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GEPA

Rio Paranapanema Energia BOVESPA:GEPA3 Stock Report

Last Price

R$22.15

Market Cap

R$2.3b

7D

-5.7%

1Y

-41.7%

Updated

05 Aug, 2022

Data

Company Financials
GEPA3 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance1/6
Financial Health2/6
Dividends0/6

GEPA3 Stock Overview

Rio Paranapanema Energia S.A. generates and sells electricity in Brazil.

Rio Paranapanema Energia Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Rio Paranapanema Energia
Historical stock prices
Current Share PriceR$22.15
52 Week HighR$38.00
52 Week LowR$21.71
Beta0.59
1 Month Change2.03%
3 Month Change-13.88%
1 Year Change-41.71%
3 Year Change-47.26%
5 Year Change-35.80%
Change since IPO281.90%

Recent News & Updates

Jun 01
Rio Paranapanema Energia (BVMF:GEPA3) Has A Somewhat Strained Balance Sheet

Rio Paranapanema Energia (BVMF:GEPA3) Has A Somewhat Strained Balance Sheet

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Shareholder Returns

GEPA3BR Electric UtilitiesBR Market
7D-5.7%3.1%3.4%
1Y-41.7%8.8%-21.9%

Return vs Industry: GEPA3 underperformed the BR Electric Utilities industry which returned 9.8% over the past year.

Return vs Market: GEPA3 underperformed the BR Market which returned -21.7% over the past year.

Price Volatility

Is GEPA3's price volatile compared to industry and market?
GEPA3 volatility
GEPA3 Average Weekly Movementn/a
Electric Utilities Industry Average Movement4.2%
Market Average Movement6.0%
10% most volatile stocks in BR Market9.5%
10% least volatile stocks in BR Market2.4%

Stable Share Price: Insufficient data to determine GEPA3's volatility over the past 3 months.

Volatility Over Time: Insufficient data to determine GEPA3's volatility change over the past year.

About the Company

FoundedEmployeesCEOWebsite
1999308Carlos Alberto de Carvalhohttps://www.paranapanemaenergia.com.br

Rio Paranapanema Energia S.A. generates and sells electricity in Brazil. It controls and operates eight hydroelectric power plants on the Rio Paranapanema; and two small hydroelectric plants located on the Rio Sapucaí that have an installed capacity of 2,297.76 megawatts. The company was formerly known as Duke Energy International, Geração Paranapanema S.A. and changed its name to Rio Paranapanema Energia S.A. in January 2017.

Rio Paranapanema Energia Fundamentals Summary

How do Rio Paranapanema Energia's earnings and revenue compare to its market cap?
GEPA3 fundamental statistics
Market CapR$2.30b
Earnings (TTM)R$56.36m
Revenue (TTM)R$1.37b

37.1x

P/E Ratio

1.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GEPA3 income statement (TTM)
RevenueR$1.37b
Cost of RevenueR$827.95m
Gross ProfitR$544.74m
Other ExpensesR$488.37m
EarningsR$56.36m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.60
Gross Margin39.68%
Net Profit Margin4.11%
Debt/Equity Ratio61.3%

How did GEPA3 perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is GEPA3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for GEPA3?

Other financial metrics that can be useful for relative valuation.

GEPA3 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.4x
Enterprise Value/EBITDA6.7x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does GEPA3's PE Ratio compare to its peers?

GEPA3 PE Ratio vs Peers
The above table shows the PE ratio for GEPA3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average14.6x
LIGT3 Light
6.8x45.2%R$2.3b
GPAR3 Companhia CELG de Participações S/A
14.9xn/aR$2.2b
CLSC4 Centrais Elétricas de Santa Catarina
3.5xn/aR$2.1b
EEEL3 Companhia Estadual de Geração e Transmissão de Energia Elétrica - CEEE-GT
33.4xn/aR$4.1b
GEPA3 Rio Paranapanema Energia
37.1xn/aR$2.3b

Price-To-Earnings vs Peers: GEPA3 is expensive based on its Price-To-Earnings Ratio (37.1x) compared to the peer average (14.6x).


Price to Earnings Ratio vs Industry

How does GEPA3's PE Ratio compare vs other companies in the BR Electric Utilities Industry?

Price-To-Earnings vs Industry: GEPA3 is expensive based on its Price-To-Earnings Ratio (37.1x) compared to the BR Electric Utilities industry average (6.8x)


Price to Earnings Ratio vs Fair Ratio

What is GEPA3's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

GEPA3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio37.1x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate GEPA3's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of GEPA3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: GEPA3 (R$22.15) is trading below our estimate of fair value (R$35.01)

Significantly Below Fair Value: GEPA3 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is Rio Paranapanema Energia forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


14.0%

Forecasted Utilities industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Rio Paranapanema Energia has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


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  • Take a look at our analysis of GEPA3’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.

Past Performance

How has Rio Paranapanema Energia performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


1.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GEPA3 has a large one-off gain of R$30.8M impacting its March 31 2022 financial results.

Growing Profit Margin: GEPA3's current net profit margins (4.1%) are lower than last year (43.2%).


Past Earnings Growth Analysis

Earnings Trend: GEPA3's earnings have grown by 1.3% per year over the past 5 years.

Accelerating Growth: GEPA3's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: GEPA3 had negative earnings growth (-90%) over the past year, making it difficult to compare to the Electric Utilities industry average (16.5%).


Return on Equity

High ROE: GEPA3's Return on Equity (2.8%) is considered low.


Discover strong past performing companies

Financial Health

How is Rio Paranapanema Energia's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: GEPA3's short term assets (R$477.5M) do not cover its short term liabilities (R$1.0B).

Long Term Liabilities: GEPA3's short term assets (R$477.5M) do not cover its long term liabilities (R$996.3M).


Debt to Equity History and Analysis

Debt Level: GEPA3's net debt to equity ratio (48.7%) is considered high.

Reducing Debt: GEPA3's debt to equity ratio has reduced from 77% to 61.3% over the past 5 years.

Debt Coverage: GEPA3's debt is well covered by operating cash flow (30.7%).

Interest Coverage: GEPA3's interest payments on its debt are not well covered by EBIT (1.2x coverage).


Balance Sheet


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Dividend

What is Rio Paranapanema Energia current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate GEPA3's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GEPA3's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GEPA3's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GEPA3's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: GEPA3 is not paying a notable dividend for the BR market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as GEPA3 has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?


CEO

Carlos Alberto de Carvalho

no data

Tenure

Carlos Alberto Rodrigues de Carvalho serves as Chief Executive Officer, Investor Relations Officer, Internal Controls & Informatics and Member of Executive Board at Rio Paranapanema Energia S.A. Carlos Alb...


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Rio Paranapanema Energia S.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: Rio Paranapanema Energia S.A.
  • Ticker: GEPA3
  • Exchange: BOVESPA
  • Founded: 1999
  • Industry: Electric Utilities
  • Sector: Utilities
  • Implied Market Cap: R$2.301b
  • Shares outstanding: 94.43m
  • Website: https://www.paranapanemaenergia.com.br

Number of Employees


Location

  • Rio Paranapanema Energia S.A.
  • Rua Funchal, No.418
  • 29th Floor
  • São Paulo
  • São Paulo
  • 04551-060
  • Brazil

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/05 00:00
End of Day Share Price2022/08/03 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.