Energy Resources of Australia Ltd

ASX:ERA Stock Report

Mkt Cap: AU$959.8m

We’ve recently updated our valuation analysis.

Energy Resources of Australia Valuation

Is ERA undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ERA?

Other financial metrics that can be useful for relative valuation.

ERA key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.4x
Enterprise Value/EBITDA-1.3x
PEG Ration/a

Price to Sales Ratio vs Peers

How does ERA's PS Ratio compare to its peers?

The above table shows the PS ratio for ERA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average2x
TER TerraCom
0.8xn/aAU$668.8m
MCM MC Mining
3.4xn/aAU$111.4m
NHC New Hope
2x-4.4%AU$5.0b
SMR Stanmore Resources
1.8x4.2%AU$3.2b
ERA Energy Resources of Australia
4.8xn/aAU$959.8m

Price-To-Sales vs Peers: ERA is expensive based on its Price-To-Sales Ratio (4.8x) compared to the peer average (2x).


Price to Earnings Ratio vs Industry

How does ERA's PE Ratio compare vs other companies in the AU Oil and Gas Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-6.9%
n/an/an/a

Price-To-Sales vs Industry: ERA is expensive based on its Price-To-Sales Ratio (4.8x) compared to the Australian Oil and Gas industry average (4.7x)


Price to Sales Ratio vs Fair Ratio

What is ERA's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ERA PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4.8x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate ERA's Price-To-Sales Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of ERA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate ERA's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate ERA's fair value for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


Discover undervalued companies

  • Take a look at our analysis of ERA's management and see if the CEO's compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the potential returns from the core activities, the size of each contract's opportunity, and the capacity of the team. While we are not analysing this type of data at the moment, if you don't know where to start, we recommend reading through Energy Resources of Australia regulatory filings.
  • Potentially undervalued companies in the Energy industry.