TERNA-RETE ELETTRICA NAZIONA (TRN.MI) Stock Fundamental Analysis
Europe - BIT:TRN - IT0003242622 - Common Stock
8.992 EUR
+0.09 (+1.03%)
Overall TRN gets a fundamental rating of 5 out of 10. We evaluated TRN against 19 industry peers in the Electric Utilities industry. TRN has an excellent profitability rating, but there are concerns on its financial health. TRN has a decent growth rate and is not valued too expensively. Finally TRN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year TRN was profitable.
TRN had a positive operating cash flow in the past year.
TRN had positive earnings in each of the past 5 years.
In the past 5 years TRN always reported a positive cash flow from operatings.
1.2 Ratios
TRN has a Return On Assets of 5.70%. This is in the better half of the industry: TRN outperforms 68.42% of its industry peers.
TRN has a Return On Equity of 21.30%. This is in the better half of the industry: TRN outperforms 63.16% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.22%, TRN is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
TRN had an Average Return On Invested Capital over the past 3 years of 5.42%. This is below the industry average of 7.87%.
The last Return On Invested Capital (8.22%) for TRN is above the 3 year average (5.42%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.7% | ||
| ROE | 21.3% | ||
| ROIC | 8.22% |
ROA(3y)3.81%
ROA(5y)3.76%
ROE(3y)14.02%
ROE(5y)15.38%
ROIC(3y)5.42%
ROIC(5y)5.17%
1.3 Margins
Looking at the Profit Margin, with a value of 28.88%, TRN belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Profit Margin of TRN has declined.
TRN has a better Operating Margin (47.14%) than 94.74% of its industry peers.
In the last couple of years the Operating Margin of TRN has remained more or less at the same level.
The Gross Margin of TRN (80.75%) is better than 89.47% of its industry peers.
TRN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47.14% | ||
| PM (TTM) | 28.88% | ||
| GM | 80.75% |
OM growth 3Y-0.34%
OM growth 5Y-1.39%
PM growth 3Y-1.94%
PM growth 5Y-2.37%
GM growth 3Y0.01%
GM growth 5Y-0.57%
2. Health
2.1 Basic Checks
TRN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
TRN has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for TRN has been reduced compared to 5 years ago.
TRN has a better debt/assets ratio than last year.
2.2 Solvency
TRN has an Altman-Z score of 1.22. This is a bad value and indicates that TRN is not financially healthy and even has some risk of bankruptcy.
TRN has a Altman-Z score (1.22) which is comparable to the rest of the industry.
TRN has a Debt/Equity ratio of 1.78. This is a high value indicating a heavy dependency on external financing.
TRN has a Debt to Equity ratio of 1.78. This is amonst the worse of the industry: TRN underperforms 84.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.78 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.22 |
ROIC/WACC1.46
WACC5.63%
2.3 Liquidity
A Current Ratio of 0.81 indicates that TRN may have some problems paying its short term obligations.
TRN's Current ratio of 0.81 is on the low side compared to the rest of the industry. TRN is outperformed by 63.16% of its industry peers.
TRN has a Quick Ratio of 0.81. This is a bad value and indicates that TRN is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of TRN (0.79) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
TRN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.87%, which is quite good.
TRN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.80% yearly.
The Revenue has grown by 10.38% in the past year. This is quite good.
Measured over the past years, TRN shows a quite strong growth in Revenue. The Revenue has been growing by 9.59% on average per year.
EPS 1Y (TTM)10.87%
EPS 3Y9.92%
EPS 5Y6.8%
EPS Q2Q%16.79%
Revenue 1Y (TTM)10.38%
Revenue growth 3Y12.58%
Revenue growth 5Y9.59%
Sales Q2Q%10.72%
3.2 Future
TRN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.55% yearly.
The Revenue is expected to grow by 7.19% on average over the next years.
EPS Next Y5.47%
EPS Next 2Y2.92%
EPS Next 3Y3.19%
EPS Next 5Y3.55%
Revenue Next Year11.03%
Revenue Next 2Y9.32%
Revenue Next 3Y9.38%
Revenue Next 5Y7.19%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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 16.35, the valuation of TRN can be described as correct.
TRN's Price/Earnings is on the same level as the industry average.
TRN is valuated rather cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 16.39, the valuation of TRN can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TRN indicates a somewhat cheap valuation: TRN is cheaper than 63.16% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.59. TRN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.35 | ||
| Fwd PE | 16.39 |
4.2 Price Multiples
TRN's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.81 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TRN does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of TRN may justify a higher PE ratio.
PEG (NY)2.99
PEG (5Y)2.4
EPS Next 2Y2.92%
EPS Next 3Y3.19%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.45%, TRN is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.03, TRN pays a bit more dividend than its industry peers.
TRN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.45% |
5.2 History
The dividend of TRN is nicely growing with an annual growth rate of 7.81%!
Dividend Growth(5Y)7.81%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
TRN pays out 49.65% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of TRN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP49.65%
EPS Next 2Y2.92%
EPS Next 3Y3.19%
BIT:TRN (11/14/2025, 7:00:00 PM)
8.992
+0.09 (+1.03%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners31.15%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap18.07B
Revenue(TTM)5.54B
Net Income(TTM)1.60B
Analysts65.22
Price Target9.09 (1.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.45% |
Yearly Dividend0.34
Dividend Growth(5Y)7.81%
DP49.65%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.9%
Min EPS beat(2)5.01%
Max EPS beat(2)10.78%
EPS beat(4)4
Avg EPS beat(4)7.67%
Min EPS beat(4)4.64%
Max EPS beat(4)10.78%
EPS beat(8)6
Avg EPS beat(8)1.43%
EPS beat(12)7
Avg EPS beat(12)-7.47%
EPS beat(16)9
Avg EPS beat(16)-5.46%
Revenue beat(2)1
Avg Revenue beat(2)-0.03%
Min Revenue beat(2)-0.68%
Max Revenue beat(2)0.61%
Revenue beat(4)3
Avg Revenue beat(4)3.28%
Min Revenue beat(4)-0.68%
Max Revenue beat(4)10.66%
Revenue beat(8)7
Avg Revenue beat(8)3.07%
Revenue beat(12)10
Avg Revenue beat(12)10.23%
Revenue beat(16)14
Avg Revenue beat(16)32.58%
PT rev (1m)-0.01%
PT rev (3m)1.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0.92%
EPS NY rev (3m)5.1%
Revenue NQ rev (1m)-1.01%
Revenue NQ rev (3m)-2.53%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)0.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.35 | ||
| Fwd PE | 16.39 | ||
| P/S | 3.26 | ||
| P/FCF | N/A | ||
| P/OCF | 9.11 | ||
| P/B | 2.41 | ||
| P/tB | 2.81 | ||
| EV/EBITDA | 7.81 |
EPS(TTM)0.55
EY6.12%
EPS(NY)0.55
Fwd EY6.1%
FCF(TTM)-0.47
FCFYN/A
OCF(TTM)0.99
OCFY10.97%
SpS2.75
BVpS3.74
TBVpS3.2
PEG (NY)2.99
PEG (5Y)2.4
Graham Number6.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.7% | ||
| ROE | 21.3% | ||
| ROCE | 12.75% | ||
| ROIC | 8.22% | ||
| ROICexc | 9.41% | ||
| ROICexgc | 9.96% | ||
| OM | 47.14% | ||
| PM (TTM) | 28.88% | ||
| GM | 80.75% | ||
| FCFM | N/A |
ROA(3y)3.81%
ROA(5y)3.76%
ROE(3y)14.02%
ROE(5y)15.38%
ROIC(3y)5.42%
ROIC(5y)5.17%
ROICexc(3y)6.18%
ROICexc(5y)6.04%
ROICexgc(3y)6.53%
ROICexgc(5y)6.36%
ROCE(3y)8.16%
ROCE(5y)7.91%
ROICexgc growth 3Y2.03%
ROICexgc growth 5Y0.82%
ROICexc growth 3Y1.83%
ROICexc growth 5Y0.59%
OM growth 3Y-0.34%
OM growth 5Y-1.39%
PM growth 3Y-1.94%
PM growth 5Y-2.37%
GM growth 3Y0.01%
GM growth 5Y-0.57%
F-Score5
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.78 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.81 | ||
| Cap/Depr | 324.54% | ||
| Cap/Sales | 52.83% | ||
| Interest Coverage | 6.57 | ||
| Cash Conversion | 56.48% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 1.22 |
F-Score5
WACC5.63%
ROIC/WACC1.46
Cap/Depr(3y)274.34%
Cap/Depr(5y)249.54%
Cap/Sales(3y)67.98%
Cap/Sales(5y)63.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)10.87%
EPS 3Y9.92%
EPS 5Y6.8%
EPS Q2Q%16.79%
EPS Next Y5.47%
EPS Next 2Y2.92%
EPS Next 3Y3.19%
EPS Next 5Y3.55%
Revenue 1Y (TTM)10.38%
Revenue growth 3Y12.58%
Revenue growth 5Y9.59%
Sales Q2Q%10.72%
Revenue Next Year11.03%
Revenue Next 2Y9.32%
Revenue Next 3Y9.38%
Revenue Next 5Y7.19%
EBIT growth 1Y12.98%
EBIT growth 3Y12.2%
EBIT growth 5Y8.06%
EBIT Next Year65.98%
EBIT Next 3Y24.21%
EBIT Next 5Y16.88%
FCF growth 1Y-1095.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y12.85%
OCF growth 3Y20.84%
OCF growth 5Y2.54%
TERNA-RETE ELETTRICA NAZIONA / TRN.MI FAQ
What is the ChartMill fundamental rating of TERNA-RETE ELETTRICA NAZIONA (TRN.MI) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TRN.MI.
What is the valuation status for TRN stock?
ChartMill assigns a valuation rating of 4 / 10 to TERNA-RETE ELETTRICA NAZIONA (TRN.MI). This can be considered as Fairly Valued.
Can you provide the profitability details for TERNA-RETE ELETTRICA NAZIONA?
TERNA-RETE ELETTRICA NAZIONA (TRN.MI) has a profitability rating of 7 / 10.
What is the valuation of TERNA-RETE ELETTRICA NAZIONA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TERNA-RETE ELETTRICA NAZIONA (TRN.MI) is 16.35 and the Price/Book (PB) ratio is 2.41.
Can you provide the expected EPS growth for TRN stock?
The Earnings per Share (EPS) of TERNA-RETE ELETTRICA NAZIONA (TRN.MI) is expected to grow by 5.47% in the next year.