ELIA GROUP SA/NV (ELI.BR) Stock Fundamental Analysis
EBR:ELI - Euronext Brussels - BE0003822393 - Common Stock - Currency: EUR
We assign a fundamental rating of 3 out of 10 to ELI. ELI was compared to 15 industry peers in the Electric Utilities industry. Both the profitability and financial health of ELI have multiple concerns. While showing a medium growth rate, ELI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year ELI was profitable.
ELI had a negative operating cash flow in the past year.
Each year in the past 5 years ELI has been profitable.
The reported operating cash flow has been mixed in the past 5 years: ELI reported negative operating cash flow in multiple years.
1.2 Ratios
ELI has a worse Return On Assets (1.54%) than 75.00% of its industry peers.
ELI has a Return On Equity of 6.57%. This is in the lower half of the industry: ELI underperforms 75.00% of its industry peers.
ELI's Return On Invested Capital of 2.74% is on the low side compared to the rest of the industry. ELI is outperformed by 81.25% of its industry peers.
ELI had an Average Return On Invested Capital over the past 3 years of 2.92%. This is significantly below the industry average of 8.70%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.54% | ||
| ROE | 6.57% | ||
| ROIC | 2.74% |
ROA(3y)1.62%
ROA(5y)1.67%
ROE(3y)6.29%
ROE(5y)6.24%
ROIC(3y)2.92%
ROIC(5y)3.23%
1.3 Margins
ELI has a better Profit Margin (9.72%) than 68.75% of its industry peers.
In the last couple of years the Profit Margin of ELI has declined.
Looking at the Operating Margin, with a value of 19.30%, ELI is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
ELI's Operating Margin has declined in the last couple of years.
ELI has a Gross Margin (43.75%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of ELI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.3% | ||
| PM (TTM) | 9.72% | ||
| GM | 43.75% |
OM growth 3Y-12.99%
OM growth 5Y-5.8%
PM growth 3Y-9.3%
PM growth 5Y-9.9%
GM growth 3Y-5.05%
GM growth 5Y-3.05%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ELI is destroying value.
ELI has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for ELI has been increased compared to 5 years ago.
ELI has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.57, we must say that ELI is in the distress zone and has some risk of bankruptcy.
ELI's Altman-Z score of 0.57 is on the low side compared to the rest of the industry. ELI is outperformed by 81.25% of its industry peers.
A Debt/Equity ratio of 2.22 is on the high side and indicates that ELI has dependencies on debt financing.
ELI has a Debt to Equity ratio of 2.22. This is amonst the worse of the industry: ELI underperforms 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.57 |
ROIC/WACC0.75
WACC3.65%
2.3 Liquidity
A Current Ratio of 0.87 indicates that ELI may have some problems paying its short term obligations.
ELI has a worse Current ratio (0.87) than 68.75% of its industry peers.
ELI has a Quick Ratio of 0.87. This is a bad value and indicates that ELI is not financially healthy enough and could expect problems in meeting its short term obligations.
ELI's Quick ratio of 0.85 is in line compared to the rest of the industry. ELI outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
ELI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.88%.
Measured over the past years, ELI shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.12% on average per year.
ELI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -13.66%.
Measured over the past years, ELI shows a quite strong growth in Revenue. The Revenue has been growing by 14.71% on average per year.
EPS 1Y (TTM)-0.88%
EPS 3Y6.78%
EPS 5Y-0.12%
EPS Q2Q%11.76%
Revenue 1Y (TTM)-13.66%
Revenue growth 3Y20.26%
Revenue growth 5Y14.71%
Sales Q2Q%1.32%
3.2 Future
The Earnings Per Share is expected to grow by 9.70% on average over the next years. This is quite good.
ELI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.37% yearly.
EPS Next Y13.81%
EPS Next 2Y9.97%
EPS Next 3Y10.5%
EPS Next 5Y9.7%
Revenue Next Year0.81%
Revenue Next 2Y9.64%
Revenue Next 3Y12.55%
Revenue Next 5Y12.37%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.15, which indicates a correct valuation of ELI.
ELI's Price/Earnings ratio is a bit more expensive when compared to the industry. ELI is more expensive than 62.50% of the companies in the same industry.
ELI's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.35.
Based on the Price/Forward Earnings ratio of 13.70, the valuation of ELI can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ELI indicates a somewhat cheap valuation: ELI is cheaper than 68.75% of the companies listed in the same industry.
ELI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.15 | ||
| Fwd PE | 13.7 |
4.2 Price Multiples
ELI's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ELI is more expensive than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.4 |
4.3 Compensation for Growth
ELI's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.17
PEG (5Y)N/A
EPS Next 2Y9.97%
EPS Next 3Y10.5%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.16%, ELI has a reasonable but not impressive dividend return.
ELI's Dividend Yield is slightly below the industry average, which is at 4.71.
Compared to an average S&P500 Dividend Yield of 2.33, ELI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
5.2 History
The dividend of ELI has a limited annual growth rate of 3.71%.
Dividend Growth(5Y)3.71%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
42.58% of the earnings are spent on dividend by ELI. This is a bit on the high side, but may be sustainable.
The dividend of ELI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP42.58%
EPS Next 2Y9.97%
EPS Next 3Y10.5%
EBR:ELI (3/7/2025, 7:00:00 PM)
75.6
+11.05 (+17.12%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners16.33%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap5.56B
Analysts80
Price Target106.01 (40.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
Yearly Dividend1.91
Dividend Growth(5Y)3.71%
DP42.58%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)-4.59%
PT rev (3m)-13.17%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.36%
EPS NY rev (3m)1.48%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.48%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.15 | ||
| Fwd PE | 13.7 | ||
| P/S | 1.57 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.06 | ||
| P/tB | 2.27 | ||
| EV/EBITDA | 12.4 |
EPS(TTM)4.68
EY6.19%
EPS(NY)5.52
Fwd EY7.3%
FCF(TTM)-55.45
FCFYN/A
OCF(TTM)-10.18
OCFYN/A
SpS48.07
BVpS71.19
TBVpS33.36
PEG (NY)1.17
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.54% | ||
| ROE | 6.57% | ||
| ROCE | 3.77% | ||
| ROIC | 2.74% | ||
| ROICexc | 3.17% | ||
| ROICexgc | 3.85% | ||
| OM | 19.3% | ||
| PM (TTM) | 9.72% | ||
| GM | 43.75% | ||
| FCFM | N/A |
ROA(3y)1.62%
ROA(5y)1.67%
ROE(3y)6.29%
ROE(5y)6.24%
ROIC(3y)2.92%
ROIC(5y)3.23%
ROICexc(3y)3.76%
ROICexc(5y)3.9%
ROICexgc(3y)4.95%
ROICexgc(5y)5.19%
ROCE(3y)4.02%
ROCE(5y)4.44%
ROICexcg growth 3Y-2.67%
ROICexcg growth 5Y-10.8%
ROICexc growth 3Y-1.76%
ROICexc growth 5Y-6.46%
OM growth 3Y-12.99%
OM growth 5Y-5.8%
PM growth 3Y-9.3%
PM growth 5Y-9.9%
GM growth 3Y-5.05%
GM growth 5Y-3.05%
F-Score3
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 9.2 | ||
| Cap/Depr | 573.52% | ||
| Cap/Sales | 94.19% | ||
| Interest Coverage | 2.73 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 0.57 |
F-Score3
WACC3.65%
ROIC/WACC0.75
Cap/Depr(3y)327.32%
Cap/Depr(5y)309.75%
Cap/Sales(3y)50.5%
Cap/Sales(5y)50.42%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-0.88%
EPS 3Y6.78%
EPS 5Y-0.12%
EPS Q2Q%11.76%
EPS Next Y13.81%
EPS Next 2Y9.97%
EPS Next 3Y10.5%
EPS Next 5Y9.7%
Revenue 1Y (TTM)-13.66%
Revenue growth 3Y20.26%
Revenue growth 5Y14.71%
Sales Q2Q%1.32%
Revenue Next Year0.81%
Revenue Next 2Y9.64%
Revenue Next 3Y12.55%
Revenue Next 5Y12.37%
EBIT growth 1Y11.95%
EBIT growth 3Y4.64%
EBIT growth 5Y8.05%
EBIT Next Year116.55%
EBIT Next 3Y48.65%
EBIT Next 5Y36.59%
FCF growth 1Y-328.8%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-123.39%
OCF growth 3YN/A
OCF growth 5YN/A