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IREN SPA (IRE.MI) Stock Fundamental Analysis

BIT:IRE - Euronext Milan - IT0003027817 - Common Stock - Currency: EUR

2.528  -0.01 (-0.24%)

Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to IRE. IRE was compared to 12 industry peers in the Multi-Utilities industry. IRE has a medium profitability rating, but doesn't score so well on its financial health evaluation. IRE may be a bit undervalued, certainly considering the very reasonable score on growth IRE also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

IRE had positive earnings in the past year.
In the past year IRE had a positive cash flow from operations.
Each year in the past 5 years IRE has been profitable.
In the past 5 years IRE always reported a positive cash flow from operatings.
IRE.MI Yearly Net Income VS EBIT VS OCF VS FCFIRE.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M 800M 1B

1.2 Ratios

IRE has a Return On Assets (3.59%) which is in line with its industry peers.
IRE has a Return On Equity of 15.23%. This is in the better half of the industry: IRE outperforms 66.67% of its industry peers.
With a Return On Invested Capital value of 6.39%, IRE perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for IRE is below the industry average of 6.55%.
The last Return On Invested Capital (6.39%) for IRE is above the 3 year average (4.03%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 3.59%
ROE 15.23%
ROIC 6.39%
ROA(3y)2.1%
ROA(5y)2.36%
ROE(3y)8.88%
ROE(5y)9.69%
ROIC(3y)4.03%
ROIC(5y)4.1%
IRE.MI Yearly ROA, ROE, ROICIRE.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

1.3 Margins

The Profit Margin of IRE (4.93%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of IRE has declined.
Looking at the Operating Margin, with a value of 9.50%, IRE is in line with its industry, outperforming 41.67% of the companies in the same industry.
IRE's Operating Margin has declined in the last couple of years.
IRE's Gross Margin of 63.19% is amongst the best of the industry. IRE outperforms 83.33% of its industry peers.
IRE's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 9.5%
PM (TTM) 4.93%
GM 63.19%
OM growth 3Y-3.32%
OM growth 5Y-4.67%
PM growth 3Y-10.2%
PM growth 5Y-4.72%
GM growth 3Y2.02%
GM growth 5Y-0.89%
IRE.MI Yearly Profit, Operating, Gross MarginsIRE.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

2

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), IRE is creating some value.
The number of shares outstanding for IRE remains at a similar level compared to 1 year ago.
The number of shares outstanding for IRE has been reduced compared to 5 years ago.
The debt/assets ratio for IRE is higher compared to a year ago.
IRE.MI Yearly Shares OutstandingIRE.MI Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B
IRE.MI Yearly Total Debt VS Total AssetsIRE.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

IRE has an Altman-Z score of 1.30. This is a bad value and indicates that IRE is not financially healthy and even has some risk of bankruptcy.
IRE has a better Altman-Z score (1.30) than 75.00% of its industry peers.
The Debt to FCF ratio of IRE is 19.79, which is on the high side as it means it would take IRE, 19.79 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of IRE (19.79) is comparable to the rest of the industry.
IRE has a Debt/Equity ratio of 1.71. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.71, IRE is doing worse than 75.00% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 1.71
Debt/FCF 19.79
Altman-Z 1.3
ROIC/WACC1.43
WACC4.48%
IRE.MI Yearly LT Debt VS Equity VS FCFIRE.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B 2B 3B 4B

2.3 Liquidity

IRE has a Current Ratio of 0.89. This is a bad value and indicates that IRE is not financially healthy enough and could expect problems in meeting its short term obligations.
IRE has a worse Current ratio (0.89) than 75.00% of its industry peers.
IRE has a Quick Ratio of 0.89. This is a bad value and indicates that IRE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.86, IRE perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.89
Quick Ratio 0.86
IRE.MI Yearly Current Assets VS Current LiabilitesIRE.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

4

3. Growth

3.1 Past

IRE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.90%, which is quite good.
IRE shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.80% yearly.
IRE shows a small growth in Revenue. In the last year, the Revenue has grown by 1.83%.
The Revenue has been growing slightly by 7.66% on average over the past years.
EPS 1Y (TTM)9.9%
EPS 3Y-3.11%
EPS 5Y2.8%
EPS Q2Q%11.03%
Revenue 1Y (TTM)1.83%
Revenue growth 3Y6.94%
Revenue growth 5Y7.66%
Sales Q2Q%33.26%

3.2 Future

Based on estimates for the next years, IRE will show a small growth in Earnings Per Share. The EPS will grow by 5.75% on average per year.
IRE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.38% yearly.
EPS Next Y14.17%
EPS Next 2Y7.19%
EPS Next 3Y5.75%
EPS Next 5YN/A
Revenue Next Year15.47%
Revenue Next 2Y7.4%
Revenue Next 3Y5.41%
Revenue Next 5Y1.38%

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 accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
IRE.MI Yearly Revenue VS EstimatesIRE.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B
IRE.MI Yearly EPS VS EstimatesIRE.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.05 0.1 0.15 0.2

7

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 7.22, the valuation of IRE can be described as very cheap.
Based on the Price/Earnings ratio, IRE is valued cheaper than 91.67% of the companies in the same industry.
IRE is valuated cheaply when we compare the Price/Earnings ratio to 27.51, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 10.48, the valuation of IRE can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IRE indicates a somewhat cheap valuation: IRE is cheaper than 66.67% of the companies listed in the same industry.
IRE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.58.
Industry RankSector Rank
PE 7.22
Fwd PE 10.48
IRE.MI Price Earnings VS Forward Price EarningsIRE.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, IRE is valued cheaper than 91.67% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as IRE.
Industry RankSector Rank
P/FCF 13
EV/EBITDA 5.01
IRE.MI Per share dataIRE.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 4 6

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.
PEG (NY)0.51
PEG (5Y)2.58
EPS Next 2Y7.19%
EPS Next 3Y5.75%

7

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 5.15%, IRE is a good candidate for dividend investing.
IRE's Dividend Yield is a higher than the industry average which is at 5.01.
Compared to an average S&P500 Dividend Yield of 2.35, IRE pays a better dividend.
Industry RankSector Rank
Dividend Yield 5.15%

5.2 History

On average, the dividend of IRE grows each year by 15.97%, which is quite nice.
Dividend Growth(5Y)15.97%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

43.33% of the earnings are spent on dividend by IRE. This is a bit on the high side, but may be sustainable.
IRE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.33%
EPS Next 2Y7.19%
EPS Next 3Y5.75%
IRE.MI Yearly Income VS Free CF VS DividendIRE.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M -100M 200M 300M
IRE.MI Dividend Payout.IRE.MI Dividend Payout, showing the Payout Ratio.IRE.MI Dividend Payout.PayoutRetained Earnings

IREN SPA

BIT:IRE (7/15/2025, 5:35:30 PM)

2.528

-0.01 (-0.24%)

Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)05-15 2025-05-15
Earnings (Next)07-30 2025-07-30
Inst Owners13.33%
Inst Owner ChangeN/A
Ins Owners3.85%
Ins Owner ChangeN/A
Market Cap3.29B
Analysts86.67
Price Target2.85 (12.74%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 5.15%
Yearly Dividend0.15
Dividend Growth(5Y)15.97%
DP43.33%
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)0%
PT rev (3m)5.28%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)5.33%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)13.47%
Valuation
Industry RankSector Rank
PE 7.22
Fwd PE 10.48
P/S 0.37
P/FCF 13
P/OCF 3.04
P/B 1.14
P/tB N/A
EV/EBITDA 5.01
EPS(TTM)0.35
EY13.84%
EPS(NY)0.24
Fwd EY9.54%
FCF(TTM)0.19
FCFY7.69%
OCF(TTM)0.83
OCFY32.94%
SpS6.82
BVpS2.21
TBVpS-0.56
PEG (NY)0.51
PEG (5Y)2.58
Profitability
Industry RankSector Rank
ROA 3.59%
ROE 15.23%
ROCE 9.33%
ROIC 6.39%
ROICexc 6.62%
ROICexgc 10.9%
OM 9.5%
PM (TTM) 4.93%
GM 63.19%
FCFM 2.85%
ROA(3y)2.1%
ROA(5y)2.36%
ROE(3y)8.88%
ROE(5y)9.69%
ROIC(3y)4.03%
ROIC(5y)4.1%
ROICexc(3y)4.46%
ROICexc(5y)4.62%
ROICexgc(3y)7.57%
ROICexgc(5y)7.78%
ROCE(3y)5.79%
ROCE(5y)5.81%
ROICexcg growth 3Y-9.11%
ROICexcg growth 5Y-2.08%
ROICexc growth 3Y-7.83%
ROICexc growth 5Y-3.46%
OM growth 3Y-3.32%
OM growth 5Y-4.67%
PM growth 3Y-10.2%
PM growth 5Y-4.72%
GM growth 3Y2.02%
GM growth 5Y-0.89%
F-Score5
Asset Turnover0.73
Health
Industry RankSector Rank
Debt/Equity 1.71
Debt/FCF 19.79
Debt/EBITDA 3.28
Cap/Depr 126.66%
Cap/Sales 9.35%
Interest Coverage 6.73
Cash Conversion 72.29%
Profit Quality 57.75%
Current Ratio 0.89
Quick Ratio 0.86
Altman-Z 1.3
F-Score5
WACC4.48%
ROIC/WACC1.43
Cap/Depr(3y)147.56%
Cap/Depr(5y)N/A
Cap/Sales(3y)13.17%
Cap/Sales(5y)14.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.9%
EPS 3Y-3.11%
EPS 5Y2.8%
EPS Q2Q%11.03%
EPS Next Y14.17%
EPS Next 2Y7.19%
EPS Next 3Y5.75%
EPS Next 5YN/A
Revenue 1Y (TTM)1.83%
Revenue growth 3Y6.94%
Revenue growth 5Y7.66%
Sales Q2Q%33.26%
Revenue Next Year15.47%
Revenue Next 2Y7.4%
Revenue Next 3Y5.41%
Revenue Next 5Y1.38%
EBIT growth 1Y11.03%
EBIT growth 3Y3.4%
EBIT growth 5Y2.64%
EBIT Next Year157.81%
EBIT Next 3Y41.03%
EBIT Next 5Y23.84%
FCF growth 1Y235.77%
FCF growth 3Y9.49%
FCF growth 5Y4.74%
OCF growth 1Y59.22%
OCF growth 3Y4.45%
OCF growth 5Y8.37%