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Energy Resources of Australia Class A (ERA) AI Stock Analysis

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AU:ERA

Energy Resources of Australia Class A

(ASX:ERA)

Select Model
Rating:39Underperform
Price Target:AUD 0.01â–¼(-10.00% Downside)
Action:downgraded
Date:08/06/26

Poor financial performance with negative equity and losses dominates the score, amplified by unattractive valuation; limited technical data offers minor stability via negative beta, but overall financial risks prevail.

Positive Factors
Low headline debtLow absolute debt reduces interest burden and credit risk, giving ERA structural financial flexibility while it executes lengthy remediation projects. Over 2–6 months this lowers near-term default risk and preserves capacity to source project financing or staged funding for closure works.
Negative Factors
Deeply negative shareholders' equityDeeply negative equity reflects cumulative losses and materially weakens the balance sheet cushion, limiting the company's ability to absorb shocks or self-fund long-duration remediation liabilities. This structural impairment increases reliance on external capital or sponsor support.

Energy Resources of Australia Class A (ERA) vs. iShares MSCI Australia ETF (EWA)

-10%-5%0%5%10%15%20%AU:ERA0.00%EWA+13.35%Aug '26Sep '26Oct '26Nov '26
Market Cap
AUD 932.41M
Dividend Yield
―
Average Volume (3M)
17.71M
Price to Earnings (P/E)
-20.0
Beta (1Y)
-0.29
Revenue Growth
66.05%
EPS Growth
-100.00%
Country
Australia
Employees
190
Sector
Energy
Sector Strength
65
Industry
Other Precious Metals

Energy Resources of Australia Class A Business Overview & Revenue Model

Company Description

Energy Resources of Australia Ltd. engages in the sale of uranium oxide and site rehabilitation. The company was founded on February 8, 1980, and is headquartered in Darwin, Australia.

How the Company Makes Money

ERA’s historical revenue model was based on producing and selling uranium oxide concentrate from the Ranger Uranium Mine under uranium sales contracts. Since mining and processing have ceased, publicly available information does not show an ongoing o...

Energy Resources of Australia Class A Financial Statement Overview

Summary

Severe financial distress marked by negative equity, consistent net losses, volatile margins, and negative cash flows across income statement, balance sheet, and cash flow analyses.

Income Statement

25Negative

Balance Sheet

10Very Negative

Cash Flow

15Very Negative
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue58.87M204.00K36.35M34.18M35.55M190.35M
Gross Profit-73.91M-104.77M35.88M33.08M12.80M-640.07M
EBITDA49.58M-9.08M44.01M18.74M8.38M40.64M
Net Income-50.32M-50.32M-245.97M-1.39B-160.55M-650.21M
Balance Sheet
Total Assets1.17B1.17B1.35B828.80M679.77M855.93M
Cash, Cash Equivalents and Short-Term Investments598.37M598.37M791.33M216.95M87.12M163.87M
Total Debt78.00K78.00K385.00K680.00K13.22M93.00K
Total Liabilities2.34B2.34B2.46B2.46B1.28B1.30B
Stockholders Equity-1.17B-1.17B-1.11B-1.63B-603.66M-442.42M
Cash Flow
Free Cash Flow-192.22M-192.22M-184.02M-223.32M-147.19M-37.98M
Operating Cash Flow-192.22M-192.22M-183.95M-223.25M-146.96M-37.93M
Investing Cash Flow-79.87M-79.87M-459.69M1.27M59.28M-43.00K
Financing Cash Flow-863.00K-863.00K758.00M351.81M10.94M-2.51M

Energy Resources of Australia Class A Peers Comparison

Overall Rating

UnderperformOutperform
Sector (65)

Financial Indicators

AU:ERA against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
Sector *65Neutral$15.17B7.614.09%5.20%3.87%-62.32%
AU:PDNAU:PDN63NeutralAUD 3.41B424.760.46%―――
AU:BMNAU:BMN50NeutralAUD 848.49M-84.26-3.00%――-61.38%
AU:BKYAU:BKY49NeutralAUD 354.80M-41.79-11.85%――-59.84%
AU:NXGAU:NXG47NeutralAUD 7.59B-25.98-16.11%――-21.57%
AU:DYLAU:DYL40UnderperformAUD 716.21M50.002.05%――85.14%
AU:ERAAU:ERA39UnderperformAUD 810.79M-20.004.35%―66.05%-100.00%

* Energy Sector Average

Performance Comparison

-50%0%50%AU:ERAAU:PDNAU:BKYAU:BMNAU:DYLAU:NXGAug '26Sep '26Oct '26Nov '26
AU:ERA and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
AU:ERAEnergy Resources of Australia Ltd. Class A0.010.000.00%
AU:PDNPaladin Energy Ltd7.40-0.68-8.42%
AU:BKYBerkeley Energia Limited0.840.2952.25%
AU:BMNBannerman Energy Ltd3.390.3611.88%
AU:DYLDeep Yellow Limited0.69-0.85-54.87%
AU:NXGNexGen Energy Ltd. Shs Chess Depository Interests repr 1 shs11.21-2.29-16.96%

Energy Resources of Australia Class A Corporate Events

ERA Flags Extended Ranger Rehabilitation Schedule as Rio Tinto Pushes Takeover

Jul 30, 2026

Energy Resources of Australia reported that reforecasting of the Pit 3 capping works at the Ranger site is underway and is expected to materially extend the rehabilitation schedule, with possible cost increases and flow-on impacts to the broader clos...

Energy Resources of Australia Updates Director’s Equity Interests in Rio Tinto

Jul 23, 2026

Energy Resources of Australia Ltd has disclosed a change in director Justin Carey’s relevant interests in Rio Tinto Limited securities, reflecting adjustments under the Rio Tinto Global Employee Share Plan and Equity Incentive Program. Carey&#8...

ERA Securities Stay Suspended on ASX Amid Appeal Over Rio Tinto Takeover

Jul 14, 2026

Energy Resources of Australia Ltd, formerly one of the nation’s largest uranium producers, has shifted its core operations from active mining to the rehabilitation of the closed Ranger Mine in the Northern Territory. The company’s work is...

Appeal Delays Rio Tinto’s Compulsory Acquisition of Energy Resources of Australia

Jul 8, 2026

Energy Resources of Australia has confirmed that Zentree Investments has lodged an appeal against the Federal Court’s approval of Rio Tinto’s compulsory acquisition of ERA’s remaining ordinary shares. The appeal extends the timetabl...

Deep Yellow boosts Alligator Rivers footprint with Cooper Creek JV stake

Jun 29, 2026

Deep Yellow Limited has expanded its uranium exploration footprint by acquiring Energy Resources of Australia’s 50% stake in the Cooper Creek joint venture in the Northern Territory. The Cooper Creek JV covers two exploration licence applicatio...

Court clears Rio Tinto’s compulsory acquisition of Energy Resources of Australia

Jun 5, 2026

Energy Resources of Australia says the Federal Court has approved Rio Tinto’s move to compulsorily acquire all remaining ERA shares it does not already own for $0.002 per share, following objections from minority shareholders. With this decisio...

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 04, 2026