Galp Energia, SGPS, S.A.

BATS-CHIXE:GALPU Stock Report

Market Cap: €12.1b

Galp Energia SGPS Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 GALPU when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: GALPU (€15.88) is trading above our estimate of fair value (€11.82)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for GALPU. This is calculated by dividing GALPU's market cap by their current earnings.
What is GALPU's PE Ratio?
PE Ratio9x
Earnings€1.34b
Market Cap€12.09b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for GALPU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average25.7x
BP. BP
28.2x28.5%UK£60.5b
SHEL Shell
12.8x4.8%UK£157.3b
HBR Harbour Energy
48.4x14.4%UK£3.7b
ITH Ithaca Energy
13.3x-8.8%UK£1.7b
GALPU Galp Energia SGPS
9x-11.2%€12.1b

Price-To-Earnings vs Peers: GALPU is good value based on its Price-To-Earnings Ratio (9x) compared to the peer average (26.3x).

Price to Earnings Ratio vs Industry

How does GALPU's PE Ratio compare vs other companies in the GB Oil and Gas Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ROSN Rosneft Oil
1.5xn/aUS$21.03b
INDI Indus Gas
0.9xn/aUS$17.76m
No more companies available in this PE range
No. of Companies5PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: GALPU is good value based on its Price-To-Earnings Ratio (9x) compared to the UK Oil and Gas industry average (9.1x).

Price to Earnings Ratio vs Fair Ratio

What is GALPU'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.

GALPU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9x
Fair PE Ration/a

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

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 GALPU forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€15.88
€20.57
+29.5%
12.0%€26.00€15.50n/a20
Nov ’25€16.05
€20.69
+28.9%
12.3%€27.00€16.50n/a19
Oct ’25€16.30
€21.65
+32.8%
12.7%€27.00€17.50n/a18
Sep ’25€18.81
€22.18
+17.9%
12.3%€28.00€17.50n/a18
Aug ’25n/a
€22.23
0%
11.9%€28.00€18.40n/a18
Jul ’25€19.92
€21.73
+9.1%
14.2%€28.00€14.00n/a18
Jun ’25€19.76
€21.68
+9.7%
14.2%€28.00€14.00n/a18
May ’25€20.32
€20.04
-1.4%
16.6%€25.00€14.00n/a18
Apr ’25n/a
€15.34
0%
13.6%€18.00€9.00n/a18
Mar ’25€14.71
€15.33
+4.2%
13.0%€18.00€9.00n/a19
Feb ’25€14.67
€15.02
+2.4%
14.7%€18.00€9.00n/a19
Jan ’25n/a
€14.48
0%
14.3%€19.00€9.00n/a19
Dec ’24€13.65
€14.54
+6.5%
14.3%€19.00€9.00n/a19
Nov ’24n/a
€14.56
0%
14.9%€19.00€9.00€16.0519
Oct ’24€14.22
€13.98
-1.6%
16.2%€19.00€9.00€16.3019
Sep ’24n/a
€13.61
0%
16.4%€19.00€9.00€18.8119
Aug ’24€11.92
€13.63
+14.3%
14.7%€18.00€10.00n/a19
Jul ’24€10.54
€13.33
+26.4%
15.6%€18.00€10.00€19.9219
Jun ’24€10.00
€13.43
+34.3%
15.8%€18.00€10.00€19.7619
May ’24€10.88
€13.55
+24.6%
16.2%€19.00€10.30€20.3220
Apr ’24€10.45
€13.81
+32.1%
15.4%€19.00€10.60n/a20
Mar ’24€11.56
€14.05
+21.5%
15.2%€19.00€10.00€14.7120
Feb ’24€12.58
€14.30
+13.7%
14.9%€19.00€10.00€14.6720
Jan ’24€12.69
€14.01
+10.4%
14.5%€17.00€10.00n/a20
Dec ’23€11.65
€13.98
+20.0%
15.0%€18.00€10.00€13.6520
Nov ’23€10.50
€13.75
+31.0%
15.1%€18.00€10.00n/a21

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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