A Fresh Look at Eni (BIT:ENI) Valuation Following Its Recent Share Price Movement

Eni (BIT:ENI) shares have seen modest movement over the past week, with a slight dip of almost 2%. Investors are evaluating the stock’s current price in comparison to its recent three month climb of almost 7%.

See our latest analysis for Eni.

Looking beyond this week’s move, Eni’s short-term momentum shows some signs of fading after its strong run over the past quarter. Still, the 1-year total shareholder return sits at a solid 13.3%, suggesting that patient investors who benefited from dividends and buybacks have outperformed simple share price returns in the same period.

If you’re curious where else strong momentum and management alignment are driving results, now could be a great time to discover fast growing stocks with high insider ownership

The question now facing investors is whether Eni’s recent pullback reveals a market underestimating its future growth, or if the stock’s current price already includes all the optimism about its prospects.

Most Popular Narrative: 3.1% Undervalued

Eni’s fair value estimate now stands at €15.35, which is just above the last close of €14.88. The narrative’s close gap to market price makes the underlying forecasts particularly important to understand.

Eni's strategic expansion in LNG, highlighted by leading floating LNG investments in Africa, the Eastern Mediterranean, and new ventures in Argentina and Southeast Asia, positions the company to capture rising global demand for diverse and secure natural gas supplies. This geographic and product diversification is expected to drive future revenue and stabilize earnings amid energy transition volatility.

Read the complete narrative.

What is fueling this “undervalued” story? One set of aggressive profit projections, ambitious margin expansion plans, and a rare multiple downgrade not typical for this sector. Want to uncover the numbers powering this view and why so many analysts buy in? Don’t miss the full narrative; it puts a bold spin on Eni’s next chapter.

Result: Fair Value of €15.35 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent losses in legacy chemicals and delayed renewable profitability could threaten Eni's growth outlook if improvements do not occur soon.

Find out about the key risks to this Eni narrative.

Another View: Multiples Tell a Different Story

Looking at Eni’s valuation through the lens of its price-to-earnings ratio reveals a different angle. Eni trades at 19.8x earnings, making it pricier than both its industry peers (average 13.8x) and the market’s fair ratio of 18.2x. This suggests investors are paying a premium, potentially increasing valuation risk if growth does not accelerate. Could the market be too optimistic, or does this premium reflect unseen strengths?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own Eni Narrative

If you see a different story in the data or want to dig deeper into the details yourself, it takes less than three minutes to build your own view. Do it your way.

A great starting point for your Eni research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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