25

Eramet’s rivals have higher revenue and earnings than Eramet. Eramet is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a breakdown of current ratings for Eramet and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eramet	0	1	0	0	2.00
Eramet Competitors	6267	22322	31887	1742	2.47

As a group, “Metals & Mining” companies have a potential upside of 34.50%. Given Eramet’s rivals stronger consensus rating and higher probable upside, analysts plainly believe Eramet has less favorable growth aspects than its rivals.

Profitability

This table compares Eramet and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eramet	N/A	N/A	N/A
Eramet Competitors	-1,174,432,924,478,955,600.00%	48.38%	-2.67%

Institutional & Insider Ownership

16.1% of shares of all “Metals & Mining” companies are held by institutional investors. 17.6% of shares of all “Metals & Mining” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Eramet rivals beat Eramet on 8 of the 11 factors compared.

Eramet Company Profile

ERAMET S.A. operates as a mining and metallurgical company in France, Asia, Europe, North America, and internationally. The company extracts and processes manganese ore and nickel ore; and extracts and develops mineral sands. It also produces ferronickel, nickel pig iron, briquettes, nickel salts, high purity nickel, nickel ferroalloys, and alloy steel and casting; manganese alloys, such as high-carbon ferromanganese, silicomanganese, low and medium-carbon ferromanganese, and low-carbon silicomanganese for use in batteries, pigments, construction, and automotive industries; and mineral sands, such as titanium dioxide, high-purity pig iron, zircon, and ilmenite used in ceramics and pigments. In addition, it operates Moanda mine in Gabon; nickel mines in New Caledonia and Indonesia; and mineral sand mine in Senegal and Argentina. ERAMET S.A. was incorporated in 1880 and is headquartered in Paris, France.