Update shared on 13 Nov 2025
Fair value Increased 1.63%Analysts have raised their fair value price target for Endesa to €26.95 from €26.52. This reflects improved revenue growth expectations despite recent sector downgrades and ongoing uncertainty around network investment.
Analyst Commentary
Recent analyst research reveals a mixed outlook for Endesa, with opinions split on the company's growth potential and risks tied to its future strategy.
Bullish Takeaways- Some analysts are maintaining high price targets, suggesting confidence in Endesa’s long-term revenue growth prospects despite sector challenges.
- Positive trends in renewables, particularly improving conditions for onshore wind and solar, are seen as supportive of future earnings and valuation.
- Continued investment in renewables is expected to strengthen Endesa’s position in the energy transition and support sustainable growth.
- Several analysts have downgraded Endesa’s rating, citing increased uncertainty surrounding the company’s ability to accelerate investment in its network infrastructure.
- The utilities sector, and power generators specifically, are viewed less favorably with limited near-term upside compared to other sub-sectors.
- Concerns remain about the company’s execution risks, particularly in ramping up capital expenditures and adapting to evolving regulatory environments.
- Lowered price targets by some bearish analysts reflect caution around Endesa’s path to delivering value amid sector headwinds.
What's in the News
- Endesa, S.A. confirmed earnings guidance for 2025, indicating it is on track to reach the upper range of its forecast for net income (Key Developments).
- The company stated it expects to achieve the top end of its Capital Market Day guidance for the full year 2025 (Key Developments).
Valuation Changes
- The Fair Value Price Target has risen slightly from €26.52 to €26.95, reflecting updated expectations.
- The Discount Rate has increased modestly from 7.49% to 7.65%, suggesting a marginally higher risk profile.
- The Revenue Growth forecast has climbed from 3.78% to 5.05%, indicating improved forward-looking projections.
- The Net Profit Margin estimate has fallen slightly from 8.48% to 8.13%, showing a small decrease in expected profitability.
- The Future P/E Ratio has edged up from 16.67x to 16.75x, signaling a marginal adjustment in valuation assumptions.
Disclaimer
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