EDP SA (EDP.LS) Stock Fundamental Analysis
Europe - Euronext Lisbon - ELI:EDP - PTEDP0AM0009 - Common Stock
3.755 EUR
+0.05 (+1.35%)
Overall EDP gets a fundamental rating of 3 out of 10. We evaluated EDP against 25 industry peers in the Electric Utilities industry. While EDP is still in line with the averages on profitability rating, there are concerns on its financial health. While showing a medium growth rate, EDP is valued expensive at the moment. Finally EDP also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
EDP had positive earnings in the past year.
EDP had a positive operating cash flow in the past year.
In the past 5 years EDP has always been profitable.
Each year in the past 5 years EDP had a positive operating cash flow.
1.2 Ratios
EDP has a worse Return On Assets (1.39%) than 88.00% of its industry peers.
EDP has a Return On Equity of 6.95%. This is amonst the worse of the industry: EDP underperforms 84.00% of its industry peers.
EDP has a worse Return On Invested Capital (3.21%) than 76.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EDP is below the industry average of 6.58%.
The 3 year average ROIC (3.20%) for EDP is below the current ROIC(3.21%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.39% | ||
| ROE | 6.95% | ||
| ROIC | 3.21% |
ROA(3y)1.42%
ROA(5y)1.48%
ROE(3y)7.61%
ROE(5y)7.64%
ROIC(3y)3.2%
ROIC(5y)2.94%
1.3 Margins
EDP has a Profit Margin of 4.84%. This is in the lower half of the industry: EDP underperforms 76.00% of its industry peers.
In the last couple of years the Profit Margin of EDP has grown nicely.
EDP has a worse Operating Margin (12.97%) than 72.00% of its industry peers.
In the last couple of years the Operating Margin of EDP has remained more or less at the same level.
EDP's Gross Margin of 43.15% is on the low side compared to the rest of the industry. EDP is outperformed by 68.00% of its industry peers.
EDP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.97% | ||
| PM (TTM) | 4.84% | ||
| GM | 43.15% |
OM growth 3Y16.41%
OM growth 5Y0%
PM growth 3Y6.88%
PM growth 5Y8.43%
GM growth 3Y11.93%
GM growth 5Y4.76%
2. Health
2.1 Basic Checks
EDP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, EDP has more shares outstanding
The number of shares outstanding for EDP has been increased compared to 5 years ago.
EDP has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.80, we must say that EDP is in the distress zone and has some risk of bankruptcy.
EDP has a worse Altman-Z score (0.80) than 72.00% of its industry peers.
EDP has a Debt/Equity ratio of 1.77. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.77, EDP is doing worse than 76.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.8 |
ROIC/WACC0.62
WACC5.19%
2.3 Liquidity
EDP has a Current Ratio of 0.98. This is a bad value and indicates that EDP is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.98, EDP is in the better half of the industry, outperforming 64.00% of the companies in the same industry.
A Quick Ratio of 0.93 indicates that EDP may have some problems paying its short term obligations.
The Quick ratio of EDP (0.93) is better than 64.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
EDP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -41.18%.
Measured over the past years, EDP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.36% on average per year.
The Revenue has decreased by -7.63% in the past year.
Measured over the past years, EDP shows a small growth in Revenue. The Revenue has been growing by 0.87% on average per year.
EPS 1Y (TTM)-41.18%
EPS 3Y5.16%
EPS 5Y8.36%
EPS Q2Q%-25%
Revenue 1Y (TTM)-7.63%
Revenue growth 3Y-0.04%
Revenue growth 5Y0.87%
Sales Q2Q%3.55%
3.2 Future
The Earnings Per Share is expected to grow by 11.79% on average over the next years. This is quite good.
EDP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.78% yearly.
EPS Next Y46.88%
EPS Next 2Y22%
EPS Next 3Y15.33%
EPS Next 5Y11.79%
Revenue Next Year0.41%
Revenue Next 2Y0.35%
Revenue Next 3Y0.94%
Revenue Next 5Y0.78%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.47, the valuation of EDP can be described as rather expensive.
Based on the Price/Earnings ratio, EDP is valued expensively inside the industry as 84.00% of the companies are valued cheaper.
When comparing the Price/Earnings ratio of EDP to the average of the S&P500 Index (26.54), we can say EDP is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 12.61, the valuation of EDP can be described as correct.
80.00% of the companies in the same industry are more expensive than EDP, based on the Price/Forward Earnings ratio.
EDP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.47 | ||
| Fwd PE | 12.61 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as EDP's earnings are expected to grow with 15.33% in the coming years.
PEG (NY)0.5
PEG (5Y)2.81
EPS Next 2Y22%
EPS Next 3Y15.33%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.16%, EDP is a good candidate for dividend investing.
EDP's Dividend Yield is rather good when compared to the industry average which is at 3.58. EDP pays more dividend than 84.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, EDP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.16% |
5.2 History
The dividend of EDP has a limited annual growth rate of 1.06%.
Dividend Growth(5Y)1.06%
Div Incr Years2
Div Non Decr Years4
5.3 Sustainability
EDP pays out 110.52% of its income as dividend. This is not a sustainable payout ratio.
EDP's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP110.52%
EPS Next 2Y22%
EPS Next 3Y15.33%
ELI:EDP (12/12/2025, 7:00:00 PM)
3.755
+0.05 (+1.35%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners37.8%
Inst Owner ChangeN/A
Ins Owners6.84%
Ins Owner ChangeN/A
Market Cap15.71B
Revenue(TTM)14.97B
Net Income(TTM)747.80M
Analysts74.07
Price Target4.6 (22.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.16% |
Yearly Dividend0.2
Dividend Growth(5Y)1.06%
DP110.52%
Div Incr Years2
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)14.87%
Min EPS beat(2)-11.71%
Max EPS beat(2)41.44%
EPS beat(4)1
Avg EPS beat(4)-119.57%
Min EPS beat(4)-496.04%
Max EPS beat(4)41.44%
EPS beat(8)4
Avg EPS beat(8)-58.43%
EPS beat(12)5
Avg EPS beat(12)-47.66%
EPS beat(16)7
Avg EPS beat(16)-35.42%
Revenue beat(2)2
Avg Revenue beat(2)5.69%
Min Revenue beat(2)1.39%
Max Revenue beat(2)9.98%
Revenue beat(4)2
Avg Revenue beat(4)-16.18%
Min Revenue beat(4)-70.83%
Max Revenue beat(4)9.98%
Revenue beat(8)2
Avg Revenue beat(8)-22.25%
Revenue beat(12)3
Avg Revenue beat(12)-17.4%
Revenue beat(16)6
Avg Revenue beat(16)-6.45%
PT rev (1m)0.27%
PT rev (3m)7.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-15.64%
EPS NY rev (1m)-1.84%
EPS NY rev (3m)-2.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.96%
Revenue NY rev (1m)1.54%
Revenue NY rev (3m)5.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.47 | ||
| Fwd PE | 12.61 | ||
| P/S | 1.02 | ||
| P/FCF | N/A | ||
| P/OCF | 3.52 | ||
| P/B | 1.46 | ||
| P/tB | 5.38 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.16
EY4.26%
EPS(NY)0.3
Fwd EY7.93%
FCF(TTM)-0.2
FCFYN/A
OCF(TTM)1.07
OCFY28.41%
SpS3.69
BVpS2.57
TBVpS0.7
PEG (NY)0.5
PEG (5Y)2.81
Graham Number3.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.39% | ||
| ROE | 6.95% | ||
| ROCE | 4.7% | ||
| ROIC | 3.21% | ||
| ROICexc | 3.4% | ||
| ROICexgc | 4.22% | ||
| OM | 12.97% | ||
| PM (TTM) | 4.84% | ||
| GM | 43.15% | ||
| FCFM | N/A |
ROA(3y)1.42%
ROA(5y)1.48%
ROE(3y)7.61%
ROE(5y)7.64%
ROIC(3y)3.2%
ROIC(5y)2.94%
ROICexc(3y)3.53%
ROICexc(5y)3.23%
ROICexgc(3y)4.47%
ROICexgc(5y)4.1%
ROCE(3y)4.68%
ROCE(5y)4.31%
ROICexgc growth 3Y10.82%
ROICexgc growth 5Y-4.38%
ROICexc growth 3Y10.98%
ROICexc growth 5Y-4.28%
OM growth 3Y16.41%
OM growth 5Y0%
PM growth 3Y6.88%
PM growth 5Y8.43%
GM growth 3Y11.93%
GM growth 5Y4.76%
F-Score5
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 34.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 0.8 |
F-Score5
WACC5.19%
ROIC/WACC0.62
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)34.87%
Cap/Sales(5y)31.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-41.18%
EPS 3Y5.16%
EPS 5Y8.36%
EPS Q2Q%-25%
EPS Next Y46.88%
EPS Next 2Y22%
EPS Next 3Y15.33%
EPS Next 5Y11.79%
Revenue 1Y (TTM)-7.63%
Revenue growth 3Y-0.04%
Revenue growth 5Y0.87%
Sales Q2Q%3.55%
Revenue Next Year0.41%
Revenue Next 2Y0.35%
Revenue Next 3Y0.94%
Revenue Next 5Y0.78%
EBIT growth 1Y-8.18%
EBIT growth 3Y16.36%
EBIT growth 5Y0.87%
EBIT Next Year72.78%
EBIT Next 3Y21.28%
EBIT Next 5Y13.7%
FCF growth 1Y80%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y196.9%
OCF growth 3Y27.86%
OCF growth 5Y13.54%
EDP SA / EDP.LS FAQ
Can you provide the ChartMill fundamental rating for EDP SA?
ChartMill assigns a fundamental rating of 3 / 10 to EDP.LS.
Can you provide the valuation status for EDP SA?
ChartMill assigns a valuation rating of 3 / 10 to EDP SA (EDP.LS). This can be considered as Overvalued.
Can you provide the profitability details for EDP SA?
EDP SA (EDP.LS) has a profitability rating of 4 / 10.
What is the valuation of EDP SA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EDP SA (EDP.LS) is 23.47 and the Price/Book (PB) ratio is 1.46.
Is the dividend of EDP SA sustainable?
The dividend rating of EDP SA (EDP.LS) is 7 / 10 and the dividend payout ratio is 110.52%.