Naturgy Energy Group, S.A.

LSE:0NPV Stock Report

Market Cap: €22.0b

Naturgy Energy Group Valuation

Is 0NPV 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 0NPV when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0NPV (€22.98) is trading above our estimate of fair value (€18.83)

Significantly Below Fair Value: 0NPV is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0NPV?

Key metric: As 0NPV is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0NPV. This is calculated by dividing 0NPV's market cap by their current earnings.
What is 0NPV's PE Ratio?
PE Ratio11x
Earnings€2.01b
Market Cap€22.04b

Price to Earnings Ratio vs Peers

How does 0NPV's PE Ratio compare to its peers?

The above table shows the PE ratio for 0NPV vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average35.3x
SSE SSE
10x5.3%UK£19.0b
UU. United Utilities Group
67.6x24.4%UK£7.6b
SVT Severn Trent
35.6x24.3%UK£8.2b
NG. National Grid
27.9x15.5%UK£48.1b
0NPV Naturgy Energy Group
11x-5.0%€22.0b

Price-To-Earnings vs Peers: 0NPV is good value based on its Price-To-Earnings Ratio (11x) compared to the peer average (35.3x).

Price to Earnings Ratio vs Industry

How does 0NPV's PE Ratio compare vs other companies in the Global Gas Utilities Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0NPV 11.0xIndustry Avg. 14.3xNo. of Companies17PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0NPV is good value based on its Price-To-Earnings Ratio (11x) compared to the Global Gas Utilities industry average (14.3x).

Price to Earnings Ratio vs Fair Ratio

What is 0NPV'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.

0NPV PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11x
Fair PE Ratio12.9x

Price-To-Earnings vs Fair Ratio: 0NPV is good value based on its Price-To-Earnings Ratio (11x) compared to the estimated Fair Price-To-Earnings Ratio (12.9x).

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 0NPV forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€22.98
€24.16
+5.1%
5.6%€27.00€21.00n/a16
Nov ’25€23.12
€24.16
+4.5%
5.6%€27.00€21.00n/a16
Oct ’25€23.50
€24.16
+2.8%
5.2%€26.50€21.00n/a17
Sep ’25€23.12
€24.11
+4.3%
5.4%€26.50€21.00n/a16
Aug ’25€22.20
€24.11
+8.6%
5.5%€26.50€21.00n/a15
Jul ’25€20.54
€24.18
+17.7%
7.4%€27.80€21.00n/a15
Jun ’25€24.56
€23.88
-2.8%
6.7%€27.80€21.00n/a15
May ’25€23.72
€23.84
+0.5%
6.7%€27.80€21.00n/a15
Apr ’25€20.10
€23.53
+17.0%
10.8%€27.80€16.00n/a16
Mar ’25€21.88
€23.53
+7.5%
10.8%€27.80€16.00n/a16
Feb ’25€24.86
€24.09
-3.1%
11.0%€27.80€16.00n/a17
Jan ’25€26.94
€24.31
-9.8%
11.1%€27.80€16.00n/a17
Dec ’24€27.41
€24.25
-11.5%
11.1%€27.80€16.00n/a17
Nov ’24€26.68
€24.25
-9.1%
11.1%€27.80€16.00€23.1217
Oct ’24€25.86
€24.30
-6.1%
11.4%€28.30€16.00€23.5017
Sep ’24€26.68
€24.47
-8.3%
11.9%€28.30€16.00€23.1217
Aug ’24€27.41
€24.50
-10.6%
11.9%€28.30€16.00€22.2017
Jul ’24€27.26
€24.16
-11.4%
11.8%€29.60€16.00€20.5417
Jun ’24€26.58
€23.99
-9.7%
12.1%€29.60€16.00€24.5617
May ’24€28.30
€23.93
-15.4%
12.3%€29.60€16.00€23.7216
Apr ’24€27.75
€23.87
-14.0%
12.3%€29.60€16.00€20.1016
Mar ’24€26.00
€23.81
-8.4%
12.1%€29.60€16.00€21.8816
Feb ’24€26.00
€23.18
-10.9%
12.3%€29.60€16.00€24.8615
Jan ’24€24.71
€23.09
-6.6%
12.5%€29.60€16.00€26.9415
Dec ’23€26.86
€22.79
-15.2%
12.2%€29.60€16.00€27.4116
Nov ’23€25.85
€22.75
-12.0%
12.2%€29.60€16.00€26.6816

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

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