May 25, 2023
Top 10 Stock Aurubis Strong Buy Recommendation



How to read the ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:

Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

Snapshot: Aurubis – Top 10 Stock in Copper Mining and Production


aurubis.com


Aurubis is listed as a top 10 stock on May 25, 2023 in the market index Copper because of its high performance in at least one of the Obermatt investment strategies. As three out of four consolidated Obermatt Ranks exhibit excellent performance, it is a solid investment from a financial fact perspective where only investor sentiment is a reason for caution. Based on the Obermatt 360° View of 86 (top 86% performer), Obermatt assesses an overall strong buy recommendation for Aurubis on May 25, 2023.


Snapshot: Obermatt Ranks


Country Germany
Industry Copper
Index CDAX, Low Emissions, Copper, Energy Efficient, Iron, Low Waste, Recycling, Sound Pay Europe, Silver, MDAX
Size class XX-Large
Latest Research


Top 10 Stocks ≠ most popular stocks

When Obermatt identifies the Top 10 stocks in a market, it’s based on a certain investment strategy. The best performing stocks usually aren’t the ones that everyone is talking about (those are often "over-priced" and have low Value ranks).

For each investment strategy, we provide you with more detailed analysis and our recommendation. You see the ranks of the top 10 stocks ranked by that particular investment strategy (360° View, Sentiment, Value, Growth, Safety and Combined Financial Performance).


360° View: Obermatt 360° Assessment Aurubis Strong Buy

360 METRICS May 25, 2023
VALUE
VALUE
GROWTH
GROWTH
SAFETY
SAFETY
SENTIMENT
SENTIMENT
360° VIEW
360° VIEW

ANALYSIS: With an Obermatt 360° View of 86 (better than 86% compared with alternatives) for 2023, overall professional sentiment and engagement for the stock Aurubis are very positive. The 360° View is based on consolidating four consolidated indicators, with three out of four indicators above average for Aurubis. The consolidated Value Rank has an attractive rank of 73, which means that the share price of Aurubis is on the lower side compared with typical size in indicators such as revenues, profits, and invested capital. This means the stock price is lower than for 73% of alternative stocks in the same industry. The consolidated Growth Rank has a good rank of 59, which means that the company experiences above-average growth momentum when looking at financial metrics such as revenue, profit, and invested capital growth, as well as stock returns. The company is also safely financed with a Safety Rank of 98. But the professional market sentiment is below average compared with other stock investment alternatives with a Sentiment Rank of only 45. Professional investors are more confident in 55% other stocks. ...read more

RECOMMENDATION: With a 360° View of 86, Aurubis is better than 86% of all alternative stock investment opportunities based on the Obermatt Method. As three out of four consolidated Obermatt Ranks exhibit excellent performance, such as good value (Value Rank of 73), above-average growth (Growth Rank of 59) and an indication that the company is safely financed (Safety Rank of 98), it is a solid stock investment where the risk of paying too much for the shares is limited, and disappointments are less likely, unless information not publicly available. Only the professional market sentiment is on the riskier side (Sentiment Rank of 45), but that could also mean an overreaction to negative news in the past. Good value is sometimes an indication that the company's future is challenging. If they have been enjoying above average growth and are still a good value, this may not continue. We recommend evaluating whether the future of Aurubis is as challenging as the low price of the stock despite good growth and safe financing practices suggest. Since the professional community is pessimistic, you may want to reflect these negative opinions in light of what you find reasonable to expect for the future. If you believe this pessimistic view is transitory, you have a solid investment case based on current financial factors. ...read more




Sentiment Strategy: Professional Market Sentiment for Aurubis only reserved

SENTIMENT METRICS May 25, 2023
ANALYST OPINION
ANALYST OPINION
OPINIONS CHANGE
OPINIONS CHANGE
PRO HOLDINGS
PRO HOLDINGS
MARKET PULSE
MARKET PULSE
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT

ANALYSIS: With an Obermatt Sentiment Rank of 45 (better than 45% compared with alternatives), overall professional sentiment and engagement for the stock Aurubis is below industry average. The Sentiment Rank is based on consolidating four sentiment indicators, with all but one indicator above average for Aurubis. Analyst Opinions are at a rank of 30 (worse than 70% of alternative investments), which means that currently, stock research analysts tend to warn against investing in the stock of the company. But they are changing their opinions! Analyst Opinions Change has a rank of 55, which indicates a shift in stock research experts opinions for the better. In other words, they are getting more optimistic about stock investments in Aurubis. Even better, the Professional Investors rank is 58, meaning that professional investors hold more stock in this company than in 58% of alternative investment opportunities. Pros tend to favor investing in this company. Furthermore, Market Pulse has a rank of 64, which means that the current professional news and professional social networks are upbeat when discussing this company (more positive news than for 64% of competitors). ...read more

RECOMMENDATION: With an Obermatt Sentiment Rank of 45 (less encouraging than 55% compared with investment alternatives), Aurubis has a reputation among professional investors that is below that of its competitors. While analysts are still critical of the company, some are changing their minds. In addition, the professional news channels are optimistic, and many institutional investors have already bought stock in the company. These are encouraging signals, despite the still lower level of analyst recommendations. They may be due to a problematic past, and about to change. The positive sentiment signals are stronger than the negative. ...read more



Value Strategy: Aurubis Stock Price Value better than average

VALUE METRICS May 25, 2023
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)
DIVIDEND YIELD
DIVIDEND YIELD
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE

ANALYSIS: With an Obermatt Value Rank of 73 (better than 73% compared with alternatives), Aurubis shares are more attractively priced than the majority of comparable stocks. The Value Rank is based on consolidating four value indicators, with three out of four indicators above average for Aurubis. Price-to-Sales (P/S) is 95, which means that the stock price compared with what market professionals expect for future sales is lower than for 95% of comparable companies, indicating a good value regarding Aurubis's revenue size. The same is valid for expected Price to Profits (or Price / Earnings, P/E), more favorable than for 64% of alternatives, and it's also true for the Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 79. But, compared with other companies in the same industry, dividend yields are expected to be lower than average; only 25% of all competitors have even lower dividend yields than Aurubis (an Dividend Yield Rank of 25). 75% alternative investments in the same business provide a higher dividend yield. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 73, is a BUY recommendation based on Aurubis's stock price compared with the company's operational size and dividend yields. The below-average dividend yield may be a good sign, as it could mean the company has more attractive investment opportunities for the generated cash than to pay it out as dividends. A low dividend yield can also indicate a growth phase. ...read more



Growth Strategy: Aurubis Growth Momentum good

GROWTH METRICS May 25, 2023
REVENUE GROWTH
REVENUE GROWTH
PROFIT GROWTH
PROFIT GROWTH
CAPITAL GROWTH
CAPITAL GROWTH
STOCK RETURNS
STOCK RETURNS
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH

ANALYSIS: With an Obermatt Growth Rank of 59 (better than 59% compared with alternatives), Aurubis shows an above-average growth dynamic in its industry. Investors also speak of positive momentum. The Growth Rank is based on consolidating four value indicators, where half of the indicators are below and half above average for Aurubis. Profit Growth, with a rank of 60 (better than 60% of its competitors), and Capital Growth, with a rank of 79, are both positive, which is a healthy sign for positive development. But Sales Growth has only a rank of 41, which means that, currently, professionals expect the company to grow less than 59% of its competitors, and Stock Returns are at a rank of 39. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 59, is a BUY recommendation for growth and momentum investors. Stock returns that are a thing of the past can be less of a problem. Below-average revenue growth may be caused by divestments of underperforming businesses. If that is the case, then the positive developments of profit and capital growth are signs of a company with growth potential. If these are the reasons, overall growth is well on track to making this stock attractive for growth investors. ...read more



Safety Strategy: Aurubis Debt Financing Safety very solid

SAFETY METRICS May 25, 2023
LEVERAGE
LEVERAGE
REFINANCING
REFINANCING
LIQUIDITY
LIQUIDITY
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY

ANALYSIS: With an Obermatt Safety Rank of 98 (better than 98% compared with alternatives) for 2023, the company Aurubis has safe financing practices, which means that their overall debt burden is low. This doesn't mean that the business of Aurubis is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, where all three are above average for Aurubis. Leverage is at 88, meaning the company has a below-average debt-to-equity ratio. It has less debt than 88% of its competitors. Refinancing is at a rank of 91, meaning that the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 91% of its competitors. Finally, Liquidity is also good at a rank of 82, which means that the company generates more profit to service its debt than 82% of its competitors. ...read more

RECOMMENDATION: With an Obermatt Safety Rank of 98 (better than 98% compared with alternatives), Aurubis has a financing structure that is significantly safer than that of its competitors. These three positive financing indicators signal that the company is less likely to default on its debt obligations. However, it also means that its shareholder returns will be more modest if things go well. A low safety means fewer troubles in downtimes and less upside in good times. ...read more



Combined financial peformance: Aurubis Top Financial Performance

COMBINED PERFORMANCE May 25, 2023
VALUE
VALUE
GROWTH
GROWTH
SAFETY
SAFETY
COMBINED
COMBINED

ANALYSIS: With an Obermatt Combined Rank of 96 (better than 96% compared with investment alternatives), Aurubis (Copper, Germany) shares have much better financial characteristics than comparable stocks. Shares of Aurubis are a good value (attractively priced) with a consolidated Obermatt Value Rank of 73 (better than 73% of alternatives), show above-average growth (Growth Rank of 59), and are safely financed (Safety Rank of 98), which means low debt burdens. ...read more

RECOMMENDATION: An Obermatt Combined Rank of 96, is a strong buy recommendation based on Aurubis's financial characteristics. As the company Aurubis's key financial metrics all exhibit excellent performance, such as good value (Obermatt Value Rank of 73), above-average growth (Obermatt Growth Rank of 59), and indicate that the company is safely financed (Obermatt Safety Rank of 98), it is a solid stock investment where the risk of paying too much for the share is limited, unless the company has a bleak future. Such good financial performance can indicate that the company's future might actually be challenging, as it may be difficult to maintain the good performance. If they are safely financed and have been growing above average, and are still a good value, it means that the market is keeping prices low, for a reason which may become clearer over time. We recommend evaluating the future of Aurubis. If you believe the company's future is market-typical or even better, this could be an argument for a share purchase. ...read more

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