Endesa, S.A.

BME:ELE Stock Report

Market Cap: €20.9b

Endesa Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: ELE (€19.95) is trading above our estimate of fair value (€8.22)

Significantly Below Fair Value: ELE is trading above our estimate of fair value.

Key Valuation Metric

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

Key metric: As ELE is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ELE. This is calculated by dividing ELE's market cap by their current earnings.
What is ELE's PE Ratio?
PE Ratio19.4x
Earnings€1.09b
Market Cap€20.94b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ELE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.1x
RED Redeia Corporación
16.1x7.0%€9.0b
IBE Iberdrola
12.8x-2.6%€82.4b
ANA Acciona
32.8x13.0%€6.4b
NTGY Naturgy Energy Group
10.8x-4.8%€21.7b
ELE Endesa
19.4x9.9%€20.9b

Price-To-Earnings vs Peers: ELE is expensive based on its Price-To-Earnings Ratio (19.4x) compared to the peer average (18.1x).

Price to Earnings Ratio vs Industry

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

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ELE 19.4xIndustry Avg. 12.6xNo. of Companies10PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ELE is expensive based on its Price-To-Earnings Ratio (19.4x) compared to the European Electric Utilities industry average (12.6x).

Price to Earnings Ratio vs Fair Ratio

What is ELE'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.

ELE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.4x
Fair PE Ratio17.4x

Price-To-Earnings vs Fair Ratio: ELE is expensive based on its Price-To-Earnings Ratio (19.4x) compared to the estimated Fair Price-To-Earnings Ratio (17.4x).

Analyst Price Targets

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

The above table shows the analyst ELE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€19.95
€21.80
+9.3%
9.0%€25.30€19.50n/a21
Nov ’25€19.95
€21.66
+8.6%
8.4%€25.30€19.50n/a21
Oct ’25€19.80
€21.53
+8.7%
9.3%€25.30€18.50n/a21
Sep ’25€19.10
€21.21
+11.0%
9.9%€25.30€18.00n/a21
Aug ’25€17.97
€21.20
+18.0%
10.0%€25.30€18.00n/a21
Jul ’25€17.82
€20.87
+17.2%
10.8%€25.30€17.20n/a21
Jun ’25€18.30
€20.74
+13.3%
10.9%€25.30€17.20n/a21
May ’25€17.10
€21.08
+23.3%
12.1%€25.60€17.20n/a21
Apr ’25€17.17
€21.16
+23.2%
13.1%€25.60€16.30n/a21
Mar ’25€16.19
€21.56
+33.2%
12.2%€25.60€16.30n/a21
Feb ’25€18.09
€22.27
+23.1%
9.0%€25.60€18.30n/a21
Jan ’25€18.46
€22.08
+19.6%
8.7%€25.60€18.50n/a21
Dec ’24€19.30
€22.25
+15.3%
8.0%€25.60€19.50n/a21
Nov ’24€18.22
€22.38
+22.8%
8.0%€25.60€19.50€19.9521
Oct ’24€19.28
€22.61
+17.3%
7.5%€25.60€19.50€19.8021
Sep ’24€19.10
€22.54
+18.0%
7.7%€25.60€19.50€19.1022
Aug ’24€19.26
€22.54
+17.0%
7.7%€25.60€19.50€17.9722
Jul ’24€19.65
€22.46
+14.3%
8.0%€25.60€19.50€17.8222
Jun ’24€20.73
€22.02
+6.2%
8.9%€25.30€18.00€18.3022
May ’24€20.37
€21.89
+7.5%
9.2%€25.30€18.00€17.1022
Apr ’24€20.00
€21.85
+9.2%
8.9%€25.30€18.00€17.1722
Mar ’24€18.16
€21.74
+19.8%
8.3%€25.30€18.00€16.1921
Feb ’24€18.20
€21.53
+18.3%
8.5%€25.30€18.00€18.0921
Jan ’24€17.64
€21.59
+22.4%
9.3%€26.50€18.00€18.4620
Dec ’23€17.96
€21.98
+22.4%
11.2%€28.20€18.00€19.3021
Nov ’23€16.87
€22.60
+34.0%
10.7%€28.20€18.50€18.2221

Analyst Forecast: Target price is less than 20% higher than the current share price.

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