Executive Summary
A2A S.p.A. engages in the production, sale, and distribution of gas and electricity, and district heating in Italy. More Details
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with solid track record and pays a dividend.
Similar Companies
Share Price & News
How has A2A's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: A2A is less volatile than 75% of Italian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: A2A's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-1.8%
A2A
-0.3%
IT Integrated Utilities
-2.2%
IT Market
1 Year Return
-26.4%
A2A
-7.3%
IT Integrated Utilities
-11.1%
IT Market
Return vs Industry: A2A underperformed the Italian Integrated Utilities industry which returned -7.3% over the past year.
Return vs Market: A2A underperformed the Italian Market which returned -11.2% over the past year.
Shareholder returns
| A2A | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.8% | -0.3% | -2.2% |
| 30 Day | 2.5% | 4.7% | 0.5% |
| 90 Day | 12.9% | 4.1% | 13.3% |
| 1 Year | -21.5%-26.4% | -4.3%-7.3% | -8.3%-11.1% |
| 3 Year | -3.8%-17.1% | 22.5%7.4% | -3.9%-14.0% |
| 5 Year | 51.5%21.9% | 34.6%4.8% | 25.4%-9.3% |
Long-Term Price Volatility Vs. Market
How volatile is A2A's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
Is A2A (BIT:A2A) Using Too Much Debt?2 weeks ago | Simply Wall St
A2A's(BIT:A2A) Share Price Is Down 22% Over The Past Year.1 month ago | Simply Wall St
Is A2A S.p.A.'s (BIT:A2A) Latest Stock Performance Being Led By Its Strong Fundamentals?Valuation
Is A2A undervalued compared to its fair value and its price relative to the market?
31.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: A2A (€1.31) is trading below our estimate of fair value (€1.92)
Significantly Below Fair Value: A2A is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: A2A is good value based on its PE Ratio (11.4x) compared to the XE Integrated Utilities industry average (19.9x).
PE vs Market: A2A is good value based on its PE Ratio (11.4x) compared to the Italian market (20.2x).
Price to Earnings Growth Ratio
PEG Ratio: A2A is poor value based on its PEG Ratio (2x)
Price to Book Ratio
PB vs Industry: A2A is good value based on its PB Ratio (1.2x) compared to the XE Integrated Utilities industry average (1.7x).
Next Steps
Future Growth
How is A2A forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
5.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: A2A's forecast earnings growth (5.7% per year) is above the savings rate (1.9%).
Earnings vs Market: A2A's earnings (5.7% per year) are forecast to grow slower than the Italian market (21.6% per year).
High Growth Earnings: A2A's earnings are forecast to grow, but not significantly.
Revenue vs Market: A2A's revenue (4% per year) is forecast to grow faster than the Italian market (3.2% per year).
High Growth Revenue: A2A's revenue (4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: A2A's Return on Equity is forecast to be low in 3 years time (9.8%).
Next Steps
Past Performance
How has A2A performed over the past 5 years?
22.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: A2A has high quality earnings.
Growing Profit Margin: A2A's current net profit margins (5.4%) are higher than last year (3.6%).
Past Earnings Growth Analysis
Earnings Trend: A2A's earnings have grown significantly by 22.5% per year over the past 5 years.
Accelerating Growth: A2A's earnings growth over the past year (38.9%) exceeds its 5-year average (22.5% per year).
Earnings vs Industry: A2A earnings growth over the past year (38.9%) exceeded the Integrated Utilities industry 4%.
Return on Equity
High ROE: A2A's Return on Equity (10.4%) is considered low.
Next Steps
Financial Health
How is A2A's financial position?
Financial Position Analysis
Short Term Liabilities: A2A's short term assets (€2.8B) exceed its short term liabilities (€2.7B).
Long Term Liabilities: A2A's short term assets (€2.8B) do not cover its long term liabilities (€4.2B).
Debt to Equity History and Analysis
Debt Level: A2A's debt to equity ratio (96.9%) is considered high.
Reducing Debt: A2A's debt to equity ratio has reduced from 116.6% to 96.9% over the past 5 years.
Debt Coverage: A2A's debt is well covered by operating cash flow (23.3%).
Interest Coverage: A2A's interest payments on its debt are well covered by EBIT (9.2x coverage).
Balance Sheet
Next Steps
Dividend
What is A2A current dividend yield, its reliability and sustainability?
5.90%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: A2A's dividend (5.9%) is higher than the bottom 25% of dividend payers in the Italian market (1.43%).
High Dividend: A2A's dividend (5.9%) is in the top 25% of dividend payers in the Italian market (4.57%)
Stability and Growth of Payments
Stable Dividend: A2A's dividend payments have been volatile in the past 10 years.
Growing Dividend: A2A's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (67.1%), A2A's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: A2A's dividends in 3 years are forecast to be covered by earnings (83.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.0yrs
Average board tenure
CEO
Renato Mazzoncini
1
Tenure
Renato Mazzoncini serves as CEO, MD & Director at A2A S.p.A. since 2020.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, MD & Director | 1yr | no data | no data | |
| Chairman of Board of Statutory Auditors | no data | €55.54k | no data | |
| Non-Executive Director | 5.58yrs | €99.85k | no data | |
| Non-Executive Director | no data | €99.37k | no data | |
| Vice Chairman of the Board | 1yr | €140.37k | no data | |
| Non-Executive Director | 3.67yrs | no data | no data | |
| Non-Executive Director | 2yrs | no data | no data | |
| Director | 1yr | no data | no data | |
| Chairman of the Board | 1yr | no data | no data | |
| Lead Independent Director | 0.17yr | no data | no data | |
| Director | 1yr | no data | no data | |
| Director | 1yr | no data | no data |
1.0yrs
Average Tenure
58yo
Average Age
Experienced Board: A2A's board of directors are not considered experienced ( 1 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
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.
Top Shareholders
Company Information
A2A S.p.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: A2A S.p.A.
- Ticker: A2A
- Exchange: BIT
- Founded:
- Industry: Multi-Utilities
- Sector: Utilities
- Market Cap: €4.082b
- Shares outstanding: 3.11b
- Website: https://www.a2a.eu
Number of Employees
Location
- A2A S.p.A.
- Via Lamarmora 230
- Brescia
- Brescia
- 25124
- Italy
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| A2A | BIT (Borsa Italiana) | Yes | Ordinary Shares | IT | EUR | Jul 1998 |
| EAM | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jul 1998 |
| 0N54 | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | EUR | Jul 1998 |
| AEMM.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jul 1998 |
| A2AM | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | EUR | Jul 1998 |
| A2A | WBAG (Wiener Boerse AG) | Yes | Ordinary Shares | AT | EUR | Jul 1998 |
| AEMM.Y | OTCPK (Pink Sheets LLC) | ADR | US | USD | Jan 2009 |
Biography
A2A S.p.A. engages in the production, sale, and distribution of gas and electricity, and district heating in Italy. The company generates electricity through hydroelectric, thermoelectric, and photovoltaic...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/16 20:05 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.