RWE AG (1RWE.MI) Stock Fundamental Analysis
BIT:1RWE - Euronext Milan - DE0007037129 - Common Stock - Currency: EUR
Overall 1RWE gets a fundamental rating of 5 out of 10. We evaluated 1RWE against 21 industry peers in the Independent Power and Renewable Electricity Producers industry. 1RWE has an excellent profitability rating, but there are concerns on its financial health. 1RWE has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
1RWE had positive earnings in the past year.
In the past year 1RWE had a positive cash flow from operations.
In the past 5 years 1RWE has always been profitable.
Each year in the past 5 years 1RWE had a positive operating cash flow.
1.2 Ratios
The Return On Assets of 1RWE (5.22%) is better than 90.48% of its industry peers.
1RWE has a better Return On Equity (16.28%) than 90.48% of its industry peers.
With an excellent Return On Invested Capital value of 5.26%, 1RWE belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.22% | ||
| ROE | 16.28% | ||
| ROIC | 5.26% |
ROA(3y)2.87%
ROA(5y)2.16%
ROE(3y)10.29%
ROE(5y)8.36%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
1RWE has a Profit Margin of 21.20%. This is in the better half of the industry: 1RWE outperforms 66.67% of its industry peers.
In the last couple of years the Profit Margin of 1RWE has declined.
1RWE has a Operating Margin (24.64%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of 1RWE has grown nicely.
1RWE has a Gross Margin (36.39%) which is in line with its industry peers.
In the last couple of years the Gross Margin of 1RWE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.64% | ||
| PM (TTM) | 21.2% | ||
| GM | 36.39% |
OM growth 3Y23.15%
OM growth 5Y40.35%
PM growth 3Y93.31%
PM growth 5Y-20.01%
GM growth 3Y10.69%
GM growth 5Y3.76%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1RWE is destroying value.
1RWE has less shares outstanding than it did 1 year ago.
1RWE has more shares outstanding than it did 5 years ago.
1RWE has a worse debt/assets ratio than last year.
2.2 Solvency
A Debt/Equity ratio of 0.47 indicates that 1RWE is not too dependend on debt financing.
The Debt to Equity ratio of 1RWE (0.47) is better than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.9
WACC5.82%
2.3 Liquidity
1RWE has a Current Ratio of 1.27. This is a normal value and indicates that 1RWE is financially healthy and should not expect problems in meeting its short term obligations.
1RWE has a Current ratio of 1.27. This is comparable to the rest of the industry: 1RWE outperforms 52.38% of its industry peers.
1RWE has a Quick Ratio of 1.18. This is a normal value and indicates that 1RWE is financially healthy and should not expect problems in meeting its short term obligations.
1RWE has a Quick ratio (1.18) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
1RWE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -48.77%.
The earnings per share for 1RWE have been decreasing by -12.96% on average. This is quite bad
1RWE shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -15.20%.
1RWE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.04% yearly.
EPS 1Y (TTM)-48.77%
EPS 3Y10.38%
EPS 5Y-12.96%
EPS Q2Q%-40.91%
Revenue 1Y (TTM)-15.2%
Revenue growth 3Y-0.47%
Revenue growth 5Y13.04%
Sales Q2Q%9.48%
3.2 Future
1RWE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.03% yearly.
1RWE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.22% yearly.
EPS Next Y-29.04%
EPS Next 2Y-11.73%
EPS Next 3Y-1.1%
EPS Next 5Y3.03%
Revenue Next Year-3.45%
Revenue Next 2Y0.5%
Revenue Next 3Y6.28%
Revenue Next 5Y0.22%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.94, the valuation of 1RWE can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of 1RWE indicates a somewhat cheap valuation: 1RWE is cheaper than 66.67% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 28.92. 1RWE is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 15.41, which indicates a correct valuation of 1RWE.
Based on the Price/Forward Earnings ratio, 1RWE is valued a bit cheaper than 61.90% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of 1RWE to the average of the S&P500 Index (21.65), we can say 1RWE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.94 | ||
| Fwd PE | 15.41 |
4.2 Price Multiples
90.48% of the companies in the same industry are more expensive than 1RWE, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 2.76 |
4.3 Compensation for Growth
1RWE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-11.73%
EPS Next 3Y-1.1%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.23%, 1RWE has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.10, 1RWE has a dividend in line with its industry peers.
1RWE's Dividend Yield is a higher than the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.23% |
5.2 History
The dividend of 1RWE is nicely growing with an annual growth rate of 8.29%!
Dividend Growth(5Y)8.29%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1RWE pays out 19.59% of its income as dividend. This is a sustainable payout ratio.
The dividend of 1RWE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP19.59%
EPS Next 2Y-11.73%
EPS Next 3Y-1.1%
BIT:1RWE (4/22/2025, 7:00:00 PM)
34.12
-0.07 (-0.2%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)
Earnings (Next)
Inst Owners41.89%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap25.38B
Analysts84
Price Target41.65 (22.07%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.23% |
Yearly Dividend1.36
Dividend Growth(5Y)8.29%
DP19.59%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)25.04%
Min EPS beat(2)21.37%
Max EPS beat(2)28.71%
EPS beat(4)4
Avg EPS beat(4)21.16%
Min EPS beat(4)10.81%
Max EPS beat(4)28.71%
EPS beat(8)8
Avg EPS beat(8)42.07%
EPS beat(12)12
Avg EPS beat(12)38.03%
EPS beat(16)15
Avg EPS beat(16)67.85%
Revenue beat(2)0
Avg Revenue beat(2)-49.71%
Min Revenue beat(2)-52.05%
Max Revenue beat(2)-47.36%
Revenue beat(4)1
Avg Revenue beat(4)-29.72%
Min Revenue beat(4)-52.05%
Max Revenue beat(4)12.17%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.74%
PT rev (3m)-3.06%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)5.42%
EPS NY rev (3m)7.12%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.94 | ||
| Fwd PE | 15.41 | ||
| P/S | 1.05 | ||
| P/FCF | N/A | ||
| P/OCF | 3.83 | ||
| P/B | 0.8 | ||
| P/tB | 1.19 | ||
| EV/EBITDA | 2.76 |
EPS(TTM)3.12
EY9.14%
EPS(NY)2.21
Fwd EY6.49%
FCF(TTM)-3.71
FCFYN/A
OCF(TTM)8.9
OCFY26.08%
SpS32.57
BVpS42.41
TBVpS28.63
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.22% | ||
| ROE | 16.28% | ||
| ROCE | 8.42% | ||
| ROIC | 5.26% | ||
| ROICexc | 6.33% | ||
| ROICexgc | 7.66% | ||
| OM | 24.64% | ||
| PM (TTM) | 21.2% | ||
| GM | 36.39% | ||
| FCFM | N/A |
ROA(3y)2.87%
ROA(5y)2.16%
ROE(3y)10.29%
ROE(5y)8.36%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y2.24%
ROICexcg growth 5Y46.91%
ROICexc growth 3Y2.15%
ROICexc growth 5Y45.27%
OM growth 3Y23.15%
OM growth 5Y40.35%
PM growth 3Y93.31%
PM growth 5Y-20.01%
GM growth 3Y10.69%
GM growth 5Y3.76%
F-Score6
Asset Turnover0.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.61 | ||
| Cap/Depr | 293.49% | ||
| Cap/Sales | 38.71% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.25% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | N/A |
F-Score6
WACC5.82%
ROIC/WACC0.9
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)21.79%
Cap/Sales(5y)20.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-48.77%
EPS 3Y10.38%
EPS 5Y-12.96%
EPS Q2Q%-40.91%
EPS Next Y-29.04%
EPS Next 2Y-11.73%
EPS Next 3Y-1.1%
EPS Next 5Y3.03%
Revenue 1Y (TTM)-15.2%
Revenue growth 3Y-0.47%
Revenue growth 5Y13.04%
Sales Q2Q%9.48%
Revenue Next Year-3.45%
Revenue Next 2Y0.5%
Revenue Next 3Y6.28%
Revenue Next 5Y0.22%
EBIT growth 1Y52.36%
EBIT growth 3Y22.56%
EBIT growth 5Y58.65%
EBIT Next Year38.31%
EBIT Next 3Y21.96%
EBIT Next 5Y16.3%
FCF growth 1Y-198.7%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y56.76%
OCF growth 3Y-3.09%
OCF growth 5YN/A