IBERDROLA SA (1IBE.MI) Stock Fundamental Analysis
BIT:1IBE - Euronext Milan - ES0144580Y14 - Common Stock - Currency: EUR
Taking everything into account, 1IBE scores 4 out of 10 in our fundamental rating. 1IBE was compared to 16 industry peers in the Electric Utilities industry. While 1IBE is still in line with the averages on profitability rating, there are concerns on its financial health. 1IBE has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
1IBE had positive earnings in the past year.
1IBE had a positive operating cash flow in the past year.
1IBE had positive earnings in each of the past 5 years.
1IBE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.55%, 1IBE is in line with its industry, outperforming 50.00% of the companies in the same industry.
The Return On Equity of 1IBE (11.91%) is comparable to the rest of the industry.
1IBE has a Return On Invested Capital of 5.55%. This is comparable to the rest of the industry: 1IBE outperforms 50.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1IBE is below the industry average of 8.82%.
The 3 year average ROIC (5.50%) for 1IBE is below the current ROIC(5.55%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 11.91% | ||
| ROIC | 5.55% |
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 12.54%, 1IBE is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
1IBE's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 21.75%, 1IBE perfoms like the industry average, outperforming 55.00% of the companies in the same industry.
In the last couple of years the Operating Margin of 1IBE has grown nicely.
1IBE has a Gross Margin (46.19%) which is in line with its industry peers.
In the last couple of years the Gross Margin of 1IBE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.75% | ||
| PM (TTM) | 12.54% | ||
| GM | 46.19% |
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
1IBE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for 1IBE has been reduced compared to 1 year ago.
1IBE has less shares outstanding than it did 5 years ago.
The debt/assets ratio for 1IBE is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.36, we must say that 1IBE is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.36, 1IBE is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
The Debt to FCF ratio of 1IBE is 16.14, which is on the high side as it means it would take 1IBE, 16.14 years of fcf income to pay off all of its debts.
1IBE has a better Debt to FCF ratio (16.14) than 70.00% of its industry peers.
1IBE has a Debt/Equity ratio of 1.01. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.01, 1IBE is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | 16.14 | ||
| Altman-Z | 1.36 |
ROIC/WACC0.88
WACC6.31%
2.3 Liquidity
A Current Ratio of 0.69 indicates that 1IBE may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.69, 1IBE is doing worse than 80.00% of the companies in the same industry.
1IBE has a Quick Ratio of 0.69. This is a bad value and indicates that 1IBE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1IBE (0.58) is worse than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
1IBE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.49%.
1IBE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.43% yearly.
1IBE shows a decrease in Revenue. In the last year, the revenue decreased by -3.50%.
The Revenue has been growing slightly by 4.19% on average over the past years.
EPS 1Y (TTM)-16.49%
EPS 3Y15.45%
EPS 5Y11.43%
EPS Q2Q%-22.89%
Revenue 1Y (TTM)-3.5%
Revenue growth 3Y4.58%
Revenue growth 5Y4.19%
Sales Q2Q%1.47%
3.2 Future
1IBE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.62% yearly.
Based on estimates for the next years, 1IBE will show a small growth in Revenue. The Revenue will grow by 2.44% on average per year.
EPS Next Y11.52%
EPS Next 2Y8.44%
EPS Next 3Y8.09%
EPS Next 5Y4.62%
Revenue Next Year2.34%
Revenue Next 2Y2.34%
Revenue Next 3Y2.82%
Revenue Next 5Y2.44%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.51, which indicates a rather expensive current valuation of 1IBE.
1IBE's Price/Earnings ratio is a bit more expensive when compared to the industry. 1IBE is more expensive than 75.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1IBE to the average of the S&P500 Index (27.69), we can say 1IBE is valued slightly cheaper.
The Price/Forward Earnings ratio is 16.22, which indicates a correct valuation of 1IBE.
1IBE's Price/Forward Earnings ratio is in line with the industry average.
1IBE is valuated cheaply when we compare the Price/Forward Earnings ratio to 37.36, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.51 | ||
| Fwd PE | 16.22 |
4.2 Price Multiples
1IBE's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1IBE indicates a somewhat cheap valuation: 1IBE is cheaper than 70.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.7 | ||
| EV/EBITDA | 8.68 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1IBE does not grow enough to justify the current Price/Earnings ratio.
1IBE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.87
PEG (5Y)1.88
EPS Next 2Y8.44%
EPS Next 3Y8.09%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.33%, 1IBE has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.20, 1IBE has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, 1IBE pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.33% |
5.2 History
The dividend of 1IBE is nicely growing with an annual growth rate of 32.04%!
Dividend Growth(5Y)32.04%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
20.78% of the earnings are spent on dividend by 1IBE. This is a low number and sustainable payout ratio.
The dividend of 1IBE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP20.78%
EPS Next 2Y8.44%
EPS Next 3Y8.09%
BIT:1IBE (7/4/2025, 7:00:00 PM)
15.92
-0.44 (-2.72%)
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 Cap101.89B
Analysts70.32
Price Target15.81 (-0.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.33% |
Yearly Dividend0.18
Dividend Growth(5Y)32.04%
DP20.78%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-25.45%
Min EPS beat(2)-80.16%
Max EPS beat(2)29.26%
EPS beat(4)3
Avg EPS beat(4)11.1%
Min EPS beat(4)-80.16%
Max EPS beat(4)75.88%
EPS beat(8)7
Avg EPS beat(8)12.58%
EPS beat(12)9
Avg EPS beat(12)11.89%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-19.11%
Min Revenue beat(2)-24.89%
Max Revenue beat(2)-13.33%
Revenue beat(4)1
Avg Revenue beat(4)-11.25%
Min Revenue beat(4)-24.89%
Max Revenue beat(4)1.8%
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)1.21%
PT rev (3m)6.64%
EPS NQ rev (1m)-2.01%
EPS NQ rev (3m)-2.01%
EPS NY rev (1m)0%
EPS NY rev (3m)0.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.51 | ||
| Fwd PE | 16.22 | ||
| P/S | 2.28 | ||
| P/FCF | 28.7 | ||
| P/OCF | 8.54 | ||
| P/B | 2.16 | ||
| P/tB | 3.79 | ||
| EV/EBITDA | 8.68 |
EPS(TTM)0.74
EY4.65%
EPS(NY)0.98
Fwd EY6.17%
FCF(TTM)0.55
FCFY3.48%
OCF(TTM)1.86
OCFY11.7%
SpS6.99
BVpS7.36
TBVpS4.2
PEG (NY)1.87
PEG (5Y)1.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 11.91% | ||
| ROCE | 7.59% | ||
| ROIC | 5.55% | ||
| ROICexc | 5.78% | ||
| ROICexgc | 6.89% | ||
| OM | 21.75% | ||
| PM (TTM) | 12.54% | ||
| GM | 46.19% | ||
| FCFM | 7.93% |
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-Score6
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | 16.14 | ||
| Debt/EBITDA | 2.77 | ||
| Cap/Depr | 112.99% | ||
| Cap/Sales | 18.72% | ||
| Interest Coverage | 3.95 | ||
| Cash Conversion | 69.57% | ||
| Profit Quality | 63.26% | ||
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.58 | ||
| Altman-Z | 1.36 |
F-Score6
WACC6.31%
ROIC/WACC0.88
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)-16.49%
EPS 3Y15.45%
EPS 5Y11.43%
EPS Q2Q%-22.89%
EPS Next Y11.52%
EPS Next 2Y8.44%
EPS Next 3Y8.09%
EPS Next 5Y4.62%
Revenue 1Y (TTM)-3.5%
Revenue growth 3Y4.58%
Revenue growth 5Y4.19%
Sales Q2Q%1.47%
Revenue Next Year2.34%
Revenue Next 2Y2.34%
Revenue Next 3Y2.82%
Revenue Next 5Y2.44%
EBIT growth 1Y8.43%
EBIT growth 3Y15.29%
EBIT growth 5Y14.03%
EBIT Next Year63.34%
EBIT Next 3Y22.03%
EBIT Next 5Y13.38%
FCF growth 1Y-16.53%
FCF growth 3Y44.04%
FCF growth 5Y21.6%
OCF growth 1Y-1.69%
OCF growth 3Y13.73%
OCF growth 5Y11.52%