New Risk • Apr 17
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 33% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 35% per year over the past 5 years. Minor Risks Dividend is not well covered by cash flows (101% cash payout ratio). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (2.5% net profit margin). Market cap is less than US$100m (R$251.4m market cap, or US$50.4m). Announcement • Mar 31
Eternit S.A., Annual General Meeting, Apr 27, 2026 Eternit S.A., Annual General Meeting, Apr 27, 2026. Declared Dividend • Mar 30
Dividend of R$0.17 announced Shareholders will receive a dividend of R$0.17. Ex-date: 31st March 2026 Payment date: 18th September 2026 Dividend yield will be 4.2%, which is higher than the industry average of 2.5%. Sustainability & Growth Dividend is covered by earnings (6% earnings payout ratio) but not covered by cash flows (101% cash payout ratio). The dividend has decreased over the past 10 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to decline by 94% to shift the payout ratio to a potentially unsustainable range, which is more than the 24% EPS decline seen over the last 5 years. Reported Earnings • Mar 27
Full year 2025 earnings released Full year 2025 results: Revenue: R$1.15b (down 1.0% from FY 2024). Net income: R$49.0m (up 26% from FY 2024). Profit margin: 4.3% (up from 3.3% in FY 2024). Reported Earnings • Nov 17
Third quarter 2025 earnings released: EPS: R$0.32 (vs R$0.30 in 3Q 2024) Third quarter 2025 results: EPS: R$0.32 (up from R$0.30 in 3Q 2024). Revenue: R$319.3m (down 3.8% from 3Q 2024). Net income: R$19.0m (up 2.1% from 3Q 2024). Profit margin: 6.0% (up from 5.6% in 3Q 2024). Over the last 3 years on average, earnings per share has fallen by 38% per year but the company’s share price has only fallen by 26% per year, which means it has not declined as severely as earnings. Announcement • Aug 07
Eternit S.A. to Report Q2, 2025 Results on Aug 05, 2025 Eternit S.A. announced that they will report Q2, 2025 results on Aug 05, 2025 Reported Earnings • Aug 06
Second quarter 2025 earnings released: EPS: R$0.50 (vs R$0.19 in 2Q 2024) Second quarter 2025 results: EPS: R$0.50 (up from R$0.19 in 2Q 2024). Revenue: R$280.1m (up 1.3% from 2Q 2024). Net income: R$30.6m (up 162% from 2Q 2024). Profit margin: 11% (up from 4.2% in 2Q 2024). Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 29% per year, which means it has not declined as severely as earnings. Buy Or Sell Opportunity • Jun 12
Now 21% overvalued Over the last 90 days, the stock has fallen 17% to R$4.13. The fair value is estimated to be R$3.41, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 46%. Reported Earnings • May 15
First quarter 2025 earnings released: R$0.17 loss per share (vs R$0.004 profit in 1Q 2024) First quarter 2025 results: R$0.17 loss per share (down from R$0.004 profit in 1Q 2024). Revenue: R$283.4m (up 6.3% from 1Q 2024). Net loss: R$10.4m (down R$10.6m from profit in 1Q 2024). Over the last 3 years on average, earnings per share has fallen by 46% per year but the company’s share price has only fallen by 30% per year, which means it has not declined as severely as earnings. Announcement • May 15
Eternit S.A. to Report Q1, 2025 Results on May 13, 2025 Eternit S.A. announced that they will report Q1, 2025 results on May 13, 2025 Announcement • Apr 02
Eternit S.A., Annual General Meeting, Apr 30, 2025 Eternit S.A., Annual General Meeting, Apr 30, 2025. New Risk • Mar 21
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 36% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (3.3% net profit margin). Market cap is less than US$100m (R$307.0m market cap, or US$53.7m). Reported Earnings • Mar 13
Full year 2024 earnings released: EPS: R$0.63 (vs R$2.06 in FY 2023) Full year 2024 results: EPS: R$0.63 (down from R$2.06 in FY 2023). Revenue: R$1.16b (up 2.9% from FY 2023). Net income: R$38.8m (down 70% from FY 2023). Profit margin: 3.3% (down from 11% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has only fallen by 33% per year, which means it has not declined as severely as earnings. Announcement • Mar 12
Eternit S.A. to Report Q4, 2024 Results on Mar 11, 2025 Eternit S.A. announced that they will report Q4, 2024 results on Mar 11, 2025 Buy Or Sell Opportunity • Nov 28
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 1.7% to R$5.76. The fair value is estimated to be R$7.54, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 45%. Valuation Update With 7 Day Price Move • Nov 26
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to R$6.25, the stock trades at a trailing P/E ratio of 3.4x. Average trailing P/E is 10x in the Basic Materials industry in South America. Total loss to shareholders of 50% over the past three years. Buy Or Sell Opportunity • Nov 12
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 15% to R$5.15. The fair value is estimated to be R$6.76, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 45%. Reported Earnings • Nov 10
Third quarter 2024 earnings released: EPS: R$0.30 (vs R$0.34 in 3Q 2023) Third quarter 2024 results: EPS: R$0.30 (down from R$0.34 in 3Q 2023). Revenue: R$332.0m (up 14% from 3Q 2023). Net income: R$18.6m (down 12% from 3Q 2023). Profit margin: 5.6% (down from 7.2% in 3Q 2023). Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 32% per year, which means it has not declined as severely as earnings. Buy Or Sell Opportunity • Aug 14
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 12% to R$5.87. The fair value is estimated to be R$7.53, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 2.6% over the last 3 years. Earnings per share has declined by 45%. New Risk • Aug 10
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 23% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (7.1% average weekly change). Large one-off items impacting financial results. Market cap is less than US$100m (R$356.8m market cap, or US$64.7m). Reported Earnings • Aug 09
Second quarter 2024 earnings released: EPS: R$0.19 (vs R$0.018 in 2Q 2023) Second quarter 2024 results: EPS: R$0.19 (up from R$0.018 in 2Q 2023). Revenue: R$276.5m (up 6.5% from 2Q 2023). Net income: R$11.7m (up R$10.6m from 2Q 2023). Profit margin: 4.2% (up from 0.4% in 2Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 36% per year, which means it has not declined as severely as earnings. Announcement • Aug 02
Eternit S.A. to Report Q2, 2024 Results on Aug 06, 2024 Eternit S.A. announced that they will report Q2, 2024 results at 6:00 PM, E. South America Standard Time on Aug 06, 2024 New Risk • Jul 31
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Brazilian stocks, typically moving 6.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.3% average weekly change). Large one-off items impacting financial results. Market cap is less than US$100m (R$356.8m market cap, or US$63.5m). Reported Earnings • May 08
First quarter 2024 earnings released: EPS: R$0.004 (vs R$0.36 in 1Q 2023) First quarter 2024 results: EPS: R$0.004 (down from R$0.36 in 1Q 2023). Revenue: R$266.7m (down 10.0% from 1Q 2023). Net income: R$239.0k (down 99% from 1Q 2023). Profit margin: 0.1% (down from 7.4% in 1Q 2023). Over the last 3 years on average, earnings per share has fallen by 43% per year but the company’s share price has only fallen by 37% per year, which means it has not declined as severely as earnings. Announcement • May 05
Eternit S.A. to Report Q1, 2024 Results on May 07, 2024 Eternit S.A. announced that they will report Q1, 2024 results at 3:00 AM, Coordinated Universal Time on May 07, 2024 Board Change • Mar 14
Less than half of directors are independent There are 4 new directors who have joined the board in the last 3 years. Of these new board members, none were independent directors. The company's board is composed of: 4 new directors. 3 experienced directors. 1 highly experienced director. 2 independent directors (3 non-independent directors). Independent Director Marcelo Auricchio is the most experienced director on the board, commencing their role in 2011. Independent Director Louise Barsi was the last independent director to join the board, commencing their role in 2017. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of experienced directors. Reported Earnings • Feb 29
Full year 2023 earnings released: EPS: R$2.06 (vs R$2.23 in FY 2022) Full year 2023 results: EPS: R$2.06 (down from R$2.23 in FY 2022). Revenue: R$1.13b (down 4.9% from FY 2022). Net income: R$127.2m (down 7.6% from FY 2022). Profit margin: 11% (in line with FY 2022). Over the last 3 years on average, earnings per share has fallen by 36% per year but the company’s share price has only fallen by 21% per year, which means it has not declined as severely as earnings. New Risk • Feb 29
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Brazilian stocks, typically moving 6.7% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.7% average weekly change). Profit margins are more than 30% lower than last year (5.0% net profit margin). Market cap is less than US$100m (R$484.5m market cap, or US$97.5m). Announcement • Feb 05
Eternit S.A. to Report Q4, 2023 Results on Feb 27, 2024 Eternit S.A. announced that they will report Q4, 2023 results on Feb 27, 2024 New Risk • Jan 19
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: R$483.3m (US$98.0m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (5.0% net profit margin). Market cap is less than US$100m (R$483.3m market cap, or US$98.0m). Reported Earnings • Nov 09
Third quarter 2023 earnings released: EPS: R$0.34 (vs R$0.66 in 3Q 2022) Third quarter 2023 results: EPS: R$0.34 (down from R$0.66 in 3Q 2022). Revenue: R$291.0m (down 9.9% from 3Q 2022). Net income: R$21.1m (down 49% from 3Q 2022). Profit margin: 7.2% (down from 13% in 3Q 2022). Over the last 3 years on average, earnings per share has fallen by 22% per year but the company’s share price has only fallen by 10% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Nov 07
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to R$8.67, the stock trades at a trailing P/E ratio of 6.8x. Average trailing P/E is 9x in the Basic Materials industry in South America. Total loss to shareholders of 17% over the past three years. New Risk • Aug 14
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 20% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (6.6% net profit margin). Reported Earnings • Aug 10
Second quarter 2023 earnings released: EPS: R$0.018 (vs R$0.65 in 2Q 2022) Second quarter 2023 results: EPS: R$0.018 (down from R$0.65 in 2Q 2022). Revenue: R$259.6m (down 11% from 2Q 2022). Net income: R$1.13m (down 97% from 2Q 2022). Profit margin: 0.4% (down from 14% in 2Q 2022). The decrease in margin was primarily driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 24% per year, which means it is well ahead of earnings. Reported Earnings • May 11
First quarter 2023 earnings released: EPS: R$0.36 (vs R$0.68 in 1Q 2022) First quarter 2023 results: EPS: R$0.36 (down from R$0.68 in 1Q 2022). Revenue: R$296.4m (up 14% from 1Q 2022). Net income: R$22.0m (down 48% from 1Q 2022). Profit margin: 7.4% (down from 16% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has increased by 57% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Feb 18
Full year 2022 earnings released: EPS: R$2.23 (vs R$4.36 in FY 2021) Full year 2022 results: EPS: R$2.23 (down from R$4.36 in FY 2021). Revenue: R$1.19b (up 5.7% from FY 2021). Net income: R$137.6m (down 49% from FY 2021). Profit margin: 12% (down from 24% in FY 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has only increased by 22% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Feb 16
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to R$10.91, the stock trades at a trailing P/E ratio of 3.8x. Average trailing P/E is 9x in the Basic Materials industry in South America. Total returns to shareholders of 125% over the past three years. Reported Earnings • Nov 12
Third quarter 2022 earnings released: EPS: R$0.66 (vs R$1.59 in 3Q 2021) Third quarter 2022 results: EPS: R$0.66 (down from R$1.59 in 3Q 2021). Revenue: R$323.0m (up 17% from 3Q 2021). Net income: R$41.0m (down 58% from 3Q 2021). Profit margin: 13% (down from 36% in 3Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 69% per year but the company’s share price has only increased by 61% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Sep 21
Investor sentiment improved over the past week After last week's 16% share price gain to R$14.14, the stock trades at a trailing P/E ratio of 3.7x. Average trailing P/E is 10x in the Basic Materials industry in South America. Total returns to shareholders of 496% over the past three years. Reported Earnings • Aug 13
Second quarter 2022 earnings released: EPS: R$0.65 (vs R$0.97 in 2Q 2021) Second quarter 2022 results: EPS: R$0.65 (down from R$0.97 in 2Q 2021). Revenue: R$292.1m (up 1.7% from 2Q 2021). Net income: R$40.3m (down 32% from 2Q 2021). Profit margin: 14% (down from 21% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 95% per year but the company’s share price has only increased by 76% per year, which means it is significantly lagging earnings growth. Reported Earnings • May 13
First quarter 2022 earnings released: EPS: R$0.69 (vs R$1.13 in 1Q 2021) First quarter 2022 results: EPS: R$0.69 (down from R$1.13 in 1Q 2021). Revenue: R$259.7m (down 3.9% from 1Q 2021). Net income: R$42.3m (down 28% from 1Q 2021). Profit margin: 16% (down from 22% in 1Q 2021). The decrease in margin was primarily driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 112% per year but the company’s share price has only increased by 83% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Mar 24
Upcoming dividend of R$0.39 per share Eligible shareholders must have bought the stock before 31 March 2022. Payment date: 08 April 2022. Payout ratio is a comfortable 15% but the company is not cash flow positive. Trailing yield: 3.8%. Lower than top quartile of Brazilian dividend payers (6.1%). Lower than average of industry peers (4.3%). Valuation Update With 7 Day Price Move • Mar 19
Investor sentiment improved over the past week After last week's 18% share price gain to R$17.06, the stock trades at a trailing P/E ratio of 3.9x. Average trailing P/E is 11x in the Basic Materials industry in South America. Total returns to shareholders of 672% over the past three years. Reported Earnings • Feb 24
Full year 2021 earnings: Revenues in line with analyst expectations Full year 2021 results: Revenue: R$1.12b (up 64% from FY 2020). Net income: R$269.4m (up 70% from FY 2020). Profit margin: 24% (in line with FY 2020). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has increased by 134% per year but the company’s share price has only increased by 72% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Feb 23
Investor sentiment deteriorated over the past week After last week's 16% share price decline to R$14.75, the stock trades at a trailing P/E ratio of 2.7x. Average trailing P/E is 12x in the Basic Materials industry in South America. Total returns to shareholders of 519% over the past three years. Valuation Update With 7 Day Price Move • Feb 01
Investor sentiment improved over the past week After last week's 15% share price gain to R$18.60, the stock trades at a trailing P/E ratio of 3.4x. Average trailing P/E is 13x in the Basic Materials industry in South America. Total returns to shareholders of 638% over the past three years. Valuation Update With 7 Day Price Move • Dec 29
Investor sentiment improved over the past week After last week's 20% share price gain to R$21.60, the stock trades at a trailing P/E ratio of 4x. Average trailing P/E is 13x in the Basic Materials industry in South America. Total returns to shareholders of 793% over the past three years. Valuation Update With 7 Day Price Move • Dec 04
Investor sentiment improved over the past week After last week's 18% share price gain to R$16.75, the stock trades at a trailing P/E ratio of 3.1x. Average trailing P/E is 13x in the Basic Materials industry in South America. Total returns to shareholders of 649% over the past three years. Valuation Update With 7 Day Price Move • Nov 20
Investor sentiment deteriorated over the past week After last week's 17% share price decline to R$13.80, the stock trades at a trailing P/E ratio of 2.5x. Average trailing P/E is 14x in the Basic Materials industry in South America. Total returns to shareholders of 474% over the past three years. Reported Earnings • Nov 12
Third quarter 2021 earnings released: EPS R$1.59 (vs R$0.44 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: R$276.0m (up 37% from 3Q 2020). Net income: R$98.0m (up 146% from 3Q 2020). Profit margin: 36% (up from 20% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 127% per year but the company’s share price has only increased by 86% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Oct 01
Investor sentiment deteriorated over the past week After last week's 18% share price decline to R$15.15, the stock trades at a trailing P/E ratio of 3.4x. Average trailing P/E is 13x in the Basic Materials industry in South America. Total returns to shareholders of 490% over the past three years. Valuation Update With 7 Day Price Move • Aug 17
Investor sentiment deteriorated over the past week After last week's 20% share price decline to R$19.08, the stock trades at a trailing P/E ratio of 4.7x. Average trailing P/E is 15x in the Basic Materials industry in South America. Total returns to shareholders of 517% over the past three years. Reported Earnings • May 15
First quarter 2021 earnings released: EPS R$1.13 (vs R$0.47 loss in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: R$270.3m (up 138% from 1Q 2020). Net income: R$58.4m (up R$73.3m from 1Q 2020). Profit margin: 22% (up from net loss in 1Q 2020). Over the last 3 years on average, earnings per share has increased by 112% per year but the company’s share price has only increased by 93% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • May 13
Investor sentiment improved over the past week After last week's 23% share price gain to R$26.72, the stock trades at a trailing P/E ratio of 8.7x. Average trailing P/E is 17x in the Basic Materials industry in South America. Total returns to shareholders of 639% over the past three years. Valuation Update With 7 Day Price Move • Apr 21
Investor sentiment improved over the past week After last week's 19% share price gain to R$20.58, the stock trades at a trailing P/E ratio of 6.7x. Average trailing P/E is 17x in the Basic Materials industry in South America. Total returns to shareholders of 453% over the past three years. Valuation Update With 7 Day Price Move • Mar 19
Investor sentiment improved over the past week After last week's 33% share price gain to R$19.57, the stock trades at a trailing P/E ratio of 6.4x. Average trailing P/E is 18x in the Basic Materials industry in South America. Total returns to shareholders of 306% over the past three years. Reported Earnings • Mar 07
Full year 2020 earnings released: EPS R$3.07 (vs R$0.40 loss in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: R$683.4m (up 40% from FY 2019). Net income: R$158.8m (up R$171.4m from FY 2019). Profit margin: 23% (up from net loss in FY 2019). Over the last 3 years on average, earnings per share has increased by 97% per year but the company’s share price has only increased by 32% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Mar 04
Investor sentiment improved over the past week After last week's 16% share price gain to R$14.14, the stock is trading at a trailing P/E ratio of 14.9x, up from the previous P/E ratio of 12.8x. This compares to an average P/E of 29x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 157%. Is New 90 Day High Low • Feb 26
New 90-day low: R$11.21 The company is down 26% from its price of R$15.15 on 27 November 2020. The Brazilian market is up 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Basic Materials industry, which is up 22% over the same period. Valuation Update With 7 Day Price Move • Dec 16
Investor sentiment deteriorated over the past week After last week's 18% share price decline to R$14.72, the stock is trading at a trailing P/E ratio of 15.5x, down from the previous P/E ratio of 18.9x. This compares to an average P/E of 24x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 195%. Valuation Update With 7 Day Price Move • Dec 01
Market bids up stock over the past week After last week's 26% share price gain to R$15.97, the stock is trading at a trailing P/E ratio of 16.8x, up from the previous P/E ratio of 13.3x. This compares to an average P/E of 23x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 200%. Valuation Update With 7 Day Price Move • Nov 27
Market bids up stock over the past week After last week's 30% share price gain to R$14.94, the stock is trading at a trailing P/E ratio of 15.7x, up from the previous P/E ratio of 12.1x. This compares to an average P/E of 23x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 175%. Is New 90 Day High Low • Nov 24
New 90-day high: R$13.06 The company is up 168% from its price of R$4.87 on 26 August 2020. The Brazilian market is up 3.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Basic Materials industry, which is up 12% over the same period. Valuation Update With 7 Day Price Move • Nov 24
Market bids up stock over the past week After last week's 15% share price gain to R$13.06, the stock is trading at a trailing P/E ratio of 13.7x, up from the previous P/E ratio of 11.9x. This compares to an average P/E of 22x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 108%. Reported Earnings • Nov 12
Third quarter 2020 earnings released: EPS R$0.43 The company reported a solid third quarter result with improved earnings and revenues, although profit margins were weaker. Third quarter 2020 results: Revenue: R$201.1m (up 58% from 3Q 2019). Net income: R$39.9m (up 12% from 3Q 2019). Profit margin: 20% (down from 28% in 3Q 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 71% per year but the company’s share price has only increased by 25% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Nov 06
Market bids up stock over the past week After last week's 23% share price gain to R$11.47, the stock is trading at a trailing P/E ratio of 9.4x, up from the previous P/E ratio of 7.6x. This compares to an average P/E of 21x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 93%. Valuation Update With 7 Day Price Move • Oct 29
Market bids up stock over the past week After last week's 24% share price gain to R$10.90, the stock is trading at a trailing P/E ratio of 8.9x, up from the previous P/E ratio of 7.2x. This compares to an average P/E of 25x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 77%. Is New 90 Day High Low • Oct 24
New 90-day high: R$9.86 The company is up 76% from its price of R$5.59 on 24 July 2020. The Brazilian market is down 1.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Basic Materials industry, which is up 17% over the same period. Valuation Update With 7 Day Price Move • Oct 17
Market bids up stock over the past week After last week's 24% share price gain to R$9.25, the stock is trading at a trailing P/E ratio of 7.5x, up from the previous P/E ratio of 6.1x. This compares to an average P/E of 14x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 47%. Valuation Update With 7 Day Price Move • Oct 14
Market bids up stock over the past week After last week's 19% share price gain to R$7.99, the stock is trading at a trailing P/E ratio of 6.5x, up from the previous P/E ratio of 5.5x. This compares to an average P/E of 13x in the Basic Materials industry in South America. Total returns to shareholders over the past three years are 26%. Is New 90 Day High Low • Oct 07
New 90-day high: R$6.70 The company is up 61% from its price of R$4.16 on 09 July 2020. The Brazilian market is down 4.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Basic Materials industry, which is up 18% over the same period.