(ERJ) Embraer - Ratings and Ratios
Commercial Jets, Military Aircraft, Executive Jets, eVTOLs
ERJ EPS (Earnings per Share)
ERJ Revenue
Description: ERJ Embraer
Embraer SA ADR (NYSE:ERJ) is a diversified aerospace company with a presence in multiple regions, operating through various segments including Commercial Aviation, Defense & Security, Executive Aviation, and Services & Support. The companys broad portfolio includes commercial jets, military aircraft, executive jets, and a range of support services.
From a business perspective, Embraers diversified revenue streams and global footprint are key strengths. The companys Commercial Aviation segment is a significant player in the regional jet market, while its Defense & Security segment benefits from long-term contracts and a strong presence in the Brazilian military market. The Executive Aviation segment is also a notable contributor, with a range of luxury jets. Additionally, the Services & Support segment provides a steady stream of revenue through maintenance, repair, and overhaul (MRO) services.
To further analyze ERJs performance, we can examine key performance indicators (KPIs) such as revenue growth, operating margins, and return on equity (ROE). With a current ROE of 8.72%, Embraers profitability is relatively modest compared to industry peers. However, its P/E ratio of 24.49 suggests that investors are willing to pay a premium for the companys growth prospects. Other relevant KPIs include the companys debt-to-equity ratio, interest coverage ratio, and cash flow generation capabilities.
From a valuation perspective, ERJs current price of $49.30 is near its support level of $48.0, indicating a potential floor. However, the stocks short-term moving averages (SMA20 and SMA50) are trending downward, suggesting a possible continuation of the downtrend. To gauge the companys intrinsic value, we can apply various valuation models, such as the discounted cash flow (DCF) model or relative valuation using industry comparables.
Overall, Embraer SA ADRs diversified business model, global presence, and range of aerospace products and services make it an interesting investment opportunity. However, a more in-depth analysis of the companys financials, management team, and industry trends is necessary to determine its investment potential.
ERJ Stock Overview
| Market Cap in USD | 11,095m |
| Sub-Industry | Aerospace & Defense |
| IPO / Inception | 2000-07-20 |
ERJ Stock Ratings
| Growth Rating | 94.3% |
| Fundamental | 86.1% |
| Dividend Rating | 15.6% |
| Return 12m vs S&P 500 | 47.8% |
| Analyst Rating | 3.93 of 5 |
ERJ Dividends
| Dividend Yield 12m | 0.08% |
| Yield on Cost 5y | 1.02% |
| Annual Growth 5y | % |
| Payout Consistency | 52.8% |
| Payout Ratio | 2.3% |
ERJ Growth Ratios
| Growth Correlation 3m | 53.9% |
| Growth Correlation 12m | 92% |
| Growth Correlation 5y | 83.9% |
| CAGR 5y | 86.63% |
| CAGR/Max DD 3y (Calmar Ratio) | 3.06 |
| CAGR/Mean DD 3y (Pain Ratio) | 11.70 |
| Sharpe Ratio 12m | 0.05 |
| Alpha | 58.62 |
| Beta | 1.057 |
| Volatility | 39.26% |
| Current Volume | 513.4k |
| Average Volume 20d | 859.5k |
| Stop Loss | 58.5 (-3.6%) |
| Signal | 0.11 |
Piotroski VR‑10 (Strict, 0-10) 7.5
| Net Income (595.3m TTM) > 0 and > 6% of Revenue (6% = 1.10b TTM) |
| FCFTA 0.47 (>2.0%) and ΔFCFTA 44.14pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 8.76% (prev 34.45%; Δ -25.70pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.51 (>3.0%) and CFO 6.14b > Net Income 595.3m (YES >=105%, WARN >=100%) |
| Net Debt (1.67b) to EBITDA (2.63b) ratio: 0.64 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.33 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (183.4m) change vs 12m ago -0.15% (target <= -2.0% for YES) |
| Gross Margin 18.53% (prev 17.37%; Δ 1.17pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 159.9% (prev 51.95%; Δ 108.0pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 5.88 (EBITDA TTM 2.63b / Interest Expense TTM 387.2m) >= 6 (WARN >= 3) |
Altman Z'' 2.66
| (A) 0.13 = (Total Current Assets 6.52b - Total Current Liabilities 4.91b) / Total Assets 12.07b |
| (B) 0.01 = Retained Earnings (Balance) 135.6m / Total Assets 12.07b |
| (C) 0.20 = EBIT TTM 2.28b / Avg Total Assets 11.47b |
| (D) 0.40 = Book Value of Equity 3.35b / Total Liabilities 8.46b |
| Total Rating: 2.66 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 86.13
| 1. Piotroski 7.50pt = 2.50 |
| 2. FCF Yield 9.27% = 4.63 |
| 3. FCF Margin 30.81% = 7.50 |
| 4. Debt/Equity 0.70 = 2.26 |
| 5. Debt/Ebitda 0.64 = 2.19 |
| 6. ROIC - WACC (= 48.88)% = 12.50 |
| 7. RoE 8.30% = 0.69 |
| 8. Rev. Trend 39.68% = 2.98 |
| 9. EPS Trend 17.55% = 0.88 |
What is the price of ERJ shares?
Over the past week, the price has changed by +5.04%, over one month by +0.71%, over three months by +23.95% and over the past year by +72.03%.
Is Embraer a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of ERJ is around 92.20 USD . This means that ERJ is currently undervalued and has a potential upside of +51.89% (Margin of Safety).
Is ERJ a buy, sell or hold?
- Strong Buy: 5
- Buy: 5
- Hold: 3
- Sell: 0
- Strong Sell: 1
What are the forecasts/targets for the ERJ price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 65.9 | 8.5% |
| Analysts Target Price | 65.9 | 8.5% |
| ValueRay Target Price | 103.9 | 71.1% |
Last update: 2025-10-16 03:48
ERJ Fundamental Data Overview
P/E Trailing = 29.0865
P/E Forward = 19.8807
P/S = 0.2787
P/B = 3.1237
P/EG = 1.19
Beta = 1.057
Revenue TTM = 18.35b BRL
EBIT TTM = 2.28b BRL
EBITDA TTM = 2.63b BRL
Long Term Debt = 2.08b BRL (from longTermDebt, last quarter)
Short Term Debt = 142.8m BRL (from shortTermDebt, last quarter)
Debt = 2.32b BRL (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.67b BRL (from netDebt column, last quarter)
Enterprise Value = 61.02b BRL (59.96b + Debt 2.32b - CCE 1.26b)
Interest Coverage Ratio = 5.88 (Ebit TTM 2.28b / Interest Expense TTM 387.2m)
FCF Yield = 9.27% (FCF TTM 5.65b / Enterprise Value 61.02b)
FCF Margin = 30.81% (FCF TTM 5.65b / Revenue TTM 18.35b)
Net Margin = 3.24% (Net Income TTM 595.3m / Revenue TTM 18.35b)
Gross Margin = 18.53% ((Revenue TTM 18.35b - Cost of Revenue TTM 14.95b) / Revenue TTM)
Gross Margin QoQ = 19.46% (prev 17.14%)
Tobins Q-Ratio = 5.06 (Enterprise Value 61.02b / Total Assets 12.07b)
Interest Expense / Debt = 2.31% (Interest Expense 53.7m / Debt 2.32b)
Taxrate = -42.29% (negative due to tax credits) (-20.8m / 49.3m)
NOPAT = 3.24b (EBIT 2.28b * (1 - -42.29%)) [negative tax rate / tax credits]
Current Ratio = 1.33 (Total Current Assets 6.52b / Total Current Liabilities 4.91b)
Debt / Equity = 0.70 (Debt 2.32b / totalStockholderEquity, last quarter 3.31b)
Debt / EBITDA = 0.64 (Net Debt 1.67b / EBITDA 2.63b)
Debt / FCF = 0.30 (Net Debt 1.67b / FCF TTM 5.65b)
Total Stockholder Equity = 7.17b (last 4 quarters mean from totalStockholderEquity)
RoA = 4.93% (Net Income 595.3m / Total Assets 12.07b)
RoE = 8.30% (Net Income TTM 595.3m / Total Stockholder Equity 7.17b)
RoCE = 24.59% (EBIT 2.28b / Capital Employed (Equity 7.17b + L.T.Debt 2.08b))
RoIC = 58.54% (NOPAT 3.24b / Invested Capital 5.53b)
WACC = 9.66% (E(59.96b)/V(62.28b) * Re(9.91%) + D(2.32b)/V(62.28b) * Rd(2.31%) * (1-Tc(-0.42)))
Discount Rate = 9.91% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.07%
[DCF Debug] Terminal Value 73.05% ; FCFE base≈3.51b ; Y1≈3.78b ; Y5≈4.67b
Fair Price DCF = 323.7 (DCF Value 59.37b / Shares Outstanding 183.4m; 5y FCF grow 8.81% → 3.0% )
EPS Correlation: 17.55 | EPS CAGR: -12.45% | SUE: -1.74 | # QB: 0
Revenue Correlation: 39.68 | Revenue CAGR: 27.51% | SUE: 0.50 | # QB: 0
Additional Sources for ERJ Stock
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Fund Manager Positions: Dataroma | Stockcircle