AXIA Energia S.A.
AXIA Energia S.A. Fundamental Analysis
AXIA Energia S.A. (EBR) shows moderate financial fundamentals with a PE ratio of -18.45, profit margin of -13.58%, and ROE of -4.91%. The company generates $42.6B in annual revenue with moderate year-over-year growth of 8.13%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 25.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze EBR's fundamental strength across five key dimensions:
Efficiency Score
WeakEBR struggles to generate sufficient returns from assets.
Valuation Score
ExcellentEBR trades at attractive valuation levels.
Growth Score
ModerateEBR shows steady but slowing expansion.
Financial Health Score
ExcellentEBR maintains a strong and stable balance sheet.
Profitability Score
WeakEBR struggles to sustain strong margins.
Key Financial Metrics
Is EBR Expensive or Cheap?
P/E Ratio
EBR trades at -18.45 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, EBR's PEG of 0.02 indicates potential undervaluation.
Price to Book
The market values AXIA Energia S.A. at 0.98 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 9.66 times EBITDA. This is generally considered low.
How Well Does EBR Make Money?
Net Profit Margin
For every $100 in sales, AXIA Energia S.A. keeps $-13.58 as profit after all expenses.
Operating Margin
Core operations generate 17.36 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-4.91 in profit for every $100 of shareholder equity.
ROA
AXIA Energia S.A. generates $-2.17 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
AXIA Energia S.A. generates strong operating cash flow of $16.76B, reflecting robust business health.
Free Cash Flow
AXIA Energia S.A. generates strong free cash flow of $14.15B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $6.29 in free cash annually.
FCF Yield
EBR converts 13.24% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-18.45
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.98
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.50
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.69
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.92
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.05
vs 25 benchmark
ROA
Return on assets percentage
-0.02
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How EBR Stacks Against Its Sector Peers
| Metric | EBR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -18.45 | 19.20 | Better (Cheaper) |
| ROE | -4.91% | 1033.00% | Weak |
| Net Margin | -13.58% | 9191.00% | Weak |
| Debt/Equity | 0.69 | 6.63 | Strong (Low Leverage) |
| Current Ratio | 1.92 | 1.68 | Neutral |
| ROA | -2.17% | -237.00% (disorted) | Weak |
EBR outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews AXIA Energia S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-12.86%
Industry Style: Defensive, Dividend, Income
DecliningEPS CAGR
-16.34%
Industry Style: Defensive, Dividend, Income
DecliningFCF CAGR
8726.76%
Industry Style: Defensive, Dividend, Income
High Growth