REDES ENERGETICAS NACIONAIS (RENE.LS)
PTREL0AM0008 - Common Stock
Taking everything into account, RENE scores 4 out of 10 in our fundamental rating. RENE was compared to 13 industry peers in the Multi-Utilities industry. RENE has a medium profitability rating, but doesn't score so well on its financial health evaluation. RENE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
RENE had positive earnings in the past year.
RENE had a positive operating cash flow in the past year.
RENE had positive earnings in each of the past 5 years.
Of the past 5 years RENE 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 3.08%, RENE is doing good in the industry, outperforming 69.23% of the companies in the same industry.
RENE has a worse Return On Equity (11.80%) than 61.54% of its industry peers.
RENE's Return On Invested Capital of 7.61% is amongst the best of the industry. RENE outperforms 84.62% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RENE is below the industry average of 6.41%.
The 3 year average ROIC (4.39%) for RENE is below the current ROIC(7.61%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.08% | ||
| ROE | 11.8% | ||
| ROIC | 7.61% |
ROA(3y)2.02%
ROA(5y)2.07%
ROE(3y)8.04%
ROE(5y)8.02%
ROIC(3y)4.39%
ROIC(5y)4.37%
1.3 Margins
Looking at the Profit Margin, with a value of 11.91%, RENE belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
RENE's Profit Margin has been stable in the last couple of years.
RENE has a better Operating Margin (26.89%) than 92.31% of its industry peers.
RENE's Operating Margin has declined in the last couple of years.
RENE's Gross Margin of 73.22% is amongst the best of the industry. RENE outperforms 92.31% of its industry peers.
In the last couple of years the Gross Margin of RENE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.89% | ||
| PM (TTM) | 11.91% | ||
| GM | 73.22% |
OM growth 3Y-3.68%
OM growth 5Y-5.36%
PM growth 3Y1.48%
PM growth 5Y-1.1%
GM growth 3Y-3.53%
GM growth 5Y-3.19%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RENE is creating some value.
The number of shares outstanding for RENE remains at a similar level compared to 1 year ago.
Compared to 5 years ago, RENE has about the same amount of shares outstanding.
RENE has a worse debt/assets ratio than last year.
2.2 Solvency
RENE has an Altman-Z score of 0.68. This is a bad value and indicates that RENE is not financially healthy and even has some risk of bankruptcy.
RENE's Altman-Z score of 0.68 is on the low side compared to the rest of the industry. RENE is outperformed by 92.31% of its industry peers.
A Debt/Equity ratio of 1.19 is on the high side and indicates that RENE has dependencies on debt financing.
RENE has a better Debt to Equity ratio (1.19) than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.68 |
ROIC/WACC1.46
WACC5.21%
2.3 Liquidity
RENE has a Current Ratio of 0.46. This is a bad value and indicates that RENE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.46, RENE is not doing good in the industry: 92.31% of the companies in the same industry are doing better.
RENE has a Quick Ratio of 0.46. This is a bad value and indicates that RENE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.46, RENE is not doing good in the industry: 92.31% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.46 | ||
| Quick Ratio | 0.46 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 28.40% over the past year.
RENE shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.29% yearly.
Looking at the last year, RENE shows a very strong growth in Revenue. The Revenue has grown by 41.53%.
The Revenue has been growing slightly by 6.39% on average over the past years.
EPS 1Y (TTM)28.4%
EPS 3Y11.2%
EPS 5Y5.29%
EPS Q2Q%139.43%
Revenue 1Y (TTM)41.53%
Revenue growth 3Y9.34%
Revenue growth 5Y6.39%
Sales Q2Q%202.82%
3.2 Future
Based on estimates for the next years, RENE will show a decrease in Earnings Per Share. The EPS will decrease by -1.22% on average per year.
The Revenue is expected to grow by 2.59% on average over the next years.
EPS Next Y-8.89%
EPS Next 2Y-3.84%
EPS Next 3Y-4.12%
EPS Next 5Y-1.22%
Revenue Next Year6.64%
Revenue Next 2Y4.81%
Revenue Next 3Y3.01%
Revenue Next 5Y2.59%
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
Based on the Price/Earnings ratio of 7.45, the valuation of RENE can be described as very cheap.
Based on the Price/Earnings ratio, RENE is valued a bit cheaper than 76.92% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.48, RENE is valued rather cheaply.
RENE is valuated correctly with a Price/Forward Earnings ratio of 13.11.
92.31% of the companies in the same industry are cheaper than RENE, based on the Price/Forward Earnings ratio.
RENE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.95.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.45 | ||
| Fwd PE | 13.11 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
RENE has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as RENE's earnings are expected to decrease with -4.12% in the coming years.
PEG (NY)N/A
PEG (5Y)1.41
EPS Next 2Y-3.84%
EPS Next 3Y-4.12%
5. Dividend
5.1 Amount
RENE has a Yearly Dividend Yield of 6.27%, which is a nice return.
RENE's Dividend Yield is rather good when compared to the industry average which is at 4.96. RENE pays more dividend than 100.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.16, RENE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.27% |
5.2 History
The dividend of RENE decreases each year by -2.07%.
Dividend Growth(5Y)-2.07%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
59.49% of the earnings are spent on dividend by RENE. This is a bit on the high side, but may be sustainable.
RENE's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP59.49%
EPS Next 2Y-3.84%
EPS Next 3Y-4.12%
REDES ENERGETICAS NACIONAIS
ELI:RENE (12/6/2024, 7:00:00 PM)
2.385
0 (0%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.58B
Analysts
Price Target
Short Float %
Short Ratio
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.27% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.45 | ||
| Fwd PE | 13.11 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)1.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.08% | ||
| ROE | 11.8% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 26.89% | ||
| PM (TTM) | 11.91% | ||
| GM | 73.22% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.46 | ||
| Quick Ratio | 0.46 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)28.4%
EPS 3Y11.2%
EPS 5Y
EPS Q2Q%
EPS Next Y-8.89%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)41.53%
Revenue growth 3Y9.34%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y