ITALGAS SPA (IG.MI) Stock Fundamental Analysis
BIT:IG - Euronext Milan - IT0005211237 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to IG. IG was compared to 5 industry peers in the Gas Utilities industry. While IG belongs to the best of the industry regarding profitability, there are concerns on its financial health. IG is not valued too expensively and it also shows a decent growth rate. IG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
IG had positive earnings in the past year.
IG had positive earnings in each of the past 5 years.
In the past 5 years IG always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 5.40%, IG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Equity value of 29.22%, IG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.35%, IG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
IG had an Average Return On Invested Capital over the past 3 years of 5.76%. This is in line with the industry average of 6.67%.
The 3 year average ROIC (5.76%) for IG is below the current ROIC(8.35%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.4% | ||
| ROE | 29.22% | ||
| ROIC | 8.35% |
ROA(3y)3.88%
ROA(5y)3.89%
ROE(3y)19.36%
ROE(5y)19.88%
ROIC(3y)5.76%
ROIC(5y)5.76%
1.3 Margins
IG has a better Profit Margin (21.78%) than 80.00% of its industry peers.
In the last couple of years the Profit Margin of IG has declined.
IG has a better Operating Margin (37.31%) than 80.00% of its industry peers.
In the last couple of years the Operating Margin of IG has grown nicely.
IG's Gross Margin of 65.60% is fine compared to the rest of the industry. IG outperforms 80.00% of its industry peers.
In the last couple of years the Gross Margin of IG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.31% | ||
| PM (TTM) | 21.78% | ||
| GM | 65.6% |
OM growth 3Y5.85%
OM growth 5Y2.8%
PM growth 3Y3.77%
PM growth 5Y-3.36%
GM growth 3Y0.16%
GM growth 5Y0.23%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so IG is creating value.
IG has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, IG has more shares outstanding
The debt/assets ratio for IG has been reduced compared to a year ago.
2.2 Solvency
IG has an Altman-Z score of 1.05. This is a bad value and indicates that IG is not financially healthy and even has some risk of bankruptcy.
IG has a worse Altman-Z score (1.05) than 60.00% of its industry peers.
A Debt/Equity ratio of 3.23 is on the high side and indicates that IG has dependencies on debt financing.
IG has a worse Debt to Equity ratio (3.23) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.23 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.05 |
ROIC/WACC1.93
WACC4.32%
2.3 Liquidity
IG has a Current Ratio of 1.18. This is a normal value and indicates that IG is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.18, IG is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
IG has a Quick Ratio of 1.16. This is a normal value and indicates that IG is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.16, IG perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.12% over the past year.
The Earnings Per Share has been growing slightly by 2.74% on average over the past years.
The Revenue has been growing slightly by 5.79% in the past year.
IG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.37% yearly.
EPS 1Y (TTM)16.12%
EPS 3Y9.62%
EPS 5Y2.74%
EPS Q2Q%43.28%
Revenue 1Y (TTM)5.79%
Revenue growth 3Y5.71%
Revenue growth 5Y6.37%
Sales Q2Q%49.26%
3.2 Future
The Earnings Per Share is expected to grow by 8.83% on average over the next years. This is quite good.
Based on estimates for the next years, IG will show a quite strong growth in Revenue. The Revenue will grow by 12.23% on average per year.
EPS Next Y5.98%
EPS Next 2Y4.58%
EPS Next 3Y6%
EPS Next 5Y8.83%
Revenue Next Year26.86%
Revenue Next 2Y19.19%
Revenue Next 3Y15.84%
Revenue Next 5Y12.23%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.28 indicates a rather cheap valuation of IG.
Compared to the rest of the industry, the Price/Earnings ratio of IG indicates a rather cheap valuation: IG is cheaper than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.30, IG is valued rather cheaply.
IG is valuated reasonably with a Price/Forward Earnings ratio of 10.35.
Based on the Price/Forward Earnings ratio, IG is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
IG is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.28 | ||
| Fwd PE | 10.35 |
4.2 Price Multiples
IG's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.86 |
4.3 Compensation for Growth
IG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of IG may justify a higher PE ratio.
PEG (NY)1.22
PEG (5Y)2.66
EPS Next 2Y4.58%
EPS Next 3Y6%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.91%, IG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.59, IG pays a bit more dividend than its industry peers.
IG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
5.2 History
The dividend of IG is nicely growing with an annual growth rate of 7.56%!
Dividend Growth(5Y)7.56%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
39.05% of the earnings are spent on dividend by IG. This is a low number and sustainable payout ratio.
IG's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP39.05%
EPS Next 2Y4.58%
EPS Next 3Y6%
BIT:IG (7/11/2025, 7:00:00 PM)
6.92
+0.05 (+0.73%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners30.66%
Inst Owner ChangeN/A
Ins Owners3.38%
Ins Owner ChangeN/A
Market Cap7.02B
Analysts77
Price Target6.96 (0.58%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
Yearly Dividend0.37
Dividend Growth(5Y)7.56%
DP39.05%
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)3.12%
PT rev (3m)9.27%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)3.12%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)8.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.28 | ||
| Fwd PE | 10.35 | ||
| P/S | 1.59 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.14 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.86 |
EPS(TTM)0.95
EY13.73%
EPS(NY)0.67
Fwd EY9.66%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS4.34
BVpS3.24
TBVpS-7.68
PEG (NY)1.22
PEG (5Y)2.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.4% | ||
| ROE | 29.22% | ||
| ROCE | 12.03% | ||
| ROIC | 8.35% | ||
| ROICexc | 10.58% | ||
| ROICexgc | 129.66% | ||
| OM | 37.31% | ||
| PM (TTM) | 21.78% | ||
| GM | 65.6% | ||
| FCFM | N/A |
ROA(3y)3.88%
ROA(5y)3.89%
ROE(3y)19.36%
ROE(5y)19.88%
ROIC(3y)5.76%
ROIC(5y)5.76%
ROICexc(3y)5.99%
ROICexc(5y)6.22%
ROICexgc(3y)75.97%
ROICexgc(5y)N/A
ROCE(3y)7.65%
ROCE(5y)7.56%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y2.21%
ROICexc growth 5Y1.43%
OM growth 3Y5.85%
OM growth 5Y2.8%
PM growth 3Y3.77%
PM growth 5Y-3.36%
GM growth 3Y0.16%
GM growth 5Y0.23%
F-ScoreN/A
Asset Turnover0.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.23 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.59 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z | 1.05 |
F-ScoreN/A
WACC4.32%
ROIC/WACC1.93
Cap/Depr(3y)164.61%
Cap/Depr(5y)169.68%
Cap/Sales(3y)35.08%
Cap/Sales(5y)36.12%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.12%
EPS 3Y9.62%
EPS 5Y2.74%
EPS Q2Q%43.28%
EPS Next Y5.98%
EPS Next 2Y4.58%
EPS Next 3Y6%
EPS Next 5Y8.83%
Revenue 1Y (TTM)5.79%
Revenue growth 3Y5.71%
Revenue growth 5Y6.37%
Sales Q2Q%49.26%
Revenue Next Year26.86%
Revenue Next 2Y19.19%
Revenue Next 3Y15.84%
Revenue Next 5Y12.23%
EBIT growth 1Y17.72%
EBIT growth 3Y11.89%
EBIT growth 5Y9.35%
EBIT Next Year112.73%
EBIT Next 3Y37.6%
EBIT Next 5Y25.24%
FCF growth 1Y171.24%
FCF growth 3Y117.41%
FCF growth 5Y51.61%
OCF growth 1Y91.86%
OCF growth 3Y9.38%
OCF growth 5Y8.67%