REDEIA CORP SA (RE21.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:RE21 - ES0173093024 - Common Stock
14.37 EUR
-0.11 (-0.76%)
We assign a fundamental rating of 4 out of 10 to RE21. RE21 was compared to 26 industry peers in the Electric Utilities industry. RE21 has an average financial health and profitability rating. RE21 is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- RE21 had positive earnings in the past year.
- In the past year RE21 had a positive cash flow from operations.
- In the past 5 years RE21 has always been profitable.
- RE21 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- RE21's Return On Assets of 2.40% is on the low side compared to the rest of the industry. RE21 is outperformed by 76.92% of its industry peers.
- RE21's Return On Equity of 7.22% is on the low side compared to the rest of the industry. RE21 is outperformed by 76.92% of its industry peers.
- With a Return On Invested Capital value of 4.68%, RE21 perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
- RE21 had an Average Return On Invested Capital over the past 3 years of 5.40%. This is in line with the industry average of 6.56%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.4% | ||
| ROE | 7.22% | ||
| ROIC | 4.68% |
ROA(3y)3.9%
ROA(5y)4.28%
ROE(3y)11.26%
ROE(5y)14.12%
ROIC(3y)5.4%
ROIC(5y)6%
1.3 Margins
- The Profit Margin of RE21 (24.65%) is better than 96.15% of its industry peers.
- In the last couple of years the Profit Margin of RE21 has declined.
- RE21 has a better Operating Margin (47.96%) than 100.00% of its industry peers.
- In the last couple of years the Operating Margin of RE21 has declined.
- RE21's Gross Margin of 103.82% is amongst the best of the industry. RE21 outperforms 96.15% of its industry peers.
- RE21's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47.96% | ||
| PM (TTM) | 24.65% | ||
| GM | 103.82% |
OM growth 3Y-3.37%
OM growth 5Y-3.68%
PM growth 3Y-12.8%
PM growth 5Y-8.28%
GM growth 3Y0.16%
GM growth 5Y0.22%
2. Health
2.1 Basic Checks
- RE21 has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- RE21 has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for RE21 has been increased compared to 5 years ago.
- RE21 has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.13, we must say that RE21 is in the distress zone and has some risk of bankruptcy.
- RE21 has a Altman-Z score (1.13) which is comparable to the rest of the industry.
- The Debt to FCF ratio of RE21 is 7.46, which is on the high side as it means it would take RE21, 7.46 years of fcf income to pay off all of its debts.
- RE21's Debt to FCF ratio of 7.46 is amongst the best of the industry. RE21 outperforms 84.62% of its industry peers.
- A Debt/Equity ratio of 0.93 indicates that RE21 is somewhat dependend on debt financing.
- RE21 has a Debt to Equity ratio of 0.93. This is in the better half of the industry: RE21 outperforms 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 7.46 | ||
| Altman-Z | 1.13 |
ROIC/WACC0.91
WACC5.13%
2.3 Liquidity
- A Current Ratio of 1.03 indicates that RE21 should not have too much problems paying its short term obligations.
- The Current ratio of RE21 (1.03) is better than 65.38% of its industry peers.
- RE21 has a Quick Ratio of 1.03. This is a bad value and indicates that RE21 is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.99, RE21 is in the better half of the industry, outperforming 65.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
- The earnings per share for RE21 have decreased strongly by -33.16% in the last year.
- RE21 shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -14.24% yearly.
- RE21 shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -23.01%.
- RE21 shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.50% yearly.
EPS 1Y (TTM)-33.16%
EPS 3Y-21.18%
EPS 5Y-14.24%
EPS Q2Q%-15.38%
Revenue 1Y (TTM)-23.01%
Revenue growth 3Y-6.54%
Revenue growth 5Y-4.5%
Sales Q2Q%-10.49%
3.2 Future
- Based on estimates for the next years, RE21 will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.25% on average per year.
- Based on estimates for the next years, RE21 will show a small growth in Revenue. The Revenue will grow by 2.21% on average per year.
EPS Next Y52.81%
EPS Next 2Y24.59%
EPS Next 3Y17.08%
EPS Next 5Y12.25%
Revenue Next Year-8.45%
Revenue Next 2Y-2.46%
Revenue Next 3Y-0.18%
Revenue Next 5Y2.21%
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
- With a Price/Earnings ratio of 22.11, RE21 is valued on the expensive side.
- RE21's Price/Earnings ratio is a bit more expensive when compared to the industry. RE21 is more expensive than 65.38% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, RE21 is valued at the same level.
- The Price/Forward Earnings ratio is 15.00, which indicates a correct valuation of RE21.
- RE21's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. RE21 is cheaper than 69.23% of the companies in the same industry.
- RE21's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.11 | ||
| Fwd PE | 15 |
4.2 Price Multiples
- RE21's Enterprise Value to EBITDA is on the same level as the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of RE21 indicates a rather cheap valuation: RE21 is cheaper than 96.15% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.37 | ||
| EV/EBITDA | 11.32 |
4.3 Compensation for Growth
- RE21's 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 RE21's earnings are expected to grow with 17.08% in the coming years.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y24.59%
EPS Next 3Y17.08%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.37%, RE21 is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 3.03, RE21 pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, RE21 pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.37% |
5.2 History
- The dividend of RE21 has a limited annual growth rate of 1.50%.
Dividend Growth(5Y)1.5%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
- RE21 pays out 144.14% of its income as dividend. This is not a sustainable payout ratio.
- RE21's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP144.14%
EPS Next 2Y24.59%
EPS Next 3Y17.08%
REDEIA CORP SA / RE21.DE FAQ
Can you provide the ChartMill fundamental rating for REDEIA CORP SA?
ChartMill assigns a fundamental rating of 4 / 10 to RE21.DE.
What is the valuation status of REDEIA CORP SA (RE21.DE) stock?
ChartMill assigns a valuation rating of 5 / 10 to REDEIA CORP SA (RE21.DE). This can be considered as Fairly Valued.
How profitable is REDEIA CORP SA (RE21.DE) stock?
REDEIA CORP SA (RE21.DE) has a profitability rating of 5 / 10.
What is the financial health of REDEIA CORP SA (RE21.DE) stock?
The financial health rating of REDEIA CORP SA (RE21.DE) is 4 / 10.
Is the dividend of REDEIA CORP SA sustainable?
The dividend rating of REDEIA CORP SA (RE21.DE) is 6 / 10 and the dividend payout ratio is 144.14%.