BIT:ENAV

Stock Analysis Report

Executive Summary

ENAV S.p.A. provides air navigation services primarily in Italy.


Snowflake Analysis

Excellent balance sheet with acceptable track record.

Share Price & News

How has ENAV's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ENAV has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.8%

ENAV

-2.9%

IT Infrastructure

-0.2%

IT Market


1 Year Return

27.3%

ENAV

12.2%

IT Infrastructure

17.2%

IT Market

Return vs Industry: ENAV exceeded the Italian Infrastructure industry which returned 15.6% over the past year.

Return vs Market: ENAV exceeded the Italian Market which returned 18.6% over the past year.


Shareholder returns

ENAVIndustryMarket
7 Day2.8%-2.9%-0.2%
30 Day4.2%-4.7%1.0%
90 Day6.7%-5.3%6.3%
1 Year32.7%27.3%16.4%12.2%22.5%17.2%
3 Year86.5%63.2%29.6%16.7%25.7%7.4%
5 Yearn/a35.0%12.7%24.6%-17.5%

Price Volatility Vs. Market

How volatile is ENAV's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is ENAV undervalued compared to its fair value and its price relative to the market?

26.39x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ENAV (€5.55) is trading above our estimate of fair value (€3.04)

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


Price To Earnings Ratio

PE vs Industry: ENAV is poor value based on its PE Ratio (26.3x) compared to the Infrastructure industry average (17.1x).

PE vs Market: ENAV is poor value based on its PE Ratio (26.3x) compared to the Italian market (18.7x).


Price to Earnings Growth Ratio

PEG Ratio: ENAV is poor value based on its PEG Ratio (3.9x)


Price to Book Ratio

PB vs Industry: ENAV is overvalued based on its PB Ratio (2.7x) compared to the IT Infrastructure industry average (1.4x).


Next Steps

Future Growth

How is ENAV forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

6.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ENAV's forecast earnings growth (6.7% per year) is above the savings rate (1.2%).

Earnings vs Market: ENAV's earnings (6.7% per year) are forecast to grow slower than the Italian market (8.7% per year).

High Growth Earnings: ENAV's earnings are forecast to grow, but not significantly.

Revenue vs Market: ENAV's revenue (1.9% per year) is forecast to grow slower than the Italian market (3.8% per year).

High Growth Revenue: ENAV's revenue (1.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ENAV's Return on Equity is forecast to be low in 3 years time (10.7%).


Next Steps

Past Performance

How has ENAV performed over the past 5 years?

20.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ENAV has high quality earnings.

Growing Profit Margin: ENAV's current net profit margins (13.2%) are higher than last year (13.1%).


Past Earnings Growth Analysis

Earnings Trend: ENAV's earnings have grown significantly by 20% per year over the past 5 years.

Accelerating Growth: ENAV's earnings growth over the past year (3.5%) is below its 5-year average (20% per year).

Earnings vs Industry: ENAV earnings growth over the past year (3.5%) underperformed the Infrastructure industry 4.7%.


Return on Equity

High ROE: ENAV's Return on Equity (10.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is ENAV's financial position?


Financial Position Analysis

Short Term Liabilities: ENAV's short term assets (€760.0M) exceed its short term liabilities (€287.7M).

Long Term Liabilities: ENAV's short term assets (€760.0M) exceed its long term liabilities (€565.5M).


Debt to Equity History and Analysis

Debt Level: ENAV's debt to equity ratio (30.4%) is considered satisfactory.

Reducing Debt: ENAV's debt to equity ratio has increased from 17.5% to 30.4% over the past 5 years.

Debt Coverage: ENAV's debt is well covered by operating cash flow (96.4%).

Interest Coverage: ENAV's interest payments on its debt are well covered by EBIT (34.6x coverage).


Balance Sheet

Inventory Level: ENAV has a high level of physical assets or inventory.

Debt Coverage by Assets: ENAV's debt is covered by short term assets (assets are 2.2x debt).


Next Steps

Dividend

What is ENAV's current dividend yield, its reliability and sustainability?

3.58%

Current Dividend Yield


Dividend Yield vs Market

company3.6%marketbottom25%2.0%markettop25%4.2%industryaverage4.0%forecastin3Years3.9%

Current dividend yield vs market & industry

Notable Dividend: ENAV's dividend (3.6%) is higher than the bottom 25% of dividend payers in the Italian market (1.97%).

High Dividend: ENAV's dividend (3.6%) is low compared to the top 25% of dividend payers in the Italian market (4.19%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, ENAV has been paying a dividend for less than 10 years.

Growing Dividend: ENAV's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (94.5%), ENAV's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ENAV's dividends in 3 years are not forecast to be well covered by earnings (98% payout ratio).


Next Steps

Management

What is the CEO of ENAV's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average board tenure


CEO

Roberta Neri 0

4.5yrs

Tenure

€367,638

Compensation

Ms. Roberta Neri has been the Chief Executive Officer of ENAV S.p.A. since July 07, 2015. Ms. Neri worked for ACEA S.p.A. She served as Planning and Finance Director at ACEA S.p.A. until March 2009. From S ...


CEO Compensation Analysis

Compensation vs Market: Roberta's total compensation ($USD0.00) is below average for companies of similar size in the Italian market ($USD1.68M).

Compensation vs Earnings: Insufficient data to compare Roberta's compensation with company performance.


Board Age and Tenure

3.8yrs

Average Tenure

Experienced Board: ENAV's board of directors are considered experienced (3.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Roberta Neri

    CEO & Director

    • Tenure: 4.5yrs
    • Compensation: €367.64k
  • Luca Morelli

    Head of Internal Communication

    • Giulio Gamaleri

      Head of Brand Development

      • Luca Colman

        Chief Financial Officer

        • Florenziano Bettini

          Head of Integrated Compliance and Rick Management

          • Raffaella Romagnoli

            General Counsel and Head of Legal

            • Stefano Songini

              Head of Communication and Investor Relations

              • Vincenzo Smorto

                Chief Technology Officer

                • Maurizio Paggetti

                  Chief Operating Officer

                  • Cesare Ranieri

                    Chief HR and Corporate Services Officer


                    Board Members

                    • Roberta Neri

                      CEO & Director

                      • Tenure: 4.5yrs
                      • Compensation: €367.64k
                    • Maria Di Matteo

                      Non-Executive Director

                      • Tenure: 4.6yrs
                      • Compensation: €49.53k
                    • Nicola Maione

                      Chairman of the Board

                      • Tenure: 1.2yrs
                      • Compensation: €41.08k
                    • Devan De Paolis

                      Head of Internal Audit

                      • Mario Vinzia (57yo)

                        Non Executive Director

                        • Tenure: 3.8yrs
                      • Franca Brusco

                        Member of Board of Statutory Auditors

                        • Tenure: 3.8yrs
                      • Carlo Paris

                        Independent Director

                        • Antonio Santi (42yo)

                          Independent Director

                          • Dario Righetti

                            Chairman of the Board of Statutory Auditors

                            • Tenure: 0.8yrs
                          • Francesco Alfonso

                            Chairman of Supervisory Body

                            Company Information

                            ENAV S.p.A.'s company bio, employee growth, exchange listings and data sources


                            Key Information

                            • Name: ENAV S.p.A.
                            • Ticker: ENAV
                            • Exchange: BIT
                            • Founded:
                            • Industry: Airport Services
                            • Sector: Transportation
                            • Market Cap: €3.023b
                            • Shares outstanding: 541.74m
                            • Website: https://www.enav.it

                            Number of Employees


                            Location

                            • ENAV S.p.A.
                            • Via Salaria 716
                            • Rome
                            • Rome
                            • 138
                            • Italy

                            Listings

                            TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
                            ENAVBIT (Borsa Italiana)YesCommon StockITEURJul 2016
                            ENVDB (Deutsche Boerse AG)YesCommon StockDEEURJul 2016
                            0RIELSE (London Stock Exchange)YesCommon StockGBEURJul 2016
                            ENAVMBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEURJul 2016
                            EENN.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJul 2016

                            Biography

                            ENAV S.p.A. provides air navigation services primarily in Italy. The company operates in two segments, Flight Assistance Services and Maintenance Services. It offers air traffic control services, including air traffic handling, ATM platform, surveillance and navigation, and telecoms; airspace design; meteorology services, such as weather reports and forecasts; aeronautical information; flight inspection; engineering and maintenance; research and innovation; air traffic management training; and online services. The company also engages in the international activities, such as European aviation safety, network management, and deployment management; and the provision of business consulting services comprising aeronautical consulting and design, training, and flight calibration. In addition, it installs, maintains, and monitors various hardware and software systems; and develops and tests new technologies, as well as offers consultancy and services to international markets. The company is based in Rome, Italy. 


                            Company Analysis and Financial Data Status

                            All financial data provided by Standard & Poor's Capital IQ.
                            DataLast Updated (UTC time)
                            Company Analysis2020/01/16 21:41
                            End of Day Share Price2020/01/16 00:00
                            Earnings2019/09/30
                            Annual Earnings2018/12/31


                            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.