REDES ENERGETICAS NACIONAIS (RENE.LS) Stock Fundamental Analysis
ELI:RENE - Euronext Lisbon - PTREL0AM0008 - Common Stock - Currency: EUR
Taking everything into account, RENE scores 4 out of 10 in our fundamental rating. RENE was compared to 13 industry peers in the Multi-Utilities industry. RENE has an excellent profitability rating, but there are concerns on its financial health. RENE is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year RENE was profitable.
In the past year RENE had a positive cash flow from operations.
RENE had positive earnings in each of the past 5 years.
RENE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.58%, RENE is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
With a decent Return On Equity value of 12.36%, RENE is doing good in the industry, outperforming 61.54% of the companies in the same industry.
RENE's Return On Invested Capital of 8.22% is amongst the best of the industry. RENE outperforms 84.62% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RENE is in line with the industry average of 6.66%.
The last Return On Invested Capital (8.22%) for RENE is above the 3 year average (5.36%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 12.36% | ||
| ROIC | 8.22% |
ROA(3y)2.39%
ROA(5y)2.2%
ROE(3y)9.02%
ROE(5y)8.34%
ROIC(3y)5.36%
ROIC(5y)4.97%
1.3 Margins
Looking at the Profit Margin, with a value of 12.84%, RENE belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Profit Margin of RENE has remained more or less at the same level.
RENE's Operating Margin of 25.28% is amongst the best of the industry. RENE outperforms 92.31% of its industry peers.
In the last couple of years the Operating Margin of RENE has declined.
RENE's Gross Margin of 71.16% is amongst the best of the industry. RENE outperforms 92.31% of its industry peers.
RENE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.28% | ||
| PM (TTM) | 12.84% | ||
| GM | 71.16% |
OM growth 3Y-3.06%
OM growth 5Y-5.7%
PM growth 3Y8.45%
PM growth 5Y-0.44%
GM growth 3Y-2.57%
GM growth 5Y-2.77%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RENE is creating some value.
The number of shares outstanding for RENE remains at a similar level compared to 1 year ago.
Compared to 5 years ago, RENE has about the same amount of shares outstanding.
Compared to 1 year ago, RENE has about the same debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.81, we must say that RENE is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of RENE (0.81) is worse than 92.31% of its industry peers.
RENE has a debt to FCF ratio of 7.80. This is a slightly negative value and a sign of low solvency as RENE would need 7.80 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 7.80, RENE belongs to the best of the industry, outperforming 92.31% of the companies in the same industry.
RENE has a Debt/Equity ratio of 1.04. This is a high value indicating a heavy dependency on external financing.
RENE has a better Debt to Equity ratio (1.04) than 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 7.8 | ||
| Altman-Z | 0.81 |
ROIC/WACC1.47
WACC5.59%
2.3 Liquidity
RENE has a Current Ratio of 0.38. This is a bad value and indicates that RENE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.38, RENE is doing worse than 92.31% of the companies in the same industry.
A Quick Ratio of 0.38 indicates that RENE may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.38, RENE is doing worse than 92.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.38 | ||
| Quick Ratio | 0.38 |
3. Growth
3.1 Past
The earnings per share for RENE have decreased by -3.07% in the last year.
Measured over the past 5 years, RENE shows a small growth in Earnings Per Share. The EPS has been growing by 5.29% on average per year.
The Revenue has been growing slightly by 3.53% in the past year.
RENE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.57% yearly.
EPS 1Y (TTM)-3.07%
EPS 3Y16.26%
EPS 5Y5.29%
EPS Q2Q%13.65%
Revenue 1Y (TTM)3.53%
Revenue growth 3Y7.16%
Revenue growth 5Y5.57%
Sales Q2Q%6.91%
3.2 Future
RENE is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.44% yearly.
RENE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.32% yearly.
EPS Next Y2.56%
EPS Next 2Y2.95%
EPS Next 3Y2.5%
EPS Next 5Y-1.44%
Revenue Next Year3.99%
Revenue Next 2Y3.82%
Revenue Next 3Y4.14%
Revenue Next 5Y0.32%
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
The Price/Earnings ratio is 10.57, which indicates a very decent valuation of RENE.
RENE's Price/Earnings ratio is in line with the industry average.
RENE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.78.
The Price/Forward Earnings ratio is 14.00, which indicates a correct valuation of RENE.
RENE's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. RENE is more expensive than 76.92% of the companies in the same industry.
RENE is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.32, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.57 | ||
| Fwd PE | 14 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RENE indicates a rather cheap valuation: RENE is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.92 | ||
| EV/EBITDA | N/A |
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 RENE may justify a higher PE ratio.
PEG (NY)4.12
PEG (5Y)2
EPS Next 2Y2.95%
EPS Next 3Y2.5%
5. Dividend
5.1 Amount
RENE has a Yearly Dividend Yield of 5.39%, which is a nice return.
RENE's Dividend Yield is a higher than the industry average which is at 5.35.
RENE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.39% |
5.2 History
The dividend of RENE decreases each year by -2.07%.
Dividend Growth(5Y)-2.07%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
53.25% of the earnings are spent on dividend by RENE. This is a bit on the high side, but may be sustainable.
RENE's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP53.25%
EPS Next 2Y2.95%
EPS Next 3Y2.5%
ELI:RENE (4/25/2025, 7:00:00 PM)
2.855
0 (0%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners25.95%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.90B
Analysts78.33
Price Target2.89 (1.23%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.39% |
Yearly Dividend0.15
Dividend Growth(5Y)-2.07%
DP53.25%
Div Incr Years0
Div Non Decr Years0
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)1.8%
PT rev (3m)2.59%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)12.15%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)2.28%
Revenue NY rev (3m)2.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.57 | ||
| Fwd PE | 14 | ||
| P/S | 1.28 | ||
| P/FCF | 5.92 | ||
| P/OCF | 3.07 | ||
| P/B | 1.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.27
EY9.46%
EPS(NY)0.2
Fwd EY7.15%
FCF(TTM)0.48
FCFY16.88%
OCF(TTM)0.93
OCFY32.6%
SpS2.24
BVpS2.33
TBVpS-4
PEG (NY)4.12
PEG (5Y)2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 12.36% | ||
| ROCE | 9.52% | ||
| ROIC | 8.22% | ||
| ROICexc | 8.31% | ||
| ROICexgc | N/A | ||
| OM | 25.28% | ||
| PM (TTM) | 12.84% | ||
| GM | 71.16% | ||
| FCFM | 21.53% |
ROA(3y)2.39%
ROA(5y)2.2%
ROE(3y)9.02%
ROE(5y)8.34%
ROIC(3y)5.36%
ROIC(5y)4.97%
ROICexc(3y)5.82%
ROICexc(5y)5.45%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)6.21%
ROCE(5y)5.75%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y2.25%
ROICexc growth 5Y0.7%
OM growth 3Y-3.06%
OM growth 5Y-5.7%
PM growth 3Y8.45%
PM growth 5Y-0.44%
GM growth 3Y-2.57%
GM growth 5Y-2.77%
F-Score6
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 7.8 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 20.04% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 167.66% | ||
| Current Ratio | 0.38 | ||
| Quick Ratio | 0.38 | ||
| Altman-Z | 0.81 |
F-Score6
WACC5.59%
ROIC/WACC1.47
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)26.47%
Cap/Sales(5y)25.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.07%
EPS 3Y16.26%
EPS 5Y5.29%
EPS Q2Q%13.65%
EPS Next Y2.56%
EPS Next 2Y2.95%
EPS Next 3Y2.5%
EPS Next 5Y-1.44%
Revenue 1Y (TTM)3.53%
Revenue growth 3Y7.16%
Revenue growth 5Y5.57%
Sales Q2Q%6.91%
Revenue Next Year3.99%
Revenue Next 2Y3.82%
Revenue Next 3Y4.14%
Revenue Next 5Y0.32%
EBIT growth 1Y-7.05%
EBIT growth 3Y3.89%
EBIT growth 5Y-0.44%
EBIT Next Year107.51%
EBIT Next 3Y31.3%
EBIT Next 5Y17.68%
FCF growth 1Y151.91%
FCF growth 3Y-13.59%
FCF growth 5Y13.81%
OCF growth 1Y267.84%
OCF growth 3Y-3.92%
OCF growth 5Y12.52%