Logo image of EDP.LS

EDP SA (EDP.LS) Stock Fundamental Analysis

ELI:EDP - Euronext Lisbon - PTEDP0AM0009 - Common Stock - Currency: EUR

3.113  +0.14 (+4.74%)

Fundamental Rating

3

EDP gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 15 industry peers in the Electric Utilities industry. EDP has a medium profitability rating, but doesn't score so well on its financial health evaluation. EDP has a valuation in line with the averages, but on the other hand it scores bad on growth. EDP also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

Quickly go to:

5

1. Profitability

1.1 Basic Checks

In the past year EDP was profitable.
EDP had a positive operating cash flow in the past year.
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.
EDP.LS Yearly Net Income VS EBIT VS OCF VS FCFEDP.LS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 2B -2B 4B -4B

1.2 Ratios

The Return On Assets of EDP (1.98%) is worse than 68.75% of its industry peers.
EDP has a worse Return On Equity (9.45%) than 62.50% of its industry peers.
EDP has a worse Return On Invested Capital (3.97%) than 68.75% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EDP is significantly below the industry average of 8.70%.
The last Return On Invested Capital (3.97%) for EDP is above the 3 year average (3.19%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 1.98%
ROE 9.45%
ROIC 3.97%
ROA(3y)1.37%
ROA(5y)1.44%
ROE(3y)7.64%
ROE(5y)7.41%
ROIC(3y)3.19%
ROIC(5y)3.39%
EDP.LS Yearly ROA, ROE, ROICEDP.LS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2 4 6 8 10

1.3 Margins

EDP has a Profit Margin (7.38%) which is in line with its industry peers.
In the last couple of years the Profit Margin of EDP has grown nicely.
EDP's Operating Margin of 16.25% is in line compared to the rest of the industry. EDP outperforms 43.75% of its industry peers.
In the last couple of years the Operating Margin of EDP has grown nicely.
With a decent Gross Margin value of 48.06%, EDP is doing good in the industry, outperforming 62.50% of the companies in the same industry.
EDP's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 16.25%
PM (TTM) 7.38%
GM 48.06%
OM growth 3Y5.93%
OM growth 5Y9.63%
PM growth 3Y-2.96%
PM growth 5Y11.58%
GM growth 3Y1.83%
GM growth 5Y5.29%
EDP.LS Yearly Profit, Operating, Gross MarginsEDP.LS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 10 20 30 40

More info and screens

1

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EDP is destroying value.
Compared to 1 year ago, EDP has more shares outstanding
Compared to 5 years ago, EDP has more shares outstanding
EDP has a worse debt/assets ratio than last year.
EDP.LS Yearly Shares OutstandingEDP.LS Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 1B 2B 3B 4B
EDP.LS Yearly Total Debt VS Total AssetsEDP.LS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 10B 20B 30B 40B 50B

2.2 Solvency

Based on the Altman-Z score of 0.77, we must say that EDP is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of EDP (0.77) is worse than 75.00% of its industry peers.
EDP has a Debt/Equity ratio of 1.75. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.75, EDP is doing worse than 62.50% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 1.75
Debt/FCF N/A
Altman-Z 0.77
ROIC/WACC0.77
WACC5.16%
EDP.LS Yearly LT Debt VS Equity VS FCFEDP.LS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 5B 10B 15B

2.3 Liquidity

EDP has a Current 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.
Looking at the Current ratio, with a value of 0.98, EDP is in line with its industry, outperforming 56.25% of the companies in the same industry.
A Quick Ratio of 0.91 indicates that EDP may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.91, EDP is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.98
Quick Ratio 0.91
EDP.LS Yearly Current Assets VS Current LiabilitesEDP.LS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 5B 10B 15B

More info and screens

2

3. Growth

3.1 Past

The earnings per share for EDP have decreased by -3.89% in the last year.
EDP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 28.74% yearly.
Looking at the last year, EDP shows a very negative growth in Revenue. The Revenue has decreased by -13.47% in the last year.
Measured over the past years, EDP shows a small growth in Revenue. The Revenue has been growing by 1.18% on average per year.
EPS 1Y (TTM)-3.89%
EPS 3Y3.37%
EPS 5Y28.74%
EPS Q2Q%-38.46%
Revenue 1Y (TTM)-13.47%
Revenue growth 3Y9.18%
Revenue growth 5Y1.18%
Sales Q2Q%-8.82%

3.2 Future

Based on estimates for the next years, EDP will show a small growth in Earnings Per Share. The EPS will grow by 4.40% on average per year.
The Revenue is expected to decrease by -5.42% on average over the next years.
EPS Next Y30.14%
EPS Next 2Y9.98%
EPS Next 3Y7.15%
EPS Next 5Y4.4%
Revenue Next Year-25.09%
Revenue Next 2Y-11.09%
Revenue Next 3Y-7.75%
Revenue Next 5Y-5.42%

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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
EDP.LS Yearly Revenue VS EstimatesEDP.LS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B 20B
EDP.LS Yearly EPS VS EstimatesEDP.LS Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0.1 0.2 0.3

More info and screens

5

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 11.53, which indicates a very decent valuation of EDP.
Based on the Price/Earnings ratio, EDP is valued a bit cheaper than the industry average as 68.75% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 29.35. EDP is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 10.64, the valuation of EDP can be described as reasonable.
EDP's Price/Forward Earnings ratio is rather cheap when compared to the industry. EDP is cheaper than 81.25% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of EDP to the average of the S&P500 Index (22.10), we can say EDP is valued rather cheaply.
Industry RankSector Rank
PE 11.53
Fwd PE 10.64
EDP.LS Price Earnings VS Forward Price EarningsEDP.LS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
EDP.LS Per share dataEDP.LS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 1 2 3

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.38
PEG (5Y)0.4
EPS Next 2Y9.98%
EPS Next 3Y7.15%

More info and screens

7

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 6.56%, EDP is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.71, EDP pays a better dividend. On top of this EDP pays more dividend than 87.50% of the companies listed in the same industry.
EDP's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
Industry RankSector Rank
Dividend Yield 6.56%

5.2 History

The dividend of EDP has a limited annual growth rate of 1.10%.
Dividend Growth(5Y)1.1%
Div Incr Years1
Div Non Decr Years3
EDP.LS Yearly Dividends per shareEDP.LS Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 0.05 0.1 0.15

5.3 Sustainability

74.52% of the earnings are spent on dividend by EDP. This is not a sustainable payout ratio.
The dividend of EDP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP74.52%
EPS Next 2Y9.98%
EPS Next 3Y7.15%
EDP.LS Yearly Income VS Free CF VS DividendEDP.LS Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 -2B -4B
EDP.LS Dividend Payout.EDP.LS Dividend Payout, showing the Payout Ratio.EDP.LS Dividend Payout.PayoutRetained Earnings

More info and screens

EDP SA

ELI:EDP (3/7/2025, 7:00:00 PM)

3.113

+0.14 (+4.74%)

Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)02-27 2025-02-27/amc
Earnings (Next)05-09 2025-05-09
Inst Owners38.22%
Inst Owner ChangeN/A
Ins Owners6.83%
Ins Owner ChangeN/A
Market Cap13.02B
Analysts75.2
Price Target4.15 (33.31%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 6.56%
Yearly Dividend0.2
Dividend Growth(5Y)1.1%
DP74.52%
Div Incr Years1
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.07%
Min EPS beat(2)-11.99%
Max EPS beat(2)26.13%
EPS beat(4)2
Avg EPS beat(4)-15.75%
Min EPS beat(4)-95.17%
Max EPS beat(4)26.13%
EPS beat(8)3
Avg EPS beat(8)-13.26%
EPS beat(12)5
Avg EPS beat(12)-11.4%
EPS beat(16)8
Avg EPS beat(16)-2.69%
Revenue beat(2)0
Avg Revenue beat(2)-8.34%
Min Revenue beat(2)-11.43%
Max Revenue beat(2)-5.26%
Revenue beat(4)0
Avg Revenue beat(4)-25.56%
Min Revenue beat(4)-75.46%
Max Revenue beat(4)-5.26%
Revenue beat(8)0
Avg Revenue beat(8)-21.4%
Revenue beat(12)3
Avg Revenue beat(12)-4.8%
Revenue beat(16)4
Avg Revenue beat(16)-9%
PT rev (1m)-2.46%
PT rev (3m)-11.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-17.24%
EPS NY rev (1m)-2.35%
EPS NY rev (3m)-1.4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-4.04%
Revenue NY rev (3m)-9.06%
Valuation
Industry RankSector Rank
PE 11.53
Fwd PE 10.64
P/S 0.88
P/FCF N/A
P/OCF 3.3
P/B 1.13
P/tB 3.73
EV/EBITDA N/A
EPS(TTM)0.27
EY8.67%
EPS(NY)0.29
Fwd EY9.4%
FCF(TTM)-0.4
FCFYN/A
OCF(TTM)0.94
OCFY30.33%
SpS3.53
BVpS2.76
TBVpS0.83
PEG (NY)0.38
PEG (5Y)0.4
Profitability
Industry RankSector Rank
ROA 1.98%
ROE 9.45%
ROCE 5.35%
ROIC 3.97%
ROICexc 4.15%
ROICexgc 5.11%
OM 16.25%
PM (TTM) 7.38%
GM 48.06%
FCFM N/A
ROA(3y)1.37%
ROA(5y)1.44%
ROE(3y)7.64%
ROE(5y)7.41%
ROIC(3y)3.19%
ROIC(5y)3.39%
ROICexc(3y)3.53%
ROICexc(5y)3.68%
ROICexgc(3y)4.48%
ROICexgc(5y)4.67%
ROCE(3y)4.3%
ROCE(5y)4.56%
ROICexcg growth 3Y7.43%
ROICexcg growth 5Y5.65%
ROICexc growth 3Y8.28%
ROICexc growth 5Y6.02%
OM growth 3Y5.93%
OM growth 5Y9.63%
PM growth 3Y-2.96%
PM growth 5Y11.58%
GM growth 3Y1.83%
GM growth 5Y5.29%
F-Score6
Asset Turnover0.27
Health
Industry RankSector Rank
Debt/Equity 1.75
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales 38.06%
Interest Coverage 250
Cash Conversion N/A
Profit Quality N/A
Current Ratio 0.98
Quick Ratio 0.91
Altman-Z 0.77
F-Score6
WACC5.16%
ROIC/WACC0.77
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)29.19%
Cap/Sales(5y)26.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.89%
EPS 3Y3.37%
EPS 5Y28.74%
EPS Q2Q%-38.46%
EPS Next Y30.14%
EPS Next 2Y9.98%
EPS Next 3Y7.15%
EPS Next 5Y4.4%
Revenue 1Y (TTM)-13.47%
Revenue growth 3Y9.18%
Revenue growth 5Y1.18%
Sales Q2Q%-8.82%
Revenue Next Year-25.09%
Revenue Next 2Y-11.09%
Revenue Next 3Y-7.75%
Revenue Next 5Y-5.42%
EBIT growth 1Y4.07%
EBIT growth 3Y15.66%
EBIT growth 5Y10.93%
EBIT Next Year59.15%
EBIT Next 3Y17%
EBIT Next 5Y10.39%
FCF growth 1Y-5.04%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y55.7%
OCF growth 3Y-4.21%
OCF growth 5Y-5.94%