IBERDROLA SA (IBE1.DE) Stock Fundamental Analysis
Europe - FRA:IBE1 - ES0144580Y14 - Common Stock
15.625 EUR
-0.04 (-0.29%)
We assign a fundamental rating of 4 out of 10 to IBE1. IBE1 was compared to 17 industry peers in the Electric Utilities industry. While IBE1 is still in line with the averages on profitability rating, there are concerns on its financial health. IBE1 is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
IBE1 had positive earnings in the past year.
IBE1 had a positive operating cash flow in the past year.
IBE1 had positive earnings in each of the past 5 years.
IBE1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of IBE1 (3.18%) is comparable to the rest of the industry.
IBE1 has a Return On Equity (10.69%) which is in line with its industry peers.
IBE1 has a Return On Invested Capital of 4.76%. This is comparable to the rest of the industry: IBE1 outperforms 47.06% of its industry peers.
IBE1 had an Average Return On Invested Capital over the past 3 years of 5.50%. This is below the industry average of 8.55%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.18% | ||
| ROE | 10.69% | ||
| ROIC | 4.76% |
ROA(3y)3.18%
ROA(5y)3.05%
ROE(3y)11.2%
ROE(5y)10.68%
ROIC(3y)5.5%
ROIC(5y)5%
1.3 Margins
Looking at the Profit Margin, with a value of 11.24%, IBE1 is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
In the last couple of years the Profit Margin of IBE1 has grown nicely.
IBE1's Operating Margin of 18.59% is fine compared to the rest of the industry. IBE1 outperforms 70.59% of its industry peers.
IBE1's Operating Margin has improved in the last couple of years.
IBE1's Gross Margin of 47.23% is in line compared to the rest of the industry. IBE1 outperforms 52.94% of its industry peers.
In the last couple of years the Gross Margin of IBE1 has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.59% | ||
| PM (TTM) | 11.24% | ||
| GM | 47.23% |
OM growth 3Y10.24%
OM growth 5Y9.44%
PM growth 3Y8.09%
PM growth 5Y6.06%
GM growth 3Y6.77%
GM growth 5Y3.58%
2. Health
2.1 Basic Checks
IBE1 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
IBE1 has less shares outstanding than it did 1 year ago.
The number of shares outstanding for IBE1 has been reduced compared to 5 years ago.
The debt/assets ratio for IBE1 is higher compared to a year ago.
2.2 Solvency
IBE1 has an Altman-Z score of 1.35. This is a bad value and indicates that IBE1 is not financially healthy and even has some risk of bankruptcy.
IBE1 has a Altman-Z score (1.35) which is in line with its industry peers.
The Debt to FCF ratio of IBE1 is 12.77, which is on the high side as it means it would take IBE1, 12.77 years of fcf income to pay off all of its debts.
IBE1 has a Debt to FCF ratio (12.77) which is in line with its industry peers.
IBE1 has a Debt/Equity ratio of 1.01. This is a high value indicating a heavy dependency on external financing.
With a decent Debt to Equity ratio value of 1.01, IBE1 is doing good in the industry, outperforming 64.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | 12.77 | ||
| Altman-Z | 1.35 |
ROIC/WACC0.75
WACC6.36%
2.3 Liquidity
IBE1 has a Current Ratio of 0.69. This is a bad value and indicates that IBE1 is not financially healthy enough and could expect problems in meeting its short term obligations.
IBE1's Current ratio of 0.69 is on the low side compared to the rest of the industry. IBE1 is outperformed by 76.47% of its industry peers.
A Quick Ratio of 0.58 indicates that IBE1 may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.58, IBE1 is doing worse than 76.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
The earnings per share for IBE1 have decreased strongly by -17.28% in the last year.
The Earnings Per Share has been growing by 11.43% on average over the past years. This is quite good.
Looking at the last year, IBE1 shows a decrease in Revenue. The Revenue has decreased by -1.89% in the last year.
IBE1 shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.19% yearly.
EPS 1Y (TTM)-17.28%
EPS 3Y15.45%
EPS 5Y11.43%
EPS Q2Q%16.26%
Revenue 1Y (TTM)-1.89%
Revenue growth 3Y4.58%
Revenue growth 5Y4.19%
Sales Q2Q%-0.8%
3.2 Future
Based on estimates for the next years, IBE1 will show a small growth in Earnings Per Share. The EPS will grow by 6.63% on average per year.
The Revenue is expected to grow by 2.31% on average over the next years.
EPS Next Y13.82%
EPS Next 2Y8.34%
EPS Next 3Y7.98%
EPS Next 5Y6.63%
Revenue Next Year-1.42%
Revenue Next 2Y0.53%
Revenue Next 3Y1.78%
Revenue Next 5Y2.31%
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.
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
A Price/Earnings ratio of 20.03 indicates a rather expensive valuation of IBE1.
IBE1's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of IBE1 to the average of the S&P500 Index (27.20), we can say IBE1 is valued slightly cheaper.
The Price/Forward Earnings ratio is 15.94, which indicates a correct valuation of IBE1.
The rest of the industry has a similar Price/Forward Earnings ratio as IBE1.
IBE1's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 15.94 |
4.2 Price Multiples
IBE1's Enterprise Value to EBITDA is on the same level as the industry average.
IBE1's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.27 | ||
| EV/EBITDA | 9.58 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of IBE1 may justify a higher PE ratio.
PEG (NY)1.45
PEG (5Y)1.75
EPS Next 2Y8.34%
EPS Next 3Y7.98%
5. Dividend
5.1 Amount
IBE1 has a Yearly Dividend Yield of 3.31%.
IBE1's Dividend Yield is comparable with the industry average which is at 4.35.
IBE1's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
5.2 History
The dividend of IBE1 is nicely growing with an annual growth rate of 32.04%!
Dividend Growth(5Y)32.04%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
23.53% of the earnings are spent on dividend by IBE1. This is a low number and sustainable payout ratio.
IBE1's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP23.53%
EPS Next 2Y8.34%
EPS Next 3Y7.98%
FRA:IBE1 (9/17/2025, 7:00:00 PM)
15.625
-0.04 (-0.29%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners40.24%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap104.39B
Analysts72
Price Target16.83 (7.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
Yearly Dividend0.18
Dividend Growth(5Y)32.04%
DP23.53%
Div Incr Years7
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.37%
Min EPS beat(2)3.99%
Max EPS beat(2)14.74%
EPS beat(4)3
Avg EPS beat(4)-8.04%
Min EPS beat(4)-80.16%
Max EPS beat(4)29.26%
EPS beat(8)7
Avg EPS beat(8)10.02%
EPS beat(12)10
Avg EPS beat(12)11.52%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-11.06%
Min Revenue beat(2)-12.6%
Max Revenue beat(2)-9.52%
Revenue beat(4)0
Avg Revenue beat(4)-15.08%
Min Revenue beat(4)-24.89%
Max Revenue beat(4)-9.52%
Revenue beat(8)1
Avg Revenue beat(8)-14.34%
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)3.75%
PT rev (3m)7.23%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)2.07%
EPS NY rev (3m)2.07%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.61%
Revenue NY rev (3m)-3.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 15.94 | ||
| P/S | 2.33 | ||
| P/FCF | 23.27 | ||
| P/OCF | 8.23 | ||
| P/B | 2.22 | ||
| P/tB | 3.89 | ||
| EV/EBITDA | 9.58 |
EPS(TTM)0.78
EY4.99%
EPS(NY)0.98
Fwd EY6.27%
FCF(TTM)0.67
FCFY4.3%
OCF(TTM)1.9
OCFY12.16%
SpS6.71
BVpS7.05
TBVpS4.02
PEG (NY)1.45
PEG (5Y)1.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.18% | ||
| ROE | 10.69% | ||
| ROCE | 6.51% | ||
| ROIC | 4.76% | ||
| ROICexc | 4.96% | ||
| ROICexgc | 5.9% | ||
| OM | 18.59% | ||
| PM (TTM) | 11.24% | ||
| GM | 47.23% | ||
| FCFM | 10.01% |
ROA(3y)3.18%
ROA(5y)3.05%
ROE(3y)11.2%
ROE(5y)10.68%
ROIC(3y)5.5%
ROIC(5y)5%
ROICexc(3y)5.76%
ROICexc(5y)5.23%
ROICexgc(3y)6.89%
ROICexgc(5y)6.28%
ROCE(3y)7.53%
ROCE(5y)6.84%
ROICexcg growth 3Y11.25%
ROICexcg growth 5Y8.32%
ROICexc growth 3Y11.81%
ROICexc growth 5Y9.34%
OM growth 3Y10.24%
OM growth 5Y9.44%
PM growth 3Y8.09%
PM growth 5Y6.06%
GM growth 3Y6.77%
GM growth 5Y3.58%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | 12.77 | ||
| Debt/EBITDA | 3.01 | ||
| Cap/Depr | 110.02% | ||
| Cap/Sales | 18.29% | ||
| Interest Coverage | 3.62 | ||
| Cash Conversion | 80.35% | ||
| Profit Quality | 89.03% | ||
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.58 | ||
| Altman-Z | 1.35 |
F-Score5
WACC6.36%
ROIC/WACC0.75
Cap/Depr(3y)124.06%
Cap/Depr(5y)126.79%
Cap/Sales(3y)15.76%
Cap/Sales(5y)16.52%
Profit Quality(3y)78.69%
Profit Quality(5y)67.15%
High Growth Momentum
Growth
EPS 1Y (TTM)-17.28%
EPS 3Y15.45%
EPS 5Y11.43%
EPS Q2Q%16.26%
EPS Next Y13.82%
EPS Next 2Y8.34%
EPS Next 3Y7.98%
EPS Next 5Y6.63%
Revenue 1Y (TTM)-1.89%
Revenue growth 3Y4.58%
Revenue growth 5Y4.19%
Sales Q2Q%-0.8%
Revenue Next Year-1.42%
Revenue Next 2Y0.53%
Revenue Next 3Y1.78%
Revenue Next 5Y2.31%
EBIT growth 1Y-23.66%
EBIT growth 3Y15.29%
EBIT growth 5Y14.03%
EBIT Next Year63.34%
EBIT Next 3Y22.03%
EBIT Next 5Y14.83%
FCF growth 1Y-1.15%
FCF growth 3Y44.04%
FCF growth 5Y21.6%
OCF growth 1Y19.75%
OCF growth 3Y13.73%
OCF growth 5Y11.52%