The stock of Embraer S.A. (NYSE:ERJ) increased by $0.37 on Tuesday to at $15.86, up 2.39 percent. The last five days have seen an average of 1,429,192 shares of common stock traded. 32 times new highs were reached in the current year, with a gain of $4.99. The average number of shares traded over the last 20 days was 1,561,013, while the average volume over the last 50 days totaled 1,431,597.
ERJ stock appreciated 1.41% since last month. On 08/14/23, the company’s shares reached a one-month low of $14.11. The stock touched a high of $17.14 on 06/15/23, after rallying from a low of $8.52 in 52 weeks. The price of ERJ stock has risen by 45.11% or $4.99 this year, reaching a new high 32 times. Still, the stock price is down -7.47% from the 52-week high.
Valuation Metrics
Beta for the stock is 1.31. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 0.57, the price-to-book (PB) ratio of 1.17.
Company paid $0.0103 per share in dividends, an increase of 8.42% from $0.0095 last year.
Financial Health
For the three months ended June 29, Embraer S.A.’s quick ratio was 0.80, while its current ratio was 1.50, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 1.07, and the total debt to equity ratio is 1.42. As far as profitability goes, gross margin for the trailing twelve months is 18.00% percent. Embraer S.A.’s EBITDA margin for the year ended June 29 was 8.71%, whereas its operating margin stood at 3.50% for the same period. Based on annual data, it had gross profit of $912.2 million and revenue of $4.54 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. ERJ’s return on assets (ROA) during the last 12 months has been -1.00%. There was a -1.80% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -3.90%.
Earnings Surprise
According to Embraer S.A.’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $4.54 billion, while revenues rose by 7.56% to $0.0. It was predicted that Embraer S.A.’s quarterly earnings would be $0.31, but it ended up being $0.14, beating the consensus by 121.40%. EBITDA was $128.6 million for the quarter. At the end of Embraer S.A.’s most recent quarter ended June 29, its liabilities totaled 7.97 billion, while its total debt was $17.15 billion.
Technical Picture
Here’s a quick look at Embraer S.A.’s (ERJ) price momentum from a technical perspective. As of 28 August, the RSI 9-day stood at 65.06%, suggesting the stock is Neutral, with a 34.37% historical volatility rate.
The stochastic %K and %D were 69.29% and 64.48% respectively, while the average true range (ATR) was 0.51. Based on the 14-day stochastic reading of 89.16%, the RSI (14) reading is 60.95%. On the 9-day MACD Oscillator, the stock is at 0.17, and the 14-day reading is at 0.39.
Analyst Ratings
In its analyst report released on January 09, 2023, UBS began covering Embraer S.A. (NYSE: ERJ). The stock was rated as a Buy by the brokerage firm. Analysts have assigned Embraer S.A. (ERJ) an Buy rating. ERJ is a stock that is recommended for selling by 0 brokerage firms, while 3 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 0 rates it overweight and 10 others recommend it as a buy.
What is ERJ’s price target for the next 12 months?
The current consensus forecast for the stock is between $15.00 and $28.00, with a median target price of $19.50. In analyzing these forecasts, the average price target given by analysts for Embraer S.A. (ERJ) is $20.05.
