Analyst Ratings for Embraer S/A ADR (ERJ)

Updated: 2017-07-26

Embraer S/A ADR (NYSE:ERJ) was awarded an average rating of Overweight from investment analysts following the stock. ERJ had previously received a consensus rating of Overweight a month ago.

Of the 17 analysts covering the stock, 10 gave it a buy rating, 1 issued an overweight rating, 3 issued a hold rating, 0 issued an underweight rating, and 3 issued a sell rating. Over the past 90 days, the number of analysts that are bullish on the stock has decreased by 1. Over the same time period, there has been an increase of 2 in the number of analysts with a negative outlook on the stock.

Several price targets were given for ERJ by the analysts covering the stock. The maximum price target given was 29, implying potential capital gains of 46.69 percent. The minimum price target given was 18, implying potential capital losses of -8.95 percent. Some investors take price targets and stock ratings with a grain of salt, knowing that some analysts can have indirect business with the stocks they cover.

Over the past month, analysts have revised their estimates for this quarter's earnings, with a net average change of 27.22 percent. This can be compared with the average change in earnings estimates over the past 3 months, which is 37.82 percent. Meanwhile, fiscal year estimates have been revised upwards by 2.44 percent, compared to last month. Expanding the time horizon to 3 months, the average change in fiscal year estimates becomes 4.42 percent.

Another thing investors often look at is the level of agreement among analysts' revisions. 3 analysts have revised their quarterly estimates upwards in the past 30 days, which can be compared to the 0 analysts that decreased their estimates. During this time, 2 analysts made positive revisions in their estimates for this fiscal year's earnings, compared to 0 analysts that revised their FY estimates downwards.

The growth rate of ERJ's earnings is estimated by analysts to be 223.29 percent. It's possible to gain additional insight about growth valuation of a company by looking at the PEG ratio. A lower PEG ratio is favorable, as that can indicate whether the high price level of a stock is warranted by high growth. PEG ratios below 1 are often considered desirable, though it could be better to see where the ratio stands relative to peers in the industry. The PEG ratio of ERJ is 0.15.

ERJ has traded between a high of 24.95 and a low of 17.06 over the past year. Currently the stock is 15.89 percent higher than its low, and 20.76 percent lower than its 52-week high. ERJ has a price/earnings ratio of 34.01. Investors typically compare the P/E ratio to a company's peers in the industry. The ERJ value stock report compares ERJ to some of its peers using value stock charts. The stock has a market capitalization of $3.66 billion. ERJ's next earnings release will be on 0000-00-00, which is days away.