EDP SA (EDP.LS) Stock Fundamental Analysis
Europe - ELI:EDP - PTEDP0AM0009 - Common Stock
3.779 EUR
+0.04 (+1.07%)
Overall EDP gets a fundamental rating of 3 out of 10. We evaluated EDP against 20 industry peers in the Electric Utilities industry. While EDP is still in line with the averages on profitability rating, there are concerns on its financial health. EDP does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
EDP had positive earnings in the past year.
In the past year EDP had a positive cash flow from operations.
In the past 5 years EDP has always been profitable.
In the past 5 years EDP always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of EDP (1.39%) is worse than 85.00% of its industry peers.
Looking at the Return On Equity, with a value of 6.95%, EDP is doing worse than 80.00% of the companies in the same industry.
EDP has a worse Return On Invested Capital (3.21%) than 80.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EDP is below the industry average of 7.00%.
The last Return On Invested Capital (3.21%) for EDP is above the 3 year average (3.20%), which is a sign of increasing profitability.
| 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
Looking at the Profit Margin, with a value of 4.84%, EDP is doing worse than 75.00% of the companies in the same industry.
In the last couple of years the Profit Margin of EDP has grown nicely.
Looking at the Operating Margin, with a value of 12.97%, EDP is doing worse than 70.00% of the companies in the same industry.
EDP's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 43.15%, EDP is not doing good in the industry: 65.00% of the companies in the same industry are doing better.
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
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
The number of shares outstanding for EDP has been increased compared to 5 years ago.
Compared to 1 year ago, EDP has a worse debt to assets ratio.
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.
EDP's Altman-Z score of 0.80 is on the low side compared to the rest of the industry. EDP is outperformed by 70.00% of its industry peers.
EDP has a Debt/Equity ratio of 1.77. This is a high value indicating a heavy dependency on external 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
WACC5.19%
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.
A Quick Ratio of 0.93 indicates that EDP may have some problems paying its short term obligations.
The Quick ratio of EDP (0.93) is comparable to the rest of the industry.
| 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%.
EDP shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.36% yearly.
EDP shows a small growth in Revenue. In the last year, the Revenue has grown by 2.26%.
Measured over the past years, EDP shows a small growth in Revenue. The Revenue has been growing by 0.87% on average per year.
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
The Earnings Per Share is expected to grow by 11.80% on average over the next years. This is quite good.
EDP is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.77% yearly.
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
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.
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
The Price/Earnings ratio is 20.99, which indicates a rather expensive current valuation of EDP.
65.00% of the companies in the same industry are cheaper than EDP, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of EDP to the average of the S&P500 Index (25.47), we can say EDP is valued inline with the index average.
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 35.42. 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
The 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
110.52% 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.
DP110.52%
EPS Next 2Y22.53%
EPS Next 3Y15.08%
ELI:EDP (11/20/2025, 5:36:15 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
WACC5.19%
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%.