Oversold

ERII

Valuation68/ 100
Cash flow & growth50/ 100
Upside potential37/ 100
Risk potential39/ 100

ERII's valuation is historically cheap while fundamentals are somewhat mixed and weaker than expected earnings are holding it back, though analyst coverage is limited and estimates vary widely.

Score change since last week

The score rose 4 points, mainly due to valuation and price changes. Price fell 1.8%, from $7.77 to $7.63. Reported EPS was unchanged, so the lower price improved valuation support.

Valuation and price changes added 4.0 points. The comparison uses the same available inputs on both dates. Displayed changes are rounded to whole points.

Valuation

Historical cheapness: current PE is 27× versus the full-history median of 43.2× shown in the valuation table, producing 77.8/100. Positive weekly observations receive equal weight; lower past EPS alone does not disqualify them.

Outlook-adjusted valuation: 67.5/100. The model applies a -10.1% earnings-growth assumption and a 10% annual return hurdle, with positive credit limited by evidence coverage and confidence.

Forward price scenarios use recent PE history separately. Recent history has a separately weighted median of 40× (18-month half-life). The favorable scenario uses 32.2× PE and $0.3 projected EPS, informed by growth, margins and earnings-quality checks. This is a model scenario, not an analyst target. A return to the full-history median is not assumed.

Cash flow & growth

Business trends are mixed. Over the past year: revenue -15.2%, earnings -32.4%, operating margin +1.2 percentage points. Free cash flow is 32.1% of revenue. The business score is 49.5/100. Growth, margins and cash generation drive the score. Missing or older data receives less weight.

Favorable scenario

Stronger earnings and valuation could support a higher share price.

Our favorable case uses $0.29 of EPS and a 32.2× PE, suggesting a share price of about $9.21 — 20% above today’s price. Valuation history and outlook inform the PE.

This is a scenario based on our model, not a forecast or probability.

Downside scenario

Weaker than expected earnings could put pressure on the share price.

Our downside case uses $0.19 of EPS and a 24.6× PE, suggesting a share price of about $4.65 — 39% below today’s price. Valuation history and outlook inform the PE.

This is a scenario based on our model, not a forecast or probability.

ERII vs Historical averages

MetricCurrentAverageRelative
PE27x56x52% lower
PE percentile125075% lower
EPS$0.28$0.3418% lower
FCF$38.6M$16.4M136% higher
Loading historical comparisons…

ERII’s fundamentals are mixed relative to their historical averages, while its earnings multiple is lower.

ERII Forward outlook

MetricOutlook
Forward valuation--
Forward earningsTurning negative
Forward revenueStrong decline
Forward profitabilityStrongly contracting
Analyst coverageLimited
Estimate dispersionWide

ERII’s outlook is weakening, with weaker expected earnings weighing on the picture.

ERII PE Valuation

Loading pe valuation table…

This table applies ERII's historical price-to-earnings (PE) landmarks to current earnings. The implied prices are valuation scenarios, not price forecasts or targets.

ERII Earnings Per Share

Loading earnings per share…

This chart tracks ERII's trailing twelve-month diluted earnings per share, calculated from four consecutive reported quarters to reduce seasonal noise.

ERII Quarterly Revenue

Loading quarterly revenue…

This chart tracks ERII's quarterly revenue over time and shows how sales are changing from year to year.

ERII Free Cash Flow

Loading free cash flow…

This chart tracks ERII's free cash flow over time, showing whether the business is consistently generating cash after operating costs and capital spending.

ERII Total Shares

Loading shares over time…

This chart tracks changes in ERII's diluted share count. A rising count can dilute existing owners, while a falling count often reflects share repurchases.

ERII Net Leverage

Loading net leverage…

Quarterly Net Leverage uses the last 12 months of EBITDA. A falling multiple generally indicates less debt relative to earnings capacity. Negative values mean net cash; missing data or nonpositive LTM EBITDA are N/A. The table shows each period’s Net Leverage and status.

ERII PE vs Industrials Sector

Loading pe vs sector average…

This chart compares ERII's price-to-earnings (PE) ratio with the Industrials sector average. A discount or premium can reflect differences in expected growth, profitability, or risk.

ERII Weekly Price

Loading weekly price…

This chart uses ERII's weekly closing prices to show the longer-term trend. The lower panes show weekly RSI and Stochastic momentum.

ERII Weekly Moving Averages

Loading weekly moving averages…

This chart compares ERII's 8, 20, 50, 100, and 200-week moving averages from 2020 onward. Shorter averages react faster to price changes, while longer averages show the broader trend.

ERII Yearly ROI

Loading yearly ROI…

Each line starts at 0% using the year’s first dependable weekly close and tracks the return through December, or through the latest available week for the current year.