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Majority Stake Acquisition Will Support Improved Margins Amid Revenue Uncertainty

Published
16 Dec 24
Updated
12 Nov 25
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AnalystConsensusTarget's Fair Value
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1Y
52.6%
7D
1.0%

Author's Valuation

R$33.489.1% undervalued intrinsic discount

AnalystConsensusTarget Fair Value

Shared on 12 Nov 25

Fair value Increased 1.65%

NEOE3: Ownership Will Climb To 83.8% Pending Acquisition Approval

Neoenergia's analyst price target has been raised modestly from R$32.94 to R$33.48, as analysts factor in slight improvements in profit margin and forward price-to-earnings multiples, even though revenue growth projections have been lowered. What's in the News Iberdrola Energía has agreed to acquire an additional 30.29% stake in Neoenergia for BRL 11.9 billion, valuing shares at BRL 32.5 each (Key Developments).

Shared on 29 Oct 25

Fair value Increased 1.28%

Analysts have raised their price target for Neoenergia from R$32.52 to R$32.94, citing slightly improved profit margin projections and updated discount rate assumptions. This comes despite tempered expectations for revenue growth.

Shared on 15 Oct 25

Fair value Increased 1.69%

Analysts have raised their price target for Neoenergia from R$31.98 to R$32.52. They cite anticipated improvements in profit margins and a more optimistic outlook on revenue growth, despite a slightly higher discount rate.

Shared on 01 May 25

Fair value Increased 2.04%

Shared on 23 Apr 25

Fair value Increased 5.81%

Shared on 17 Apr 25

Fair value Decreased 2.15%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 09 Apr 25

Fair value Increased 1.92%

AnalystConsensusTarget has decreased shares outstanding growth rate from 0.0% to 0.0%.

Shared on 02 Apr 25

Fair value Increased 1.37%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 26 Mar 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 19 Mar 25

Fair value Increased 0.27%

AnalystConsensusTarget has decreased revenue growth from -0.8% to -3.5%.

Shared on 12 Mar 25

Fair value Increased 18%

AnalystConsensusTarget has decreased revenue growth from 2.1% to -0.8%, decreased profit margin from 6.2% to 5.0% and increased future PE multiple from 15.7x to 24.9x.