E.ON SE (EOAN.DE) Stock Fundamental Analysis
FRA:EOAN - Deutsche Boerse Ag - DE000ENAG999 - Common Stock - Currency: EUR
We assign a fundamental rating of 3 out of 10 to EOAN. EOAN was compared to 14 industry peers in the Multi-Utilities industry. Both the profitability and financial health of EOAN have multiple concerns. EOAN has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year EOAN was profitable.
In the past year EOAN had a positive cash flow from operations.
EOAN had positive earnings in each of the past 5 years.
EOAN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EOAN's Return On Assets of 1.65% is on the low side compared to the rest of the industry. EOAN is outperformed by 71.43% of its industry peers.
With a Return On Equity value of 11.27%, EOAN perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
The Return On Invested Capital of EOAN (3.88%) is worse than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 11.27% | ||
| ROIC | 3.88% |
ROA(3y)1.91%
ROA(5y)1.68%
ROE(3y)18.03%
ROE(5y)18.35%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
EOAN has a Profit Margin of 2.22%. This is amonst the worse of the industry: EOAN underperforms 92.86% of its industry peers.
In the last couple of years the Profit Margin of EOAN has declined.
EOAN's Operating Margin of 5.46% is on the low side compared to the rest of the industry. EOAN is outperformed by 85.71% of its industry peers.
In the last couple of years the Operating Margin of EOAN has grown nicely.
The Gross Margin of EOAN (30.34%) is worse than 64.29% of its industry peers.
In the last couple of years the Gross Margin of EOAN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.46% | ||
| PM (TTM) | 2.22% | ||
| GM | 30.34% |
OM growth 3Y92.87%
OM growth 5Y21.21%
PM growth 3Y-30.85%
PM growth 5Y-45%
GM growth 3Y11.42%
GM growth 5Y6.2%
2. Health
2.1 Basic Checks
EOAN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, EOAN has about the same amount of shares outstanding.
EOAN has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, EOAN has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.07, we must say that EOAN is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of EOAN (1.07) is better than 64.29% of its industry peers.
A Debt/Equity ratio of 2.17 is on the high side and indicates that EOAN has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.17, EOAN is doing worse than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.07 |
ROIC/WACC0.87
WACC4.47%
2.3 Liquidity
A Current Ratio of 0.87 indicates that EOAN may have some problems paying its short term obligations.
The Current ratio of EOAN (0.87) is worse than 78.57% of its industry peers.
EOAN has a Quick Ratio of 0.87. This is a bad value and indicates that EOAN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.82, EOAN is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
EOAN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -34.56%.
Measured over the past years, EOAN shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -33.67% on average per year.
The Revenue for EOAN has decreased by -21.86% in the past year. This is quite bad
EOAN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.09% yearly.
EPS 1Y (TTM)-34.56%
EPS 3Y23.93%
EPS 5Y-33.67%
EPS Q2Q%-43.33%
Revenue 1Y (TTM)-21.86%
Revenue growth 3Y15.41%
Revenue growth 5Y26.09%
Sales Q2Q%-0.73%
3.2 Future
The Earnings Per Share is expected to grow by 1.87% on average over the next years.
The Revenue is expected to decrease by -4.19% on average over the next years.
EPS Next Y-3.62%
EPS Next 2Y-3.01%
EPS Next 3Y-2.54%
EPS Next 5Y1.87%
Revenue Next Year-14.79%
Revenue Next 2Y-8.74%
Revenue Next 3Y-6.3%
Revenue Next 5Y-4.19%
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 12.77, which indicates a correct valuation of EOAN.
Compared to the rest of the industry, the Price/Earnings ratio of EOAN indicates a slightly more expensive valuation: EOAN is more expensive than 71.43% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of EOAN to the average of the S&P500 Index (28.47), we can say EOAN is valued rather cheaply.
The Price/Forward Earnings ratio is 10.24, which indicates a very decent valuation of EOAN.
The rest of the industry has a similar Price/Forward Earnings ratio as EOAN.
EOAN is valuated cheaply when we compare the Price/Forward Earnings ratio to 92.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.77 | ||
| Fwd PE | 10.24 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EOAN is valued a bit more expensive than the industry average as 78.57% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.96 |
4.3 Compensation for Growth
EOAN's earnings are expected to decrease with -2.54% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-3.01%
EPS Next 3Y-2.54%
5. Dividend
5.1 Amount
EOAN has a Yearly Dividend Yield of 4.62%, which is a nice return.
EOAN's Dividend Yield is comparable with the industry average which is at 4.91.
EOAN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
5.2 History
On average, the dividend of EOAN grows each year by 11.19%, which is quite nice.
Dividend Growth(5Y)11.19%
Div Incr Years4
Div Non Decr Years5
5.3 Sustainability
77.06% of the earnings are spent on dividend by EOAN. This is not a sustainable payout ratio.
EOAN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP77.06%
EPS Next 2Y-3.01%
EPS Next 3Y-2.54%
E.ON SE
FRA:EOAN (2/5/2025, 11:23:04 AM)
11.365
-0.03 (-0.22%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners40.3%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap30.02B
Analysts82.86
Price Target15 (31.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
Yearly Dividend0.51
Dividend Growth(5Y)11.19%
DP77.06%
Div Incr Years4
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-38.06%
Min EPS beat(2)-51.87%
Max EPS beat(2)-24.24%
EPS beat(4)1
Avg EPS beat(4)-19.71%
Min EPS beat(4)-53.54%
Max EPS beat(4)50.83%
EPS beat(8)4
Avg EPS beat(8)24.46%
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)1
Avg Revenue beat(2)-14.98%
Min Revenue beat(2)-39.27%
Max Revenue beat(2)9.31%
Revenue beat(4)2
Avg Revenue beat(4)-18.72%
Min Revenue beat(4)-46.76%
Max Revenue beat(4)9.31%
Revenue beat(8)3
Avg Revenue beat(8)16.29%
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)-1.45%
PT rev (3m)-2.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2900%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)-0.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)42.96%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)2.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.77 | ||
| Fwd PE | 10.24 | ||
| P/S | 0.37 | ||
| P/FCF | N/A | ||
| P/OCF | 6.55 | ||
| P/B | 1.88 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.96 |
EPS(TTM)0.89
EY7.83%
EPS(NY)1.11
Fwd EY9.77%
FCF(TTM)-0.78
FCFYN/A
OCF(TTM)1.74
OCFY15.27%
SpS30.56
BVpS6.03
TBVpS-1.61
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 11.27% | ||
| ROCE | 5.51% | ||
| ROIC | 3.88% | ||
| ROICexc | 4.2% | ||
| ROICexgc | 5.78% | ||
| OM | 5.46% | ||
| PM (TTM) | 2.22% | ||
| GM | 30.34% | ||
| FCFM | N/A |
ROA(3y)1.91%
ROA(5y)1.68%
ROE(3y)18.03%
ROE(5y)18.35%
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 3Y117.78%
ROICexcg growth 5Y39.02%
ROICexc growth 3Y120.31%
ROICexc growth 5Y32.89%
OM growth 3Y92.87%
OM growth 5Y21.21%
PM growth 3Y-30.85%
PM growth 5Y-45%
GM growth 3Y11.42%
GM growth 5Y6.2%
F-Score5
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.96 | ||
| Cap/Depr | 153.25% | ||
| Cap/Sales | 8.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 52.43% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.07 |
F-Score5
WACC4.47%
ROIC/WACC0.87
Cap/Depr(3y)140.3%
Cap/Depr(5y)131.03%
Cap/Sales(3y)5.39%
Cap/Sales(5y)6.25%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-34.56%
EPS 3Y23.93%
EPS 5Y-33.67%
EPS Q2Q%-43.33%
EPS Next Y-3.62%
EPS Next 2Y-3.01%
EPS Next 3Y-2.54%
EPS Next 5Y1.87%
Revenue 1Y (TTM)-21.86%
Revenue growth 3Y15.41%
Revenue growth 5Y26.09%
Sales Q2Q%-0.73%
Revenue Next Year-14.79%
Revenue Next 2Y-8.74%
Revenue Next 3Y-6.3%
Revenue Next 5Y-4.19%
EBIT growth 1Y1696.01%
EBIT growth 3Y122.6%
EBIT growth 5Y52.84%
EBIT Next Year45.35%
EBIT Next 3Y15.58%
EBIT Next 5Y12.53%
FCF growth 1Y-198.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-30.72%
OCF growth 3Y2.01%
OCF growth 5Y15.2%