Agreement Details - Ero Copper Corp has signed a definitive earn-in agreement with Salobo Metais S A, a subsidiary of Vale Base Metals Limited, to earn a 60% interest in the Furnas Copper Project located in the Carajás Mineral Province in Pará State, Brazil [1] - The terms of the Agreement align with the previously signed binding term sheet outlined in the Company's press release dated October 30, 2023 [2] Company Overview - Ero Copper Corp is a high-margin, high-growth, low carbon-intensity copper producer with operations in Brazil and corporate headquarters in Vancouver, B C [3] - The Company's primary asset is a 99 6% interest in the Brazilian copper mining company, Mineração Caraíba S A, which owns the Caraíba Operations including the Pilar and Vermelhos underground mines and the Surubim open pit mine, and the Tucumã Project [3] - The Company also owns 97 6% of NX Gold S A, which owns the Xavantina Operations, an operating gold and silver mine located in Mato Grosso, Brazil [3] Additional Information - For more information on the Project, including location maps, geologic cross sections, historical drill intercepts and a description of the Company's work programs, refer to the Company's press release dated October 30, 2023 [2] - Additional information on the Company and its operations, including technical reports on the Caraíba Operations, Xavantina Operations and Tucumã Project, can be found on SEDAR+ and EDGAR [3]

Core Viewpoint - VALE S.A. is currently under scrutiny by investors, with a focus on its earnings estimates and revenue growth potential [1] Earnings Estimates - VALE is projected to report earnings of $0.40 per share for the current quarter, reflecting a year-over-year increase of +100%. However, the Zacks Consensus Estimate has decreased by -3.1% over the last 30 days [3] - For the next fiscal year, the consensus earnings estimate is $2.15, indicating a decline of -1.2% compared to the previous year, with a recent change of -3.6% [9] - The consensus earnings estimate for the current fiscal year is $2.18, showing a year-over-year increase of +19.1%, but has also seen a decrease of -1.8% in the last 30 days [13] Revenue Growth - The consensus sales estimate for the current quarter is $10.15 billion, indicating a year-over-year growth of +5%. For the current and next fiscal years, revenue estimates are $41.82 billion and $42.6 billion, reflecting changes of +0.1% and +1.9%, respectively [15] - VALE reported revenues of $8.46 billion in the last quarter, which is a year-over-year increase of +0.3% [16] Performance and Valuation - Over the past month, VALE's shares have declined by -3.1%, while the Zacks S&P 500 composite has increased by +1.1%. The Zacks Mining - Iron industry, which includes VALE, has seen a loss of 2% during this period [12] - VALE is graded A in terms of valuation, indicating it is trading at a discount compared to its peers [18] - The Zacks Rank for VALE is 4 (Sell), suggesting potential underperformance relative to the broader market in the near term [19][20]

Group 1: Economic Context - The Federal Reserve has raised its policy interest rate by 5.25 percentage points since March 2022, which is now significantly above all main U.S. inflation measures, particularly the PCE Index used by the Fed to set its inflation target [1] - Concerns about resurging inflation have been highlighted, suggesting that if inflation stabilizes in the 2.5% to 3% range, a new cost-of-living increase could occur without a recession, potentially leading to rising inflation again, with CPI possibly exceeding 5% in 2025 [3] Group 2: Vale's Financial Performance - Vale SA is currently undervalued compared to its peers, with a PE ratio of 6.335, which is a 70% discount to the median average of major mining companies [20] - Projected earnings per share (EPS) for Vale are expected to be $2.18 in 2024, $2.31 in 2025, and $2.34 in 2026, indicating a growth trajectory despite a slight decline in sales [15] - The company has a high profit margin of 18.72%, which is more than double the median average of its peers [40] Group 3: Investment Thesis - The investment case for Vale is bolstered by the anticipated demand for industrial metals, particularly due to the growth in electric vehicles and renewable energy, which could lead to significant price increases for copper and nickel [65][67] - Vale's assets have projected production and reserve ranges of 10 to over 40 years, allowing the company to increase mining rates when profitable [69] - The current valuation metrics, including EV to EBITDA at 4.192, indicate that Vale is trading at a significant discount compared to historical averages, suggesting potential for price appreciation [28] Group 4: Market Dynamics - Industrial metal prices have not risen since 2012, indicating a potential for price increases as demand grows, particularly in sectors related to electric vehicles and AI [42] - The company is well-positioned to leverage an upturn in base metals pricing, with a focus on iron ore, nickel, and copper, which are critical for modern industry [18][42] - The overall market balance for primary copper and nickel suggests a structural deficit that will require new supply to meet demand growth [66][68] Group 5: Technical Analysis - Recent technical indicators suggest that Vale's share price may have bottomed, with a favorable supply/demand balance emerging [54] - The Accumulation Distribution Line has shown positive trends, indicating a potential recovery in share price supported by favorable market conditions [54] - The company's free cash flow yield of 14.63% is significantly higher than its peers, highlighting its strong cash generation capabilities [38]

Shares of the company witnessed a loss of 8.16% over the previous month, trailing the performance of the Basic Materials sector with its loss of 4.67% and the S&P 500's gain of 3.38%. For the full year, the Zacks Consensus Estimates project earnings of $2.17 per share and a revenue of $41.5 billion, demonstrating changes of +18.58% and -0.69%, respectively, from the preceding year. Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from t ...

Shareholder Value FAST Graphs Takeaway Pros: CUHRIG Vale S.A. (NYSE:VALE) is making headlines again. Concentration of critical materials used in selected clean energy technologies vs. traditional electricity generation methods Source: EY analysis of IEA mineral requirements for clean energy transitions and publicly available sources. This year, we even got a massive squeeze that propelled copper futures to new highs as the market started to panie about potential supply shortages down the road. As we can see ...

Share Michael McCrae is leading Kitco's coverage of the mining sector. McCrae, who has both an MBA and CMA, knows how to build digital media properties. He was co-founder and publisher of MINING.com, an awardwinning news site. Before coming to media, McCrae worked in IT and banking. Please reach out: mmccrae@kitco.com or (514) 670-1383. You can also follow him at @michaelmccrae. Michael McCrae Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals I ...

In the context of valuation, VALE S.A. is at present trading with a Forward P/E ratio of 5.19. This valuation marks no noticeable deviation compared to its industry's average Forward P/E of 5.19. The Mining - Iron industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 242, which puts it in the bottom 4% of all 250+ industries. VALE S.A. (VALE) closed the most recent trading day at $11.25, moving -0.35% from the previous trading session. This change lagged the S& ...

The investment community will be closely monitoring the performance of VALE S.A. in its forthcoming earnings report. The company is expected to report EPS of $0.52, up 160% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $10.29 billion, indicating a 6.36% growth compared to the corresponding quarter of the prior year. The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited ...

Vale (NYSE:VALE) leads mining operations, mostly for iron ore and copper. With a 15% rise in sales yearover-year (YoY) in Q1 2024, Vale produced the most iron ore for Q1 since 2019. This increase indicates improved operational dependability and efficiency, especially at the S11D complex, which amounts to an additional 8.2 million tons of iron ore sold. The expansion plans for Vale are expected to increase capacity by 50 million tons by 2026. Moreover, a critical milestone is the Vargem Grande project, which ...

Let's take a look at what these Wall Street heavyweights have to say about VALE S.A. (VALE) before we discuss the reliability of brokerage recommendations and how to use them to your advantage. Of the 13 recommendations that derive the current ABR, eight are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 61.5% and 7.7% of all recommendations. Check price target & stock forecast for VALE here>>> Do you wonder why? As a result of the vested interest of brokerage firms in a stock they c ...