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Centrais Elétricas Brasileiras - Eletrobras

DB:L3XC
Snowflake Description

Outstanding track record and undervalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
L3XC
DB
R$45B
Market Cap
  1. Home
  2. DE
  3. Utilities
Company description

Centrais Elétricas Brasileiras S.A. - Eletrobras, through its subsidiaries, engages in the generation, transmission, and distribution of electricity in Brazil. The last earnings update was 9 days ago. More info.


Add to Portfolio Compare Print
  • Centrais Elétricas Brasileiras - Eletrobras has significant price volatility in the past 3 months.
L3XC Share Price and Events
7 Day Returns
3.4%
DB:L3XC
1.7%
Europe Electric Utilities
-0%
DE Market
1 Year Returns
78.6%
DB:L3XC
10.7%
Europe Electric Utilities
-11.5%
DE Market
L3XC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Centrais Elétricas Brasileiras - Eletrobras (L3XC) 3.4% -0.7% -15.3% 78.6% 163.5% 152.6%
Europe Electric Utilities 1.7% 3% 4% 10.7% 26.2% 0.8%
DE Market -0% -3.3% 2.1% -11.5% 8.9% 8.1%
1 Year Return vs Industry and Market
  • L3XC outperformed the Electric Utilities industry which returned 10.7% over the past year.
  • L3XC outperformed the Market in Germany which returned -11.5% over the past year.
Price Volatility
L3XC
Industry
5yr Volatility vs Market

L3XC Value

 Is Centrais Elétricas Brasileiras - Eletrobras undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Centrais Elétricas Brasileiras - Eletrobras to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Centrais Elétricas Brasileiras - Eletrobras.

DB:L3XC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:L3XC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Electric Utilities Unlevered Beta Simply Wall St/ S&P Global 0.23
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.235 (1 + (1- 34%) (124.25%))
0.616
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.8 * 5.96%)
5%

Discounted Cash Flow Calculation for DB:L3XC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Centrais Elétricas Brasileiras - Eletrobras is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

DB:L3XC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (BRL, Millions) Source Present Value
Discounted (@ 5%)
2019 1,907.00 Analyst x1 1,816.26
2020 2,654.00 Analyst x1 2,407.44
2021 3,263.10 Est @ 22.95% 2,819.11
2022 3,789.55 Est @ 16.13% 3,118.14
2023 4,220.11 Est @ 11.36% 3,307.20
2024 4,558.63 Est @ 8.02% 3,402.50
2025 4,817.73 Est @ 5.68% 3,424.78
2026 5,012.69 Est @ 4.05% 3,393.82
2027 5,158.12 Est @ 2.9% 3,326.11
2028 5,266.41 Est @ 2.1% 3,234.35
Present value of next 10 years cash flows R$30,249.71
DB:L3XC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= R$5,266.41 × (1 + 0.23%) ÷ (5% – 0.23%)
R$110,705.00
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= R$110,705.00 ÷ (1 + 5%)10
R$67,989.16
DB:L3XC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= R$30,249.71 + R$67,989.16
R$98,238.87
Equity Value per Share
(BRL)
= Total value / Shares Outstanding
= R$98,238.87 / 1,352.63
R$72.63
DB:L3XC Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:L3XC represents 0.21689x of BOVESPA:ELET6
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.21689x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (BRL) x Listing Adjustment Factor
= R$ 72.63 x 0.21689
€15.75
Value per share (EUR) From above. €15.75
Current discount Discount to share price of €7.50
= -1 x (€7.50 - €15.75) / €15.75
52.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Centrais Elétricas Brasileiras - Eletrobras is available for.
Intrinsic value
>50%
Share price is €7.5 vs Future cash flow value of €15.75
Current Discount Checks
For Centrais Elétricas Brasileiras - Eletrobras to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Centrais Elétricas Brasileiras - Eletrobras's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Centrais Elétricas Brasileiras - Eletrobras's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Centrais Elétricas Brasileiras - Eletrobras's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Centrais Elétricas Brasileiras - Eletrobras's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:L3XC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in BRL R$10.64
BOVESPA:ELET6 Share Price ** BOVESPA (2019-05-22) in BRL R$34.58
Europe Electric Utilities Industry PE Ratio Median Figure of 66 Publicly-Listed Electric Utilities Companies 11.81x
Germany Market PE Ratio Median Figure of 422 Publicly-Listed Companies 20.26x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Centrais Elétricas Brasileiras - Eletrobras.

DB:L3XC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BOVESPA:ELET6 Share Price ÷ EPS (both in BRL)

= 34.58 ÷ 10.64

3.25x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Centrais Elétricas Brasileiras - Eletrobras is good value based on earnings compared to the Europe Electric Utilities industry average.
  • Centrais Elétricas Brasileiras - Eletrobras is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Centrais Elétricas Brasileiras - Eletrobras's expected growth come at a high price?
Raw Data
DB:L3XC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 3.25x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
-22.1%per year
Europe Electric Utilities Industry PEG Ratio Median Figure of 32 Publicly-Listed Electric Utilities Companies 1.41x
Germany Market PEG Ratio Median Figure of 271 Publicly-Listed Companies 1.49x

*Line of best fit is calculated by linear regression .

DB:L3XC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 3.25x ÷ -22.1%

-0.15x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Centrais Elétricas Brasileiras - Eletrobras earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Centrais Elétricas Brasileiras - Eletrobras's assets?
Raw Data
DB:L3XC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in BRL R$42.11
BOVESPA:ELET6 Share Price * BOVESPA (2019-05-22) in BRL R$34.58
Europe Electric Utilities Industry PB Ratio Median Figure of 73 Publicly-Listed Electric Utilities Companies 0.89x
Germany Market PB Ratio Median Figure of 576 Publicly-Listed Companies 1.78x
DB:L3XC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BOVESPA:ELET6 Share Price ÷ Book Value per Share (both in BRL)

= 34.58 ÷ 42.11

0.82x

* Primary Listing of Centrais Elétricas Brasileiras - Eletrobras.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Centrais Elétricas Brasileiras - Eletrobras is good value based on assets compared to the Europe Electric Utilities industry average.
X
Value checks
We assess Centrais Elétricas Brasileiras - Eletrobras's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electric Utilities industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electric Utilities industry average (and greater than 0)? (1 check)
  5. Centrais Elétricas Brasileiras - Eletrobras has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

L3XC Future Performance

 How is Centrais Elétricas Brasileiras - Eletrobras expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-22.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Centrais Elétricas Brasileiras - Eletrobras expected to grow at an attractive rate?
  • Centrais Elétricas Brasileiras - Eletrobras's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Centrais Elétricas Brasileiras - Eletrobras's earnings are expected to decrease over the next 1-3 years, this is below the Germany market average.
  • Centrais Elétricas Brasileiras - Eletrobras's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:L3XC Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:L3XC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts -22.1%
DB:L3XC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 5.7%
Europe Electric Utilities Industry Earnings Growth Rate Market Cap Weighted Average 9.6%
Europe Electric Utilities Industry Revenue Growth Rate Market Cap Weighted Average 3.4%
Germany Market Earnings Growth Rate Market Cap Weighted Average 13.1%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:L3XC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in BRL Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:L3XC Future Estimates Data
Date (Data in BRL Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 33,506 6,399 1
2021-12-31 35,429 5,423 2
2020-12-31 33,444 7,062 5,901 5
2019-12-31 33,091 6,362 6,891 5
DB:L3XC Past Financials Data
Date (Data in BRL Millions) Revenue Cash Flow Net Income *
2019-03-31 21,787 1,524 14,394
2018-12-31 21,419 2,410 15,141
2018-09-30 23,269 2,462 3,745
2018-06-30 23,225 1,653 5,904
2018-03-31 21,742 1,807 3,390
2017-12-31 24,519 694 2,415
2017-09-30 10,427 726 -3,865
2017-06-30 10,051 363 -3,540
2017-03-31 33,928 -1,545 8,876
2016-12-31 31,715 1,572 3,585
2016-09-30 55,996 5,305 2,396
2016-06-30 55,382 7,007 -2,478

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Centrais Elétricas Brasileiras - Eletrobras's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Centrais Elétricas Brasileiras - Eletrobras's revenue is expected to grow by 5.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:L3XC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Centrais Elétricas Brasileiras - Eletrobras Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:L3XC Future Estimates Data
Date (Data in BRL Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 4.73 4.73 4.73 1.00
2020-12-31 4.23 5.38 3.24 3.00
2019-12-31 5.09 5.09 5.09 1.00
DB:L3XC Past Financials Data
Date (Data in BRL Millions) EPS *
2019-03-31 10.64
2018-12-31 11.19
2018-09-30 2.77
2018-06-30 4.36
2018-03-31 2.51
2017-12-31 1.79
2017-09-30 -2.86
2017-06-30 -2.62
2017-03-31 6.56
2016-12-31 2.65
2016-09-30 1.77
2016-06-30 -1.83

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Centrais Elétricas Brasileiras - Eletrobras will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Centrais Elétricas Brasileiras - Eletrobras's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Centrais Elétricas Brasileiras - Eletrobras has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

L3XC Past Performance

  How has Centrais Elétricas Brasileiras - Eletrobras performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Centrais Elétricas Brasileiras - Eletrobras's growth in the last year to its industry (Electric Utilities).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Centrais Elétricas Brasileiras - Eletrobras has delivered over 20% year on year earnings growth in the past 5 years.
  • Centrais Elétricas Brasileiras - Eletrobras's 1-year earnings growth exceeds its 5-year average (324.6% vs 57.7%)
  • Centrais Elétricas Brasileiras - Eletrobras's earnings growth has exceeded the Europe Electric Utilities industry average in the past year (324.6% vs -5.5%).
Earnings and Revenue History
Centrais Elétricas Brasileiras - Eletrobras's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Centrais Elétricas Brasileiras - Eletrobras Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:L3XC Past Revenue, Cash Flow and Net Income Data
Date (Data in BRL Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 21,786.98 14,393.65 7,588.54
2018-12-31 21,419.36 15,141.42 7,804.36
2018-09-30 23,268.60 3,744.99 8,434.92
2018-06-30 23,225.43 5,903.79 8,949.58
2018-03-31 21,742.28 3,389.88 8,674.77
2017-12-31 24,518.51 2,415.41 8,909.21
2017-09-30 10,426.93 -3,865.23 16,446.61
2017-06-30 10,051.23 -3,540.14 15,868.98
2017-03-31 33,928.24 8,876.01 15,561.10
2016-12-31 31,715.45 3,584.53 15,460.08
2016-09-30 55,996.08 2,396.25 12,436.19
2016-06-30 55,381.81 -2,478.27 12,453.14
2016-03-31 30,637.53 -16,558.19 12,482.07
2015-12-31 32,180.84 -11,405.09 11,920.82
2015-09-30 34,401.81 -5,310.88 10,688.05
2015-06-30 33,088.25 -4,058.99 10,436.22
2015-03-31 31,728.21 -2,809.57 10,682.04
2014-12-31 30,137.81 -6,226.21 4,790.72
2014-09-30 26,416.70 -7,234.71 11,645.08
2014-06-30 25,905.97 -5,389.99 12,198.79
2014-03-31 24,044.74 -5,117.39 12,016.31
2013-12-31 23,835.64 -6,186.95 11,744.96
2013-09-30 22,087.70 -11,286.03 1,560.71
2013-06-30 24,205.25 -9,367.55 984.61
2013-03-31 26,756.53 -8,182.68 618.63
2012-12-31 28,014.30 -6,878.92 10,152.86
2012-09-30 29,096.79 4,177.10 1,192.39
2012-06-30 29,104.76 4,738.12 1,230.57

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Centrais Elétricas Brasileiras - Eletrobras has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Centrais Elétricas Brasileiras - Eletrobras used its assets more efficiently than the Europe Electric Utilities industry average last year based on Return on Assets.
  • Centrais Elétricas Brasileiras - Eletrobras has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess Centrais Elétricas Brasileiras - Eletrobras's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electric Utilities industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Centrais Elétricas Brasileiras - Eletrobras has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

L3XC Health

 How is Centrais Elétricas Brasileiras - Eletrobras's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Centrais Elétricas Brasileiras - Eletrobras's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Centrais Elétricas Brasileiras - Eletrobras is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Centrais Elétricas Brasileiras - Eletrobras's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Centrais Elétricas Brasileiras - Eletrobras's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Centrais Elétricas Brasileiras - Eletrobras Company Filings, last reported 1 month ago.

DB:L3XC Past Debt and Equity Data
Date (Data in BRL Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 57,439.57 55,983.34 7,649.70
2018-12-31 56,008.95 56,310.26 6,582.39
2018-09-30 43,729.57 44,923.61 6,950.60
2018-06-30 45,428.59 46,406.33 7,019.85
2018-03-31 42,675.42 45,733.25 6,482.94
2017-12-31 42,752.53 47,171.52 6,973.75
2017-09-30 46,831.98 46,733.87 7,940.54
2017-06-30 46,226.80 47,843.70 7,525.62
2017-03-31 45,866.27 47,550.96 7,239.47
2016-12-31 44,064.93 47,500.44 6,177.65
2016-09-30 51,318.82 46,597.89 6,348.54
2016-06-30 50,780.40 46,992.57 6,522.15
2016-03-31 37,796.93 47,385.63 6,434.67
2015-12-31 41,739.22 48,736.52 8,236.75
2015-09-30 52,252.93 50,858.42 7,535.47
2015-06-30 56,547.51 46,164.50 8,211.35
2015-03-31 57,996.42 46,161.86 6,305.66
2014-12-31 56,848.50 42,145.38 3,843.91
2014-09-30 58,565.58 39,424.79 8,256.90
2014-06-30 61,155.22 35,551.60 9,110.26
2014-03-31 61,640.47 35,556.61 10,023.27
2013-12-31 61,577.30 34,455.64 9,693.49
2013-09-30 65,701.80 32,730.32 10,277.83
2013-06-30 66,670.47 32,016.46 11,014.62
2013-03-31 67,008.00 28,731.16 13,771.29
2012-12-31 68,069.27 28,488.04 8,854.31
2012-09-30 79,793.45 50,713.98 11,465.47
2012-06-30 79,037.98 49,277.43 11,709.95
  • Centrais Elétricas Brasileiras - Eletrobras's level of debt (97.5%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (57.7% vs 97.5% today).
  • Debt is not well covered by operating cash flow (2.7%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6.9x coverage).
X
Financial health checks
We assess Centrais Elétricas Brasileiras - Eletrobras's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Centrais Elétricas Brasileiras - Eletrobras has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

L3XC Dividends

 What is Centrais Elétricas Brasileiras - Eletrobras's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.02%
Current annual income from Centrais Elétricas Brasileiras - Eletrobras dividends. Estimated to be 4% next year.
If you bought €2,000 of Centrais Elétricas Brasileiras - Eletrobras shares you are expected to receive €80 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Centrais Elétricas Brasileiras - Eletrobras's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.43%).
  • Centrais Elétricas Brasileiras - Eletrobras's dividend is above the markets top 25% of dividend payers in Germany (3.86%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:L3XC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
Europe Electric Utilities Industry Average Dividend Yield Market Cap Weighted Average of 44 Stocks 4.5%
Germany Market Average Dividend Yield Market Cap Weighted Average of 326 Stocks 3.2%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:L3XC Future Dividends Estimate Data
Date (Data in R$) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31 1.07 1.00
2020-12-31 1.51 4.00
2019-12-31 1.19 1.00
DB:L3XC Past Annualized Dividends Data
Date (Data in R$) Dividend per share (annual) Avg. Yield (%)
2019-03-28 1.389 3.981
2018-11-13 0.000 0.000
2018-11-12 0.000 0.000
2018-08-14 0.000 0.000
2018-05-16 0.000 0.000
2018-05-15 0.000 0.000
2018-04-30 0.000 0.000
2014-03-28 1.634 18.659
2014-03-27 1.634 15.286
2013-03-28 1.630 16.762
2013-03-27 1.630 13.874
2012-07-03 1.634 11.980
2012-05-22 1.634 8.715
2012-04-18 1.634 7.532
2012-04-17 1.630 7.396
2011-10-17 1.631 6.570
2011-05-20 1.631 6.956
2011-05-16 1.631 5.762
2010-06-30 1.630 5.928
2010-03-30 1.630 5.714

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Centrais Elétricas Brasileiras - Eletrobras has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Centrais Elétricas Brasileiras - Eletrobras has only been paying a dividend for 9 years, and since then dividends per share have fallen.
Current Payout to shareholders
What portion of Centrais Elétricas Brasileiras - Eletrobras's earnings are paid to the shareholders as a dividend.
  • Dividends paid are thoroughly covered by earnings (7.7x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Centrais Elétricas Brasileiras - Eletrobras's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Centrais Elétricas Brasileiras - Eletrobras afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Centrais Elétricas Brasileiras - Eletrobras has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

L3XC Management

 What is the CEO of Centrais Elétricas Brasileiras - Eletrobras's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Wilson Ferreira Junior
AGE 59
TENURE AS CEO 2.8 years
CEO Bio

Mr. Wilson Pinto Ferreira Junior has been Chief Executive Officer at Centrais Elétricas Brasileiras S.A. - Eletrobras since July 22, 2016 and also serves as its Member of Board of Executive Officers. He served as Chief Financial and Investor Relations Officer of Eletrobras since January 11, 2019 until March 12, 2019. Mr. Ferreira Junior has been the Chief Executive Officer of CPFL Geracao de Energia S/A since 2002 and Vice President of Institutional Relations. Mr. Ferreira Junior serves as Chairman of the Board of Directors at Companhia Paulista de Força e Luz. Mr. Ferreira Junior served as Chief Executive Officer at CPFL Energia S.A. since August 28, 2002 until July 01, 2016 and served as its Member of Executive Board. He served as Chief Executive Officer of Companhia Piratininga de Força e Luz until 2015. He served as Chief Services & Relationship Officer, Vice President of Development Management and Executive Board Member of TOTVS S.A., and served as its Chief Development Officer since April 23, 2009. He served as Chief Business Development Officer at CPFL Energia S.A. and served as its Member of Executive Board. He served as Vice President of Institutional Relations at CPFL Energia S.A. Mr. Ferreira Junior served as Vice-President of Distribution Generation and Energy Management and Vice President of Strategy & Regulation at CPFL Energia S.A.; Chief Financial Officer and Head of Investor Relations since March 9, 2010 and President. Mr. Ferreira Junior served as the Chief Executive Officer of Companhia Paulista De Forca E Luz. He has 25 years of experience in the electric sector. He joined CPFL in 1998. He served as the Chairman of the Management Board at Companhia Paulista De Forca E Luz. Since March 2002, he served as Chief Executive Officer of Paulista. He served as the Chief Executive Officer of Gerao and CPFL Brasil. He served as President of Associao Brasileira de Distribuidores de Energia Eltrica - ABRADEE. Mr. Ferreira Junior participated in several specialization programs, such as workplace safety engineering from Mackenzie University, City of So Paulo in 1982, marketing from Fundao Getlio Vargas in 1988 and electricity distribution management from Swedish Power Co., Sweden in 1992. He served in several key positions in Companhia Energtica de So Paulo - CESP, where he served as Distribution Executive Officer from 1995 to 1998. From 1998 to 2000, he served as Chief Executive Officer of RGE. Mr. Ferreira Junior has been a Director at Centrais Elétricas Brasileiras S.A. - Eletrobras since July 22, 2016. He has been Chairman of Furnas Centrais Elétricas S.A., since August 11, 2016. Mr. Ferreira Junior serves as Chairman of the Board of Directors of ONS. He served as Chairman of the Board at CPFL Energias Renováveis S.A. until July 7, 2016 and served as its Director since May 31, 2012 until July 7, 2016. From 2000 to 2001, he served as the Chairman of Bandeirante Energia S.A. from 2000 to 2001. He serves as a Member of the Board of Directors of Semesa and Foz do Chapec. Mr. Ferreira Junior served as an Independent Director of Weg SA since April 27, 2010 until August 4, 2016. He serves as Vice-President of Associao Brasileira de Infra-Estrutura e Indstrias de Base - ABDIB. He was the President of the Brazilian Association of Electric Power Distributors - ABRADEE from 2009 to 2010. He served as President of Eletrobras. He is an Electrical Engineer. He served as a Director of Mangels Industrial S.A. Mr. Ferreira Junior Graduated with a Degree in Electrical Engineering from Mackenzie University, City of So Paulo, in 1981. He holds a Graduate Degree in Business Administration from the Mackenzie university in 1983 and a Masters Degree in Energy from the University of So Paulo-USP.

CEO Compensation
  • Insufficient data for Wilson to compare compensation growth.
  • Insufficient data for Wilson to establish whether their remuneration is reasonable compared to companies of similar size in Germany.
Management Team Tenure

Average tenure of the Centrais Elétricas Brasileiras - Eletrobras management team in years:

1.5
Average Tenure
  • The average tenure for the Centrais Elétricas Brasileiras - Eletrobras management team is less than 2 years, this suggests a new team.
Management Team

Wilson Ferreira Junior

TITLE
CEO, Member of Board of Executive Officers & Director
AGE
59
TENURE
2.8 yrs

Elvira Baracuhy Presta

TITLE
CFO, Chief Investor Relations Officer & Member of Board of Executive Officers
AGE
50
TENURE
0.2 yrs

Luiz Pereira de Andrade Figueira

TITLE
Chief Administrative Officer & Member of Board of Executive Officers

Lucia Maria Casasanta

TITLE
Chief Compliance Officer & Member of Board of Executive Officers

Antonio Varejao Godoy

TITLE
Chief Generation Officer & Member of Board of Executive Officers

Márcio Szechtman

TITLE
Chief Transmission Officer & Member of Board of Executive Officers

Luiz Hamann

TITLE
Chief Distribution Officer
TENURE
2.8 yrs

Marcella Solomon

TITLE
Secretary
TENURE
0.2 yrs

Maurício de Mazzini

TITLE
Legal Superintendent
Board of Directors Tenure

Average tenure and age of the Centrais Elétricas Brasileiras - Eletrobras board of directors in years:

2.8
Average Tenure
69
Average Age
  • The average tenure for the Centrais Elétricas Brasileiras - Eletrobras board of directors is less than 3 years, this suggests a new board.
Board of Directors

José Monforte

TITLE
Chairman of the Board
AGE
70
TENURE
1.8 yrs

Wilson Ferreira Junior

TITLE
CEO, Member of Board of Executive Officers & Director
AGE
59
TENURE
2.8 yrs

Agnes de Aragão da Costa

TITLE
Chairman of Fiscal Council

Mauro Gentile Cunha

TITLE
Director
AGE
47
TENURE
1.1 yrs

Carlos Eduardo Pereira

TITLE
Director
TENURE
2.8 yrs

Vicente Falconi Campos

TITLE
Director
AGE
76
TENURE
2.8 yrs

José Pais Rangel

TITLE
Director
AGE
78
TENURE
2.8 yrs

Ariosto Culau

TITLE
Director
AGE
49

Edvaldo Risso

TITLE
Director

Manoel Arlindo Torres

TITLE
Director
AGE
69
TENURE
1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Centrais Elétricas Brasileiras - Eletrobras's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Centrais Elétricas Brasileiras - Eletrobras has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

L3XC News

Simply Wall St News

L3XC Company Info

Description

Centrais Elétricas Brasileiras S.A. - Eletrobras, through its subsidiaries, engages in the generation, transmission, and distribution of electricity in Brazil. The company generates electricity through thermal, nuclear, wind, and hydroelectric plants. As of December 31, 2018, it owned and operated 32 hydroelectric plants with a total installed capacity of 44,221.05 megawatts; 105 thermal plants, including coal, and oil and gas power generation units with a total installed capacity of 2,403 megawatts; and 2 nuclear power plants comprising Angra I with an installed capacity of 640 megawatts and Angra II an installed capacity of 1,350 megawatts. It also operates 71,068 kilometers of transmission lines. The company was founded in 1962 and is based in Rio de Janeiro, Brazil.

Details
Name: Centrais Elétricas Brasileiras S.A. - Eletrobras
L3XC
Exchange: DB
Founded: 1962
R$10,022,815,292
1,352,634,100
Website: http://www.eletrobras.com
Address: Centrais Elétricas Brasileiras S.A. - Eletrobras
Rua da Quitanda, 196,
24th Floor,
Rio de Janeiro,
Rio de Janeiro, 20091-005,
Brazil
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BOVESPA ELET6 Preferred B Shares Bolsa de Valores de Sao Paulo BR BRL 07. Jan 1992
DB L3XA Preferred B Shares Deutsche Boerse AG DE EUR 07. Jan 1992
BME XELTB Preferred B Shares Bolsas y Mercados Espanoles ES EUR 07. Jan 1992
NYSE EBR.B ADR-EACH REPR 1 PRF'B'SHS NPV New York Stock Exchange US USD 25. Jun 2003
NYSE EBR ADR-EACH REPR 1 COM SHS NPV New York Stock Exchange US USD 05. Jan 1995
BOVESPA ELET5 Preferred A Shares Bolsa de Valores de Sao Paulo BR BRL 10. Feb 1994
BOVESPA ELET3 Common Shares Bolsa de Valores de Sao Paulo BR BRL 16. Jun 1993
DB L3XC ADR-EACH REPR 1 PRF'B'SHS NPV Deutsche Boerse AG DE EUR 25. Jun 2003
DB L3X Common Shares Deutsche Boerse AG DE EUR 16. Jun 1993
DB L3XB ADR-EACH REPR 1 COM SHS NPV Deutsche Boerse AG DE EUR 05. Jan 1995
BME XELTO Common Shares Bolsas y Mercados Espanoles ES EUR 16. Jun 1993
Number of employees
Current staff
Staff numbers
14,211
Centrais Elétricas Brasileiras - Eletrobras employees.
Industry
Electric Utilities
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/23 00:03
End of day share price update: 2019/05/22 00:00
Last estimates confirmation: 2019/04/25
Last earnings filing: 2019/05/14
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.