GALP ENERGIA SGPS SA (GALP.LS) Stock Fundamental Analysis
Europe - ELI:GALP - PTGAL0AM0009 - Common Stock
16.09 EUR
+0.16 (+1%)
We assign a fundamental rating of 5 out of 10 to GALP. GALP was compared to 64 industry peers in the Oil, Gas & Consumable Fuels industry. While GALP has a great profitability rating, there are some minor concerns on its financial health. GALP is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year GALP was profitable.
In the past year GALP had a positive cash flow from operations.
Of the past 5 years GALP 4 years were profitable.
GALP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GALP has a Return On Assets of 10.39%. This is amongst the best in the industry. GALP outperforms 89.06% of its industry peers.
Looking at the Return On Equity, with a value of 37.22%, GALP belongs to the top of the industry, outperforming 96.88% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 23.37%, GALP belongs to the top of the industry, outperforming 98.44% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GALP is significantly above the industry average of 9.91%.
The 3 year average ROIC (17.67%) for GALP is below the current ROIC(23.37%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.39% | ||
| ROE | 37.22% | ||
| ROIC | 23.37% |
ROA(3y)7.61%
ROA(5y)3.69%
ROE(3y)28.6%
ROE(5y)13.7%
ROIC(3y)17.67%
ROIC(5y)N/A
1.3 Margins
GALP has a Profit Margin of 5.07%. This is in the lower half of the industry: GALP underperforms 62.50% of its industry peers.
In the last couple of years the Profit Margin of GALP has grown nicely.
The Operating Margin of GALP (10.76%) is worse than 70.31% of its industry peers.
In the last couple of years the Operating Margin of GALP has grown nicely.
GALP has a worse Gross Margin (18.68%) than 81.25% of its industry peers.
In the last couple of years the Gross Margin of GALP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.76% | ||
| PM (TTM) | 5.07% | ||
| GM | 18.68% |
OM growth 3Y-0.79%
OM growth 5Y9.34%
PM growth 3Y479.79%
PM growth 5Y15.6%
GM growth 3Y-1.93%
GM growth 5Y4.03%
2. Health
2.1 Basic Checks
GALP has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
GALP has less shares outstanding than it did 1 year ago.
The number of shares outstanding for GALP has been reduced compared to 5 years ago.
The debt/assets ratio for GALP has been reduced compared to a year ago.
2.2 Solvency
GALP has an Altman-Z score of 3.91. This indicates that GALP is financially healthy and has little risk of bankruptcy at the moment.
GALP has a Altman-Z score of 3.91. This is amongst the best in the industry. GALP outperforms 82.81% of its industry peers.
The Debt to FCF ratio of GALP is 9.79, which is on the high side as it means it would take GALP, 9.79 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 9.79, GALP perfoms like the industry average, outperforming 43.75% of the companies in the same industry.
A Debt/Equity ratio of 0.95 indicates that GALP is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.95, GALP is not doing good in the industry: 71.88% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 9.79 | ||
| Altman-Z | 3.91 |
ROIC/WACC3.34
WACC6.99%
2.3 Liquidity
GALP has a Current Ratio of 1.64. This is a normal value and indicates that GALP is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of GALP (1.64) is comparable to the rest of the industry.
A Quick Ratio of 1.32 indicates that GALP should not have too much problems paying its short term obligations.
The Quick ratio of GALP (1.32) is better than 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The earnings per share for GALP have decreased strongly by -14.08% in the last year.
The Earnings Per Share has been growing by 24.04% on average over the past years. This is a very strong growth
The Revenue has decreased by -3.24% in the past year.
GALP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.30% yearly.
EPS 1Y (TTM)-14.08%
EPS 3Y32.86%
EPS 5Y24.04%
EPS Q2Q%30.77%
Revenue 1Y (TTM)-3.24%
Revenue growth 3Y10.08%
Revenue growth 5Y5.3%
Sales Q2Q%-14.22%
3.2 Future
Based on estimates for the next years, GALP will show a small growth in Earnings Per Share. The EPS will grow by 4.03% on average per year.
The Revenue is expected to decrease by -2.10% on average over the next years.
EPS Next Y-5.31%
EPS Next 2Y-0.67%
EPS Next 3Y1.21%
EPS Next 5Y4.03%
Revenue Next Year-7.95%
Revenue Next 2Y-1.36%
Revenue Next 3Y0.57%
Revenue Next 5Y-2.1%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.19, which indicates a correct valuation of GALP.
The rest of the industry has a similar Price/Earnings ratio as GALP.
The average S&P500 Price/Earnings ratio is at 27.41. GALP is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 12.64 indicates a correct valuation of GALP.
The rest of the industry has a similar Price/Forward Earnings ratio as GALP.
GALP's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.19 | ||
| Fwd PE | 12.64 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GALP is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.16 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
GALP has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.55
EPS Next 2Y-0.67%
EPS Next 3Y1.21%
5. Dividend
5.1 Amount
GALP has a Yearly Dividend Yield of 4.10%, which is a nice return.
Compared to an average industry Dividend Yield of 55.18, GALP has a dividend in line with its industry peers.
GALP's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
5.2 History
The dividend of GALP decreases each year by -6.04%.
Dividend Growth(5Y)-6.04%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
28.80% of the earnings are spent on dividend by GALP. This is a low number and sustainable payout ratio.
DP28.8%
EPS Next 2Y-0.67%
EPS Next 3Y1.21%
ELI:GALP (9/24/2025, 1:12:02 PM)
16.09
+0.16 (+1%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners38.21%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap11.19B
Analysts75.86
Price Target19 (18.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
Yearly Dividend0.55
Dividend Growth(5Y)-6.04%
DP28.8%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)46.62%
Min EPS beat(2)-3.79%
Max EPS beat(2)97.02%
EPS beat(4)2
Avg EPS beat(4)13.38%
Min EPS beat(4)-58.35%
Max EPS beat(4)97.02%
EPS beat(8)5
Avg EPS beat(8)14.63%
EPS beat(12)6
Avg EPS beat(12)9.46%
EPS beat(16)8
Avg EPS beat(16)7.93%
Revenue beat(2)2
Avg Revenue beat(2)11.73%
Min Revenue beat(2)9.15%
Max Revenue beat(2)14.31%
Revenue beat(4)4
Avg Revenue beat(4)11.28%
Min Revenue beat(4)9.15%
Max Revenue beat(4)14.31%
Revenue beat(8)5
Avg Revenue beat(8)6.15%
Revenue beat(12)8
Avg Revenue beat(12)19.26%
Revenue beat(16)10
Avg Revenue beat(16)20.21%
PT rev (1m)0.24%
PT rev (3m)1.32%
EPS NQ rev (1m)0.05%
EPS NQ rev (3m)-2.46%
EPS NY rev (1m)0%
EPS NY rev (3m)21.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-15.55%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)5.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.19 | ||
| Fwd PE | 12.64 | ||
| P/S | 0.35 | ||
| P/FCF | 22.16 | ||
| P/OCF | 6.44 | ||
| P/B | 2.59 | ||
| P/tB | 3.08 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.22
EY7.58%
EPS(NY)1.27
Fwd EY7.91%
FCF(TTM)0.73
FCFY4.51%
OCF(TTM)2.5
OCFY15.53%
SpS45.65
BVpS6.22
TBVpS5.23
PEG (NY)N/A
PEG (5Y)0.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.39% | ||
| ROE | 37.22% | ||
| ROCE | 29.58% | ||
| ROIC | 23.37% | ||
| ROICexc | 30.37% | ||
| ROICexgc | 32.94% | ||
| OM | 10.76% | ||
| PM (TTM) | 5.07% | ||
| GM | 18.68% | ||
| FCFM | 1.59% |
ROA(3y)7.61%
ROA(5y)3.69%
ROE(3y)28.6%
ROE(5y)13.7%
ROIC(3y)17.67%
ROIC(5y)N/A
ROICexc(3y)21.92%
ROICexc(5y)N/A
ROICexgc(3y)23.69%
ROICexgc(5y)N/A
ROCE(3y)22.45%
ROCE(5y)N/A
ROICexcg growth 3Y2.22%
ROICexcg growth 5Y13.45%
ROICexc growth 3Y2.72%
ROICexc growth 5Y13.4%
OM growth 3Y-0.79%
OM growth 5Y9.34%
PM growth 3Y479.79%
PM growth 5Y15.6%
GM growth 3Y-1.93%
GM growth 5Y4.03%
F-Score5
Asset Turnover2.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 9.79 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 3.88% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 31.35% | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 3.91 |
F-Score5
WACC6.99%
ROIC/WACC3.34
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)5.08%
Cap/Sales(5y)5.11%
Profit Quality(3y)124.07%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-14.08%
EPS 3Y32.86%
EPS 5Y24.04%
EPS Q2Q%30.77%
EPS Next Y-5.31%
EPS Next 2Y-0.67%
EPS Next 3Y1.21%
EPS Next 5Y4.03%
Revenue 1Y (TTM)-3.24%
Revenue growth 3Y10.08%
Revenue growth 5Y5.3%
Sales Q2Q%-14.22%
Revenue Next Year-7.95%
Revenue Next 2Y-1.36%
Revenue Next 3Y0.57%
Revenue Next 5Y-2.1%
EBIT growth 1Y-26.13%
EBIT growth 3Y9.22%
EBIT growth 5Y15.14%
EBIT Next Year5.34%
EBIT Next 3Y8.77%
EBIT Next 5Y5.78%
FCF growth 1Y-76.86%
FCF growth 3Y61.5%
FCF growth 5Y8.07%
OCF growth 1Y-48.32%
OCF growth 3Y33.93%
OCF growth 5Y5.97%