Executive Summary
Enel SpA operates as an integrated electricity and gas operator worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Unattractive dividend payer and overvalued.
Similar Companies
Share Price & News
How has Enel's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ENEL has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
2.0%
ENEL
2.2%
IT Electric Utilities
-0.3%
IT Market
1 Year Return
60.0%
ENEL
33.6%
IT Electric Utilities
15.6%
IT Market
Return vs Industry: ENEL exceeded the Italian Electric Utilities industry which returned 33.6% over the past year.
Return vs Market: ENEL exceeded the Italian Market which returned 15.6% over the past year.
Shareholder returns
| ENEL | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.0% | 2.2% | -0.3% |
| 30 Day | 8.0% | 7.2% | 2.9% |
| 90 Day | 23.5% | 20.2% | 4.5% |
| 1 Year | 67.1%60.0% | 38.8%33.6% | 20.7%15.6% |
| 3 Year | 141.8%111.1% | 87.7%63.5% | 39.4%25.4% |
| 5 Year | 158.5%105.1% | 68.4%30.2% | 15.8%-23.8% |
Price Volatility Vs. Market
How volatile is Enel's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
These 4 Measures Indicate That Enel (BIT:ENEL) Is Using Debt Extensively3 weeks ago | Simply Wall St
Is Enel's (BIT:ENEL) Share Price Gain Of 104% Well Earned?1 month ago | Simply Wall St
Here's Why We're Wary Of Buying Enel SpA's (BIT:ENEL) For Its Upcoming DividendValuation
Is Enel undervalued compared to its fair value and its price relative to the market?
13.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ENEL (€8.44) is trading below our estimate of fair value (€9.71)
Significantly Below Fair Value: ENEL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: ENEL is poor value based on its PE Ratio (33.5x) compared to the Electric Utilities industry average (13.5x).
PE vs Market: ENEL is poor value based on its PE Ratio (33.5x) compared to the Italian market (18.7x).
Price to Earnings Growth Ratio
PEG Ratio: ENEL is poor value based on its PEG Ratio (4x)
Price to Book Ratio
PB vs Industry: ENEL is overvalued based on its PB Ratio (2.8x) compared to the XE Electric Utilities industry average (1x).
Next Steps
Future Growth
How is Enel forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?
8.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ENEL's forecast earnings growth (8.3% per year) is above the savings rate (1.2%).
Earnings vs Market: ENEL's earnings (8.3% per year) are forecast to grow slower than the Italian market (10% per year).
High Growth Earnings: ENEL's earnings are forecast to grow, but not significantly.
Revenue vs Market: ENEL's revenue (2.2% per year) is forecast to grow slower than the Italian market (4.2% per year).
High Growth Revenue: ENEL's revenue (2.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ENEL's Return on Equity is forecast to be low in 3 years time (16.6%).
Next Steps
Past Performance
How has Enel performed over the past 5 years?
26.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ENEL has a large one-off loss of €3.6B impacting its September 30 2019 financial results.
Growing Profit Margin: ENEL's current net profit margins (3.4%) are lower than last year (5.7%).
Past Earnings Growth Analysis
Earnings Trend: ENEL's earnings have grown significantly by 26.7% per year over the past 5 years.
Accelerating Growth: ENEL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ENEL had negative earnings growth (-38%) over the past year, making it difficult to compare to the Electric Utilities industry average (6%).
Return on Equity
High ROE: ENEL's Return on Equity (8.1%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Enel's financial position?
Financial Position Analysis
Short Term Liabilities: ENEL's short term assets (€36.1B) do not cover its short term liabilities (€39.1B).
Long Term Liabilities: ENEL's short term assets (€36.1B) do not cover its long term liabilities (€83.1B).
Debt to Equity History and Analysis
Debt Level: ENEL's debt to equity ratio (128%) is considered high.
Reducing Debt: ENEL's debt to equity ratio has increased from 115.5% to 128% over the past 5 years.
Debt Coverage: ENEL's debt is not well covered by operating cash flow (19%).
Interest Coverage: ENEL's interest payments on its debt are well covered by EBIT (4.3x coverage).
Balance Sheet
Inventory Level: ENEL has a high level of physical assets or inventory.
Debt Coverage by Assets: ENEL's debt is not covered by short term assets (assets are 0.6x debt).
Next Steps
Dividend
What is Enel's current dividend yield, its reliability and sustainability?
3.79%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: ENEL's dividend (3.79%) is higher than the bottom 25% of dividend payers in the Italian market (2%).
High Dividend: ENEL's dividend (3.79%) is low compared to the top 25% of dividend payers in the Italian market (4.47%).
Stability and Growth of Payments
Stable Dividend: ENEL's dividend payments have been volatile in the past 10 years.
Growing Dividend: ENEL's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (118.9%), ENEL's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ENEL's dividends in 3 years are forecast to be covered by earnings (70.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.7yrs
Average management tenure
CEO
Francesco Starace (64yo)
5.8yrs
Tenure
€2,725,764
Compensation
Mr. Francesco Starace has been the Chief Executive Officer and General Manager of Enel SpA since May 27, 2014. Mr. Starace served as the Chief Executive Officer and General Manager of Enel Green Power S.p. ...
CEO Compensation Analysis
Compensation vs Market: Francesco's total compensation ($USD0.00) is below average for companies of similar size in the Italian market ($USD3.60M).
Compensation vs Earnings: Francesco's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, GM & Director | 5.8yrs | €2.73m | no data | |
| Chief Financial Officer | 5.3yrs | no data | no data | |
| Head of Group Investor Relations | 0yrs | no data | no data | |
| Head of Legal & Corporate Affairs | 4.1yrs | no data | no data | |
| Head of Communications of the Group | 1.3yrs | no data | no data | |
| Head of Human Resources & Organization | 5.6yrs | no data | no data | |
| Head of Country Italy | 15.1yrs | €37.81k | no data | |
| Head of Global Infrastructure & Networks | 15.1yrs | no data | no data | |
| Head of Global Trading | 14.7yrs | no data | no data | |
| Head of Global Media Relations | 0yrs | no data | no data |
5.7yrs
Average Tenure
60yo
Average Age
Experienced Management: ENEL's management team is seasoned and experienced (5.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, GM & Director | 5.8yrs | €2.73m | no data | |
| Independent Director | 8.8yrs | €146.00k | no data | |
| Independent Director | 2.8yrs | no data | no data | |
| Chairman of the Board | 5.8yrs | €246.90k | no data | |
| Independent Director | 5.8yrs | €142.00k | no data | |
| Independent Director | 5.8yrs | €137.00k | no data | |
| Independent Director | 5.8yrs | €142.00k | no data | |
| Chairman of the Board of Statutory Auditors | 0.8yrs | no data | no data | |
| Independent Director | 5.8yrs | €142.00k | no data | |
| Independent Director | 4.8yrs | €75.34k | no data |
5.8yrs
Average Tenure
64.5yo
Average Age
Experienced Board: ENEL's board of directors are considered experienced (5.8 years average tenure).
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
Enel SpA's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Enel SpA
- Ticker: ENEL
- Exchange: BIT
- Founded: 1962
- Industry: Electric Utilities
- Sector: Utilities
- Market Cap: €85.834b
- Shares outstanding: 10.17b
- Website: https://www.enel.com
Number of Employees
Location
- Enel SpA
- Viale Regina Margherita, 137
- Rome
- Rome
- 198
- Italy
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ENL | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Nov 1999 |
| ENEL | BIT (Borsa Italiana) | Yes | Ordinary Shares | IT | EUR | Nov 1999 |
| ESOC.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Nov 1999 |
| 0NRE | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | EUR | Nov 1999 |
| ENL | XTRA (XETRA Trading Platform) | Yes | Ordinary Shares | DE | EUR | Nov 1999 |
| ENEL | SWX (SIX Swiss Exchange) | Yes | Ordinary Shares | CH | CHF | Nov 1999 |
| ENEL N | BMV (Bolsa Mexicana de Valores) | Yes | Ordinary Shares | MX | MXN | Nov 1999 |
| ENEL | WBAG (Wiener Boerse AG) | Yes | Ordinary Shares | AT | EUR | Nov 1999 |
| ENLA.Y | OTCPK (Pink Sheets LLC) | UN SPON ADR EA REPR 1 ORD SHS | US | USD | Apr 2008 | |
| ENLA | DB (Deutsche Boerse AG) | UN SPON ADR EA REPR 1 ORD SHS | DE | EUR | Apr 2008 | |
| 0TGA | LSE (London Stock Exchange) | UN SPON ADR EA REPR 1 ORD SHS | GB | USD | Apr 2008 |
Biography
Enel SpA operates as an integrated electricity and gas operator worldwide. The company generates, transmits, distributes, purchases, transports, and sells electricity; transports and markets natural gas; supplies LNG; designs, develops, constructs, operates, manages, and maintains generation plants and distribution grids; and designs, constructs, and operates merchant lines. It is also involved in energy and infrastructure engineering; research and development in sciences and engineering; the cogeneration of electricity and heat; the construction and management of manages port infrastructure; product, plant, and equipment certification; mining; finance; energy products marketing; trading; and fuel trading and logistics operations. In addition, the company engages in construction and management of LNG regasification infrastructure; desalinization and water supply; electricity system monitoring; and optical fiber network operation activities. Further, it provides testing, inspection, and certification; engineering and consulting; legal; metering, remote control, and connectivity through power line communication; business consulting, administrative, management consulting, and corporate planning; civil, mechanical, and electrical engineering; personnel administration, information technology, real estate, and business; electronic plant installation and repairing; and security services. Additionally, the company offers water systems; public lighting systems and services; upstream gas; electric mobility; and environmental studies services. It operates renewable, wind, thermal, hydroelectric, nuclear, photovoltaic, and geothermal power plants. The company was founded in 1962 and is headquartered in Rome, Italy.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 21:07 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.