REDES ENERGETICAS NACIONAIS (RENE.LS) Stock Fundamental Analysis
ELI:RENE - Euronext Lisbon - PTREL0AM0008 - Common Stock - Currency: EUR
Taking everything into account, RENE scores 5 out of 10 in our fundamental rating. RENE was compared to 12 industry peers in the Multi-Utilities industry. RENE has an excellent profitability rating, but there are concerns on its financial health. RENE has a valuation in line with the averages, but it does not seem to be growing.
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.
RENE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
RENE has a Return On Assets of 3.86%. This is in the better half of the industry: RENE outperforms 66.67% of its industry peers.
The Return On Equity of RENE (12.94%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 8.00%, RENE belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
RENE had an Average Return On Invested Capital over the past 3 years of 5.36%. This is in line with the industry average of 6.55%.
The 3 year average ROIC (5.36%) for RENE is below the current ROIC(8.00%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.86% | ||
| ROE | 12.94% | ||
| ROIC | 8% |
ROA(3y)2.39%
ROA(5y)2.2%
ROE(3y)9.02%
ROE(5y)8.34%
ROIC(3y)5.36%
ROIC(5y)4.97%
1.3 Margins
Looking at the Profit Margin, with a value of 13.30%, RENE belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
In the last couple of years the Profit Margin of RENE has remained more or less at the same level.
With an excellent Operating Margin value of 24.61%, RENE belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
RENE's Operating Margin has declined in the last couple of years.
RENE's Gross Margin of 70.43% is amongst the best of the industry. RENE outperforms 91.67% of its industry peers.
RENE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.61% | ||
| PM (TTM) | 13.3% | ||
| GM | 70.43% |
OM growth 3Y-3.06%
OM growth 5Y-5.7%
PM growth 3Y8.45%
PM growth 5Y-0.44%
GM growth 3Y-2.57%
GM growth 5Y-2.77%
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.
RENE has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, RENE has about the same debt to assets ratio.
2.2 Solvency
RENE has an Altman-Z score of 0.87. This is a bad value and indicates that RENE is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of RENE (0.87) is comparable to the rest of the industry.
The Debt to FCF ratio of RENE is 6.51, which is on the high side as it means it would take RENE, 6.51 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 6.51, RENE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
RENE has a Debt/Equity ratio of 1.03. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of RENE (1.03) is better than 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 6.51 | ||
| Altman-Z | 0.87 |
ROIC/WACC1.37
WACC5.83%
2.3 Liquidity
A Current Ratio of 0.33 indicates that RENE may have some problems paying its short term obligations.
With a Current ratio value of 0.33, RENE is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
RENE has a Quick Ratio of 0.33. This is a bad value and indicates that RENE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of RENE (0.33) is worse than 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.33 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.91% over the past year.
Measured over the past 5 years, RENE shows a small growth in Earnings Per Share. The EPS has been growing by 5.29% on average per year.
The Revenue has been growing slightly by 5.94% in the past year.
Measured over the past years, RENE shows a small growth in Revenue. The Revenue has been growing by 5.57% on average per year.
EPS 1Y (TTM)7.91%
EPS 3Y16.26%
EPS 5Y5.29%
EPS Q2Q%N/A
Revenue 1Y (TTM)5.94%
Revenue growth 3Y7.16%
Revenue growth 5Y5.57%
Sales Q2Q%14.01%
3.2 Future
The Earnings Per Share is expected to decrease by -3.05% on average over the next years.
Based on estimates for the next years, RENE will show a small growth in Revenue. The Revenue will grow by 0.06% on average per year.
EPS Next Y2.56%
EPS Next 2Y2.95%
EPS Next 3Y2.5%
EPS Next 5Y-3.05%
Revenue Next Year3.99%
Revenue Next 2Y3.82%
Revenue Next 3Y4.14%
Revenue Next 5Y0.06%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.59, the valuation of RENE can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of RENE indicates a somewhat cheap valuation: RENE is cheaper than 66.67% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. RENE is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 14.56, which indicates a correct valuation of RENE.
83.33% of the companies in the same industry are cheaper than RENE, based on the Price/Forward Earnings ratio.
RENE is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.33, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.59 | ||
| Fwd PE | 14.56 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RENE indicates a rather cheap valuation: RENE is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.67 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RENE does not grow enough to justify the current Price/Earnings ratio.
RENE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)4.13
PEG (5Y)2
EPS Next 2Y2.95%
EPS Next 3Y2.5%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.16%, RENE is a good candidate for dividend investing.
RENE's Dividend Yield is rather good when compared to the industry average which is at 5.01. RENE pays more dividend than 83.33% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, RENE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.16% |
5.2 History
The dividend of RENE decreases each year by -2.07%.
Dividend Growth(5Y)-2.07%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
50.42% 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.
DP50.42%
EPS Next 2Y2.95%
EPS Next 3Y2.5%
ELI:RENE (7/15/2025, 7:00:00 PM)
3.07
-0.03 (-0.81%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners26.1%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.05B
Analysts73.85
Price Target3.06 (-0.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.16% |
Yearly Dividend0.15
Dividend Growth(5Y)-2.07%
DP50.42%
Div Incr Years0
Div Non Decr Years1
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)0.48%
PT rev (3m)6.06%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.59 | ||
| Fwd PE | 14.56 | ||
| P/S | 1.34 | ||
| P/FCF | 5.67 | ||
| P/OCF | 2.88 | ||
| P/B | 1.31 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.29
EY9.45%
EPS(NY)0.21
Fwd EY6.87%
FCF(TTM)0.54
FCFY17.62%
OCF(TTM)1.06
OCFY34.69%
SpS2.28
BVpS2.35
TBVpS-3.99
PEG (NY)4.13
PEG (5Y)2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.86% | ||
| ROE | 12.94% | ||
| ROCE | 9.27% | ||
| ROIC | 8% | ||
| ROICexc | 8.1% | ||
| ROICexgc | N/A | ||
| OM | 24.61% | ||
| PM (TTM) | 13.3% | ||
| GM | 70.43% | ||
| FCFM | 23.69% |
ROA(3y)2.39%
ROA(5y)2.2%
ROE(3y)9.02%
ROE(5y)8.34%
ROIC(3y)5.36%
ROIC(5y)4.97%
ROICexc(3y)5.82%
ROICexc(5y)5.45%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)6.21%
ROCE(5y)5.75%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y2.25%
ROICexc growth 5Y0.7%
OM growth 3Y-3.06%
OM growth 5Y-5.7%
PM growth 3Y8.45%
PM growth 5Y-0.44%
GM growth 3Y-2.57%
GM growth 5Y-2.77%
F-Score5
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 6.51 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 22.95% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 178.17% | ||
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.33 | ||
| Altman-Z | 0.87 |
F-Score5
WACC5.83%
ROIC/WACC1.37
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)26.47%
Cap/Sales(5y)25.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.91%
EPS 3Y16.26%
EPS 5Y5.29%
EPS Q2Q%N/A
EPS Next Y2.56%
EPS Next 2Y2.95%
EPS Next 3Y2.5%
EPS Next 5Y-3.05%
Revenue 1Y (TTM)5.94%
Revenue growth 3Y7.16%
Revenue growth 5Y5.57%
Sales Q2Q%14.01%
Revenue Next Year3.99%
Revenue Next 2Y3.82%
Revenue Next 3Y4.14%
Revenue Next 5Y0.06%
EBIT growth 1Y-6.65%
EBIT growth 3Y3.89%
EBIT growth 5Y-0.44%
EBIT Next Year106.64%
EBIT Next 3Y31.37%
EBIT Next 5Y17.81%
FCF growth 1Y1089.12%
FCF growth 3Y-13.59%
FCF growth 5Y13.81%
OCF growth 1Y190.98%
OCF growth 3Y-3.92%
OCF growth 5Y12.52%