Terna - Rete Elettrica Nazionale Società per Azioni
Terna - Rete Elettrica Nazionale Società per Azioni Fundamental Analysis
Terna - Rete Elettrica Nazionale Società per Azioni (TEZNY) shows strong financial fundamentals with a PE ratio of 23.96, profit margin of 26.63%, and ROE of 11.07%. The company generates $3.1B in annual revenue with strong year-over-year growth of 16.68%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 44.1/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze TEZNY's fundamental strength across five key dimensions:
Efficiency Score
WeakTEZNY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTEZNY trades at attractive valuation levels.
Growth Score
ExcellentTEZNY delivers strong and consistent growth momentum.
Financial Health Score
WeakTEZNY carries high financial risk with limited liquidity.
Profitability Score
WeakTEZNY struggles to sustain strong margins.
Key Financial Metrics
Is TEZNY Expensive or Cheap?
P/E Ratio
TEZNY trades at 23.96 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, TEZNY's PEG of 0.28 indicates potential undervaluation.
Price to Book
The market values Terna - Rete Elettrica Nazionale Società per Azioni at 2.66 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.46 times EBITDA. This is generally considered low.
How Well Does TEZNY Make Money?
Net Profit Margin
For every $100 in sales, Terna - Rete Elettrica Nazionale Società per Azioni keeps $26.63 as profit after all expenses.
Operating Margin
Core operations generate 44.07 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.07 in profit for every $100 of shareholder equity.
ROA
Terna - Rete Elettrica Nazionale Società per Azioni generates $2.96 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Terna - Rete Elettrica Nazionale Società per Azioni produces operating cash flow of $692.64M, showing steady but balanced cash generation.
Free Cash Flow
Terna - Rete Elettrica Nazionale Società per Azioni generates weak or negative free cash flow of $-1.36B, restricting financial flexibility.
FCF Per Share
Each share generates $-2.03 in free cash annually.
FCF Yield
TEZNY converts -6.88% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.96
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.28
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.66
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.35
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.96
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.81
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How TEZNY Stacks Against Its Sector Peers
| Metric | TEZNY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.96 | 20.28 | Worse (Expensive) |
| ROE | 11.07% | 920.00% | Weak |
| Net Margin | 26.63% | 736.00% | Weak |
| Debt/Equity | 1.96 | 1.49 | Weak (High Leverage) |
| Current Ratio | 0.81 | 1.44 | Weak Liquidity |
| ROA | 2.96% | -6170.00% (disorted) | Weak |
TEZNY outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Terna - Rete Elettrica Nazionale Società per Azioni's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
58.87%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
40.13%
Industry Style: Defensive, Dividend, Income
High GrowthFCF CAGR
13.31%
Industry Style: Defensive, Dividend, Income
High Growth