E.ON SE (EOAN.DE) Stock Fundamental Analysis
FRA:EOAN - Deutsche Boerse Ag - DE000ENAG999 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to EOAN. EOAN was compared to 13 industry peers in the Multi-Utilities industry. EOAN has an excellent profitability rating, but there are concerns on its financial health. While showing a medium growth rate, EOAN is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year EOAN was profitable.
EOAN had a positive operating cash flow in the past year.
EOAN had positive earnings in each of the past 5 years.
Each year in the past 5 years EOAN had a positive operating cash flow.
1.2 Ratios
EOAN has a better Return On Assets (4.07%) than 76.92% of its industry peers.
The Return On Equity of EOAN (25.40%) is better than 92.31% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.09%, EOAN belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.07% | ||
| ROE | 25.4% | ||
| ROIC | 8.09% |
ROA(3y)1.96%
ROA(5y)2.17%
ROE(3y)13.52%
ROE(5y)20.03%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
EOAN has a better Profit Margin (5.66%) than 69.23% of its industry peers.
EOAN's Profit Margin has improved in the last couple of years.
EOAN has a Operating Margin (10.84%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of EOAN has grown nicely.
Looking at the Gross Margin, with a value of 28.25%, EOAN is doing worse than 69.23% of the companies in the same industry.
EOAN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.84% | ||
| PM (TTM) | 5.66% | ||
| GM | 28.25% |
OM growth 3YN/A
OM growth 5Y26.47%
PM growth 3Y-2.3%
PM growth 5Y8.28%
GM growth 3Y686.04%
GM growth 5Y3.45%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), EOAN is creating some value.
The number of shares outstanding for EOAN remains at a similar level compared to 1 year ago.
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 1.25, we must say that EOAN is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of EOAN (1.25) is better than 69.23% of its industry peers.
EOAN has a Debt/Equity ratio of 1.91. This is a high value indicating a heavy dependency on external financing.
EOAN has a worse Debt to Equity ratio (1.91) than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.25 |
ROIC/WACC1.62
WACC5%
2.3 Liquidity
EOAN has a Current 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.
Looking at the Current ratio, with a value of 0.87, EOAN is doing worse than 76.92% of the companies in the same industry.
A Quick Ratio of 0.83 indicates that EOAN may have some problems paying its short term obligations.
EOAN's Quick ratio of 0.83 is on the low side compared to the rest of the industry. EOAN is outperformed by 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
EOAN shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.63%.
Measured over the past years, EOAN shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.96% on average per year.
Looking at the last year, EOAN shows a very negative growth in Revenue. The Revenue has decreased by -14.48% in the last year.
The Revenue has been growing by 14.45% on average over the past years. This is quite good.
EPS 1Y (TTM)-7.63%
EPS 3Y3.96%
EPS 5Y20.96%
EPS Q2Q%400%
Revenue 1Y (TTM)-14.48%
Revenue growth 3Y1.18%
Revenue growth 5Y14.45%
Sales Q2Q%-2.49%
3.2 Future
The Earnings Per Share is expected to grow by 4.19% on average over the next years.
Based on estimates for the next years, EOAN will show a small growth in Revenue. The Revenue will grow by 0.10% on average per year.
EPS Next Y5.47%
EPS Next 2Y-0.28%
EPS Next 3Y4.48%
EPS Next 5Y4.19%
Revenue Next Year-4.08%
Revenue Next 2Y-3.18%
Revenue Next 3Y-1.91%
Revenue Next 5Y0.1%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.78 indicates a correct valuation of EOAN.
Based on the Price/Earnings ratio, EOAN is valued a bit more expensive than 76.92% of the companies in the same industry.
When comparing the Price/Earnings ratio of EOAN to the average of the S&P500 Index (28.79), we can say EOAN is valued rather cheaply.
With a Price/Forward Earnings ratio of 13.07, EOAN is valued correctly.
Based on the Price/Forward Earnings ratio, EOAN is valued a bit more expensive than the industry average as 61.54% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.38, EOAN is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.78 | ||
| Fwd PE | 13.07 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EOAN indicates a somewhat cheap valuation: EOAN is cheaper than 61.54% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.41 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of EOAN may justify a higher PE ratio.
PEG (NY)2.52
PEG (5Y)0.66
EPS Next 2Y-0.28%
EPS Next 3Y4.48%
5. Dividend
5.1 Amount
EOAN has a Yearly Dividend Yield of 3.60%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.37, EOAN's dividend is way lower than its industry peers. On top of this 92.31% of the companies listed in the same industry pay a better dividend than EOAN!
EOAN's Dividend Yield is a higher than the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.6% |
5.2 History
The dividend of EOAN is nicely growing with an annual growth rate of 6.30%!
Dividend Growth(5Y)6.3%
Div Incr Years4
Div Non Decr Years5
5.3 Sustainability
30.55% of the earnings are spent on dividend by EOAN. This is a low number and sustainable payout ratio.
The dividend of EOAN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP30.55%
EPS Next 2Y-0.28%
EPS Next 3Y4.48%
FRA:EOAN (4/25/2025, 7:00:00 PM)
15.025
-0.14 (-0.92%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners39.62%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap39.69B
Analysts82.86
Price Target15.43 (2.7%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.6% |
Yearly Dividend0.53
Dividend Growth(5Y)6.3%
DP30.55%
Div Incr Years4
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-21.27%
Min EPS beat(2)-24.24%
Max EPS beat(2)-18.3%
EPS beat(4)1
Avg EPS beat(4)-10.9%
Min EPS beat(4)-51.87%
Max EPS beat(4)50.83%
EPS beat(8)3
Avg EPS beat(8)-2.91%
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)-24.45%
Min Revenue beat(2)-58.21%
Max Revenue beat(2)9.31%
Revenue beat(4)2
Avg Revenue beat(4)-21.58%
Min Revenue beat(4)-58.21%
Max Revenue beat(4)9.31%
Revenue beat(8)2
Avg Revenue beat(8)-28.15%
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)1.54%
PT rev (3m)1.41%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)3.32%
EPS NY rev (3m)3.52%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.78 | ||
| Fwd PE | 13.07 | ||
| P/S | 0.5 | ||
| P/FCF | N/A | ||
| P/OCF | 7 | ||
| P/B | 2.22 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.41 |
EPS(TTM)1.09
EY7.25%
EPS(NY)1.15
Fwd EY7.65%
FCF(TTM)-0.49
FCFYN/A
OCF(TTM)2.15
OCFY14.29%
SpS30.33
BVpS6.75
TBVpS-0.92
PEG (NY)2.52
PEG (5Y)0.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.07% | ||
| ROE | 25.4% | ||
| ROCE | 10.67% | ||
| ROIC | 8.09% | ||
| ROICexc | 8.86% | ||
| ROICexgc | 12.18% | ||
| OM | 10.84% | ||
| PM (TTM) | 5.66% | ||
| GM | 28.25% | ||
| FCFM | N/A |
ROA(3y)1.96%
ROA(5y)2.17%
ROE(3y)13.52%
ROE(5y)20.03%
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 3YN/A
ROICexcg growth 5Y40.97%
ROICexc growth 3YN/A
ROICexc growth 5Y42.59%
OM growth 3YN/A
OM growth 5Y26.47%
PM growth 3Y-2.3%
PM growth 5Y8.28%
GM growth 3Y686.04%
GM growth 5Y3.45%
F-Score6
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.61 | ||
| Cap/Depr | 158.4% | ||
| Cap/Sales | 8.7% | ||
| Interest Coverage | 7.18 | ||
| Cash Conversion | 43.36% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 1.25 |
F-Score6
WACC5%
ROIC/WACC1.62
Cap/Depr(3y)154.96%
Cap/Depr(5y)136.8%
Cap/Sales(3y)6.36%
Cap/Sales(5y)6.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.63%
EPS 3Y3.96%
EPS 5Y20.96%
EPS Q2Q%400%
EPS Next Y5.47%
EPS Next 2Y-0.28%
EPS Next 3Y4.48%
EPS Next 5Y4.19%
Revenue 1Y (TTM)-14.48%
Revenue growth 3Y1.18%
Revenue growth 5Y14.45%
Sales Q2Q%-2.49%
Revenue Next Year-4.08%
Revenue Next 2Y-3.18%
Revenue Next 3Y-1.91%
Revenue Next 5Y0.1%
EBIT growth 1Y543.18%
EBIT growth 3YN/A
EBIT growth 5Y44.74%
EBIT Next Year66%
EBIT Next 3Y22.26%
EBIT Next 5Y14.87%
FCF growth 1Y-264.61%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y0.34%
OCF growth 3Y11.71%
OCF growth 5Y13.46%