EDP SA (EDP.LS) Stock Fundamental Analysis
Europe - ELI:EDP - PTEDP0AM0009 - Common Stock
3.779 EUR
+0.04 (+1.07%)
We assign a fundamental rating of 3 out of 10 to EDP. EDP was compared to 20 industry peers in the Electric Utilities industry. There are concerns on the financial health of EDP while its profitability can be described as average. EDP does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year EDP was profitable.
In the past year EDP had a positive cash flow from operations.
Each year in the past 5 years EDP has been profitable.
EDP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 1.39%, EDP is not doing good in the industry: 85.00% of the companies in the same industry are doing better.
The Return On Equity of EDP (6.95%) is worse than 80.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.21%, EDP is doing worse than 80.00% of the companies in the same industry.
EDP had an Average Return On Invested Capital over the past 3 years of 3.20%. This is below the industry average of 7.00%.
The 3 year average ROIC (3.20%) for EDP is below the current ROIC(3.21%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.39% | ||
| ROE | 6.95% | ||
| ROIC | 3.21% |
ROA(3y)1.42%
ROA(5y)1.48%
ROE(3y)7.61%
ROE(5y)7.64%
ROIC(3y)3.2%
ROIC(5y)2.94%
1.3 Margins
EDP has a worse Profit Margin (4.84%) than 75.00% of its industry peers.
In the last couple of years the Profit Margin of EDP has grown nicely.
EDP has a worse Operating Margin (12.97%) than 70.00% of its industry peers.
EDP's Operating Margin has been stable in the last couple of years.
The Gross Margin of EDP (43.15%) is worse than 65.00% of its industry peers.
In the last couple of years the Gross Margin of EDP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.97% | ||
| PM (TTM) | 4.84% | ||
| GM | 43.15% |
OM growth 3Y16.41%
OM growth 5Y0%
PM growth 3Y6.88%
PM growth 5Y8.43%
GM growth 3Y11.93%
GM growth 5Y4.76%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so EDP is destroying value.
Compared to 1 year ago, EDP has more shares outstanding
The number of shares outstanding for EDP has been increased compared to 5 years ago.
EDP has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.80, we must say that EDP is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of EDP (0.80) is worse than 70.00% of its industry peers.
A Debt/Equity ratio of 1.77 is on the high side and indicates that EDP has dependencies on debt financing.
EDP's Debt to Equity ratio of 1.77 is on the low side compared to the rest of the industry. EDP is outperformed by 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.8 |
ROIC/WACC0.62
WACC5.2%
2.3 Liquidity
A Current Ratio of 0.98 indicates that EDP may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.98, EDP is in line with its industry, outperforming 55.00% of the companies in the same industry.
EDP has a Quick Ratio of 0.98. This is a bad value and indicates that EDP is not financially healthy enough and could expect problems in meeting its short term obligations.
EDP's Quick ratio of 0.93 is in line compared to the rest of the industry. EDP outperforms 55.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
EDP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -44.10%.
The Earnings Per Share has been growing by 8.36% on average over the past years. This is quite good.
Looking at the last year, EDP shows a small growth in Revenue. The Revenue has grown by 2.26% in the last year.
EDP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.87% yearly.
EPS 1Y (TTM)-44.1%
EPS 3Y5.16%
EPS 5Y8.36%
EPS Q2Q%-30%
Revenue 1Y (TTM)2.26%
Revenue growth 3Y-0.04%
Revenue growth 5Y0.87%
Sales Q2Q%4.88%
3.2 Future
Based on estimates for the next years, EDP will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.80% on average per year.
Based on estimates for the next years, EDP will show a decrease in Revenue. The Revenue will decrease by -0.77% on average per year.
EPS Next Y49.63%
EPS Next 2Y22.53%
EPS Next 3Y15.08%
EPS Next 5Y11.8%
Revenue Next Year-1.11%
Revenue Next 2Y-0.42%
Revenue Next 3Y0.62%
Revenue Next 5Y-0.77%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 20.99, the valuation of EDP can be described as rather expensive.
Based on the Price/Earnings ratio, EDP is valued a bit more expensive than the industry average as 65.00% of the companies are valued more cheaply.
EDP's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.07.
With a Price/Forward Earnings ratio of 12.59, EDP is valued correctly.
Based on the Price/Forward Earnings ratio, EDP is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 34.08. EDP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.99 | ||
| Fwd PE | 12.59 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
EDP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as EDP's earnings are expected to grow with 15.08% in the coming years.
PEG (NY)0.42
PEG (5Y)2.51
EPS Next 2Y22.53%
EPS Next 3Y15.08%
5. Dividend
5.1 Amount
EDP has a Yearly Dividend Yield of 5.22%, which is a nice return.
EDP's Dividend Yield is a higher than the industry average which is at 4.16.
EDP's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.22% |
5.2 History
The dividend of EDP has a limited annual growth rate of 1.06%.
Dividend Growth(5Y)1.06%
Div Incr Years2
Div Non Decr Years4
5.3 Sustainability
EDP pays out 110.52% of its income as dividend. This is not a sustainable payout ratio.
EDP's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP110.52%
EPS Next 2Y22.53%
EPS Next 3Y15.08%
ELI:EDP (11/20/2025, 7:00:00 PM)
3.779
+0.04 (+1.07%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners37.7%
Inst Owner ChangeN/A
Ins Owners6.84%
Ins Owner ChangeN/A
Market Cap15.81B
Revenue(TTM)15.46B
Net Income(TTM)747.80M
Analysts75.38
Price Target4.59 (21.46%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.22% |
Yearly Dividend0.2
Dividend Growth(5Y)1.06%
DP110.52%
Div Incr Years2
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)14.87%
Min EPS beat(2)-11.71%
Max EPS beat(2)41.44%
EPS beat(4)1
Avg EPS beat(4)-119.57%
Min EPS beat(4)-496.04%
Max EPS beat(4)41.44%
EPS beat(8)4
Avg EPS beat(8)-58.43%
EPS beat(12)5
Avg EPS beat(12)-47.66%
EPS beat(16)7
Avg EPS beat(16)-35.42%
Revenue beat(2)2
Avg Revenue beat(2)5.69%
Min Revenue beat(2)1.39%
Max Revenue beat(2)9.98%
Revenue beat(4)2
Avg Revenue beat(4)-16.18%
Min Revenue beat(4)-70.83%
Max Revenue beat(4)9.98%
Revenue beat(8)2
Avg Revenue beat(8)-22.25%
Revenue beat(12)3
Avg Revenue beat(12)-17.4%
Revenue beat(16)6
Avg Revenue beat(16)-6.45%
PT rev (1m)5.11%
PT rev (3m)7.9%
EPS NQ rev (1m)-15.64%
EPS NQ rev (3m)1.34%
EPS NY rev (1m)-1.5%
EPS NY rev (3m)1.73%
Revenue NQ rev (1m)-2.04%
Revenue NQ rev (3m)-1.24%
Revenue NY rev (1m)-0.51%
Revenue NY rev (3m)3.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.99 | ||
| Fwd PE | 12.59 | ||
| P/S | 1.02 | ||
| P/FCF | N/A | ||
| P/OCF | 3.54 | ||
| P/B | 1.47 | ||
| P/tB | 5.41 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.18
EY4.76%
EPS(NY)0.3
Fwd EY7.95%
FCF(TTM)-0.2
FCFYN/A
OCF(TTM)1.07
OCFY28.23%
SpS3.69
BVpS2.57
TBVpS0.7
PEG (NY)0.42
PEG (5Y)2.51
Graham Number3.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.39% | ||
| ROE | 6.95% | ||
| ROCE | 4.7% | ||
| ROIC | 3.21% | ||
| ROICexc | 3.4% | ||
| ROICexgc | 4.22% | ||
| OM | 12.97% | ||
| PM (TTM) | 4.84% | ||
| GM | 43.15% | ||
| FCFM | N/A |
ROA(3y)1.42%
ROA(5y)1.48%
ROE(3y)7.61%
ROE(5y)7.64%
ROIC(3y)3.2%
ROIC(5y)2.94%
ROICexc(3y)3.53%
ROICexc(5y)3.23%
ROICexgc(3y)4.47%
ROICexgc(5y)4.1%
ROCE(3y)4.68%
ROCE(5y)4.31%
ROICexgc growth 3Y10.82%
ROICexgc growth 5Y-4.38%
ROICexc growth 3Y10.98%
ROICexc growth 5Y-4.28%
OM growth 3Y16.41%
OM growth 5Y0%
PM growth 3Y6.88%
PM growth 5Y8.43%
GM growth 3Y11.93%
GM growth 5Y4.76%
F-Score5
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 34.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 0.8 |
F-Score5
WACC5.2%
ROIC/WACC0.62
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)34.87%
Cap/Sales(5y)31.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.1%
EPS 3Y5.16%
EPS 5Y8.36%
EPS Q2Q%-30%
EPS Next Y49.63%
EPS Next 2Y22.53%
EPS Next 3Y15.08%
EPS Next 5Y11.8%
Revenue 1Y (TTM)2.26%
Revenue growth 3Y-0.04%
Revenue growth 5Y0.87%
Sales Q2Q%4.88%
Revenue Next Year-1.11%
Revenue Next 2Y-0.42%
Revenue Next 3Y0.62%
Revenue Next 5Y-0.77%
EBIT growth 1Y-8.18%
EBIT growth 3Y16.36%
EBIT growth 5Y0.87%
EBIT Next Year72.29%
EBIT Next 3Y20.73%
EBIT Next 5Y13.69%
FCF growth 1Y80%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y196.9%
OCF growth 3Y27.86%
OCF growth 5Y13.54%
EDP SA / EDP.LS FAQ
Can you provide the ChartMill fundamental rating for EDP SA?
ChartMill assigns a fundamental rating of 3 / 10 to EDP.LS.
Can you provide the valuation status for EDP SA?
ChartMill assigns a valuation rating of 3 / 10 to EDP SA (EDP.LS). This can be considered as Overvalued.
Can you provide the profitability details for EDP SA?
EDP SA (EDP.LS) has a profitability rating of 4 / 10.
What is the valuation of EDP SA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EDP SA (EDP.LS) is 20.99 and the Price/Book (PB) ratio is 1.47.
Is the dividend of EDP SA sustainable?
The dividend rating of EDP SA (EDP.LS) is 6 / 10 and the dividend payout ratio is 110.52%.