CIA ENERGETICA DE-SPON ADR (CIG) Stock Fundamental Analysis
NYSE:CIG - New York Stock Exchange, Inc. - US2044096012 - ADR - Currency: USD
CIG gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 47 industry peers in the Electric Utilities industry. CIG has an average financial health and profitability rating. CIG may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make CIG a good candidate for value investing.
1. Profitability
1.1 Basic Checks
CIG had positive earnings in the past year.
In the past year CIG had a positive cash flow from operations.
In the past 5 years CIG has always been profitable.
CIG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CIG's Return On Assets of 10.96% is amongst the best of the industry. CIG outperforms 97.87% of its industry peers.
CIG has a Return On Equity of 25.09%. This is amongst the best in the industry. CIG outperforms 95.74% of its industry peers.
The Return On Invested Capital of CIG (10.67%) is better than 93.62% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CIG is significantly below the industry average of 38.54%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.96% | ||
| ROE | 25.09% | ||
| ROIC | 10.67% |
ROA(3y)10.01%
ROA(5y)8.5%
ROE(3y)22.72%
ROE(5y)20.77%
ROIC(3y)11.63%
ROIC(5y)10.86%
1.3 Margins
CIG has a better Profit Margin (17.25%) than 85.11% of its industry peers.
CIG's Profit Margin has improved in the last couple of years.
The Operating Margin of CIG (16.17%) is worse than 74.47% of its industry peers.
CIG's Operating Margin has improved in the last couple of years.
CIG has a worse Gross Margin (19.80%) than 74.47% of its industry peers.
CIG's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.17% | ||
| PM (TTM) | 17.25% | ||
| GM | 19.8% |
OM growth 3Y-4.19%
OM growth 5Y7.35%
PM growth 3Y17.03%
PM growth 5Y7.36%
GM growth 3Y0.83%
GM growth 5Y-2.38%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CIG is destroying value.
Compared to 1 year ago, CIG has about the same amount of shares outstanding.
CIG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CIG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.81, we must say that CIG is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of CIG (1.81) is better than 82.98% of its industry peers.
CIG has a debt to FCF ratio of 3.59. This is a good value and a sign of high solvency as CIG would need 3.59 years to pay back of all of its debts.
The Debt to FCF ratio of CIG (3.59) is better than 93.62% of its industry peers.
CIG has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.46, CIG belongs to the best of the industry, outperforming 91.49% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 3.59 | ||
| Altman-Z | 1.81 |
ROIC/WACC0.82
WACC12.99%
2.3 Liquidity
A Current Ratio of 1.06 indicates that CIG should not have too much problems paying its short term obligations.
The Current ratio of CIG (1.06) is better than 63.83% of its industry peers.
A Quick Ratio of 1.06 indicates that CIG should not have too much problems paying its short term obligations.
The Quick ratio of CIG (1.06) is better than 70.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
CIG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.63%.
The Earnings Per Share has been growing by 26.37% on average over the past years. This is a very strong growth
Looking at the last year, CIG shows a quite strong growth in Revenue. The Revenue has grown by 8.06% in the last year.
CIG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.33% yearly.
EPS 1Y (TTM)-11.63%
EPS 3Y15.64%
EPS 5Y26.37%
EPS Q2Q%-23.08%
Revenue 1Y (TTM)8.06%
Revenue growth 3Y5.78%
Revenue growth 5Y9.33%
Sales Q2Q%8.68%
3.2 Future
The Earnings Per Share is expected to decrease by -25.52% on average over the next years. This is quite bad
Based on estimates for the next years, CIG will show a small growth in Revenue. The Revenue will grow by 0.75% on average per year.
EPS Next Y-47.51%
EPS Next 2Y-30.29%
EPS Next 3Y-25.52%
EPS Next 5YN/A
Revenue Next Year2.76%
Revenue Next 2Y1.38%
Revenue Next 3Y0.75%
Revenue Next 5YN/A
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 4.27, which indicates a rather cheap valuation of CIG.
CIG's Price/Earnings ratio is rather cheap when compared to the industry. CIG is cheaper than 93.62% of the companies in the same industry.
CIG is valuated cheaply when we compare the Price/Earnings ratio to 26.86, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 8.43, which indicates a very decent valuation of CIG.
CIG's Price/Forward Earnings ratio is rather cheap when compared to the industry. CIG is cheaper than 80.85% of the companies in the same industry.
CIG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.27 | ||
| Fwd PE | 8.43 |
4.2 Price Multiples
CIG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CIG is cheaper than 95.74% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CIG indicates a rather cheap valuation: CIG is cheaper than 95.74% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.99 | ||
| EV/EBITDA | 5.77 |
4.3 Compensation for Growth
CIG has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as CIG's earnings are expected to decrease with -25.52% in the coming years.
PEG (NY)N/A
PEG (5Y)0.16
EPS Next 2Y-30.29%
EPS Next 3Y-25.52%
5. Dividend
5.1 Amount
CIG has a Yearly Dividend Yield of 3.10%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.70, CIG is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.43, CIG pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.1% |
5.2 History
The dividend of CIG is nicely growing with an annual growth rate of 36.34%!
CIG has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of CIG decreased recently.
Dividend Growth(5Y)36.34%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
61.32% of the earnings are spent on dividend by CIG. This is not a sustainable payout ratio.
CIG's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP61.32%
EPS Next 2Y-30.29%
EPS Next 3Y-25.52%
NYSE:CIG (6/27/2025, 9:50:07 AM)
1.9208
+0.01 (+0.57%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners62.62%
Inst Owner Change-7.45%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap5.49B
Analysts47.78
Price Target2.11 (9.85%)
Short Float %0.06%
Short Ratio0.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.1% |
Yearly Dividend0.27
Dividend Growth(5Y)36.34%
DP61.32%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.6%
Min EPS beat(2)-25.21%
Max EPS beat(2)36.42%
EPS beat(4)3
Avg EPS beat(4)19.29%
Min EPS beat(4)-25.21%
Max EPS beat(4)61.31%
EPS beat(8)6
Avg EPS beat(8)765.54%
EPS beat(12)9
Avg EPS beat(12)512.66%
EPS beat(16)12
Avg EPS beat(16)407.36%
Revenue beat(2)2
Avg Revenue beat(2)15.46%
Min Revenue beat(2)3.08%
Max Revenue beat(2)27.84%
Revenue beat(4)4
Avg Revenue beat(4)13.47%
Min Revenue beat(4)1.8%
Max Revenue beat(4)27.84%
Revenue beat(8)7
Avg Revenue beat(8)10.69%
Revenue beat(12)9
Avg Revenue beat(12)6.95%
Revenue beat(16)12
Avg Revenue beat(16)10.3%
PT rev (1m)-1.14%
PT rev (3m)5.37%
EPS NQ rev (1m)0%
EPS NQ rev (3m)17.52%
EPS NY rev (1m)0%
EPS NY rev (3m)15.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.27 | ||
| Fwd PE | 8.43 | ||
| P/S | 0.75 | ||
| P/FCF | 6.99 | ||
| P/OCF | 5.84 | ||
| P/B | 1.09 | ||
| P/tB | 2.82 | ||
| EV/EBITDA | 5.77 |
EPS(TTM)0.45
EY23.43%
EPS(NY)0.23
Fwd EY11.87%
FCF(TTM)0.27
FCFY14.31%
OCF(TTM)0.33
OCFY17.13%
SpS2.56
BVpS1.76
TBVpS0.68
PEG (NY)N/A
PEG (5Y)0.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.96% | ||
| ROE | 25.09% | ||
| ROCE | 13.32% | ||
| ROIC | 10.67% | ||
| ROICexc | 10.67% | ||
| ROICexgc | 16.33% | ||
| OM | 16.17% | ||
| PM (TTM) | 17.25% | ||
| GM | 19.8% | ||
| FCFM | 10.76% |
ROA(3y)10.01%
ROA(5y)8.5%
ROE(3y)22.72%
ROE(5y)20.77%
ROIC(3y)11.63%
ROIC(5y)10.86%
ROICexc(3y)11.88%
ROICexc(5y)11.36%
ROICexgc(3y)18.79%
ROICexgc(5y)17.51%
ROCE(3y)14.51%
ROCE(5y)13.56%
ROICexcg growth 3Y-2.21%
ROICexcg growth 5Y18.09%
ROICexc growth 3Y-3.95%
ROICexc growth 5Y15.07%
OM growth 3Y-4.19%
OM growth 5Y7.35%
PM growth 3Y17.03%
PM growth 5Y7.36%
GM growth 3Y0.83%
GM growth 5Y-2.38%
F-Score3
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 3.59 | ||
| Debt/EBITDA | 1.62 | ||
| Cap/Depr | 61.09% | ||
| Cap/Sales | 2.12% | ||
| Interest Coverage | 5.88 | ||
| Cash Conversion | 65.57% | ||
| Profit Quality | 62.37% | ||
| Current Ratio | 1.06 | ||
| Quick Ratio | 1.06 | ||
| Altman-Z | 1.81 |
F-Score3
WACC12.99%
ROIC/WACC0.82
Cap/Depr(3y)63.61%
Cap/Depr(5y)46.13%
Cap/Sales(3y)2.2%
Cap/Sales(5y)1.59%
Profit Quality(3y)104.03%
Profit Quality(5y)139.72%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.63%
EPS 3Y15.64%
EPS 5Y26.37%
EPS Q2Q%-23.08%
EPS Next Y-47.51%
EPS Next 2Y-30.29%
EPS Next 3Y-25.52%
EPS Next 5YN/A
Revenue 1Y (TTM)8.06%
Revenue growth 3Y5.78%
Revenue growth 5Y9.33%
Sales Q2Q%8.68%
Revenue Next Year2.76%
Revenue Next 2Y1.38%
Revenue Next 3Y0.75%
Revenue Next 5YN/A
EBIT growth 1Y-7.22%
EBIT growth 3Y1.34%
EBIT growth 5Y17.37%
EBIT Next Year-8.56%
EBIT Next 3Y-2.95%
EBIT Next 5Y4.23%
FCF growth 1Y-29.63%
FCF growth 3Y9.88%
FCF growth 5Y110.69%
OCF growth 1Y-20.68%
OCF growth 3Y14.28%
OCF growth 5Y21.96%