Enel SpA
Enel SpA Fundamental Analysis
Enel SpA (ESOCF) shows weak financial fundamentals with a PE ratio of 15.63, profit margin of 8.50%, and ROE of 18.16%. The company generates $71.3B in annual revenue with weak year-over-year growth of -14.36%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 15.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ESOCF's fundamental strength across five key dimensions:
Efficiency Score
WeakESOCF struggles to generate sufficient returns from assets.
Valuation Score
ModerateESOCF shows balanced valuation metrics.
Growth Score
ModerateESOCF shows steady but slowing expansion.
Financial Health Score
WeakESOCF carries high financial risk with limited liquidity.
Profitability Score
ModerateESOCF maintains healthy but balanced margins.
Key Financial Metrics
Is ESOCF Expensive or Cheap?
P/E Ratio
ESOCF trades at 15.63 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ESOCF's PEG of 5.34 indicates potential overvaluation.
Price to Book
The market values Enel SpA at 2.83 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.21 times EBITDA. This is generally considered low.
How Well Does ESOCF Make Money?
Net Profit Margin
For every $100 in sales, Enel SpA keeps $8.50 as profit after all expenses.
Operating Margin
Core operations generate 18.24 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $18.16 in profit for every $100 of shareholder equity.
ROA
Enel SpA generates $3.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Enel SpA produces operating cash flow of $13.22B, showing steady but balanced cash generation.
Free Cash Flow
Enel SpA produces free cash flow of $4.47B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.45 in free cash annually.
FCF Yield
ESOCF converts 4.97% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
5.34
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.83
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.26
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.96
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.82
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.18
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How ESOCF Stacks Against Its Sector Peers
| Metric | ESOCF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.63 | 19.14 | Better (Cheaper) |
| ROE | 18.16% | 1002.00% | Weak |
| Net Margin | 8.50% | 9090.00% | Weak |
| Debt/Equity | 1.96 | 1.75 | Neutral |
| Current Ratio | 0.82 | 1.28 | Weak Liquidity |
| ROA | 3.52% | -252.00% (disorted) | Weak |
ESOCF outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Enel SpA's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-1.56%
Industry Style: Defensive, Dividend, Income
DecliningEPS CAGR
222.91%
Industry Style: Defensive, Dividend, Income
High GrowthFCF CAGR
17.60%
Industry Style: Defensive, Dividend, Income
High Growth