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IG

Italgas BIT:IG Stock Report

Last Price

€6.11

Market Cap

€4.9b

7D

-3.4%

1Y

12.4%

Updated

25 May, 2022

Data

Company Financials +
IG fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance2/6
Financial Health2/6
Dividends3/6

IG Stock Overview

Italgas S.p.A., together with its subsidiaries, engages in the distribution of natural gas in Italy.

Italgas Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Italgas
Historical stock prices
Current Share Price€6.11
52 Week High€6.41
52 Week Low€5.08
Beta0.45
1 Month Change-0.97%
3 Month Change11.77%
1 Year Change12.39%
3 Year Change8.82%
5 Year Change29.56%
Change since IPO53.78%

Recent News & Updates

May 08
Italgas' (BIT:IG) Upcoming Dividend Will Be Larger Than Last Year's

Italgas' (BIT:IG) Upcoming Dividend Will Be Larger Than Last Year's

Italgas S.p.A.'s ( BIT:IG ) dividend will be increasing to €0.29 on 25th of May. This takes the dividend yield from...

Apr 24
Italgas' (BIT:IG) Upcoming Dividend Will Be Larger Than Last Year's

Italgas' (BIT:IG) Upcoming Dividend Will Be Larger Than Last Year's

Italgas S.p.A.'s ( BIT:IG ) dividend will be increasing to €0.29 on 25th of May. This takes the dividend yield from...

Apr 05
Italgas (BIT:IG) Will Pay A Larger Dividend Than Last Year At €0.29

Italgas (BIT:IG) Will Pay A Larger Dividend Than Last Year At €0.29

Italgas S.p.A. ( BIT:IG ) will increase its dividend on the 25th of May to €0.29. This will take the annual payment...

Shareholder Returns

IGIT Gas UtilitiesIT Market
7D-3.4%3.4%-1.4%
1Y12.4%15.5%-5.9%

Return vs Industry: IG underperformed the Italian Gas Utilities industry which returned 15.5% over the past year.

Return vs Market: IG exceeded the Italian Market which returned -5.9% over the past year.

Price Volatility

Is IG's price volatile compared to industry and market?
IG volatility
IG Average Weekly Movement3.5%
Gas Utilities Industry Average Movement4.1%
Market Average Movement6.1%
10% most volatile stocks in IT Market8.5%
10% least volatile stocks in IT Market3.8%

Stable Share Price: IG is less volatile than 75% of Italian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: IG's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18373,608Paolo Gallohttps://www.italgas.it

Italgas S.p.A., together with its subsidiaries, engages in the distribution of natural gas in Italy. It is involved in the transportation of gas through local pipeline networks from the delivery points at the reduction and measurement stations interconnected with the transport networks to the points of final delivery to households, enterprises, etc. The company operated a distribution network of 74,397 kilometers. It also engages in metering activities; and distributes and sells water.

Italgas Fundamentals Summary

How do Italgas's earnings and revenue compare to its market cap?
IG fundamental statistics
Market Cap€4.95b
Earnings (TTM)€370.51m
Revenue (TTM)€2.16b

13.4x

P/E Ratio

2.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IG income statement (TTM)
Revenue€2.16b
Cost of Revenue€766.36m
Gross Profit€1.39b
Other Expenses€1.02b
Earnings€370.51m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 26, 2022

Earnings per share (EPS)0.46
Gross Margin64.44%
Net Profit Margin17.19%
Debt/Equity Ratio217.0%

How did IG perform over the long term?

See historical performance and comparison

Dividends

4.8%

Current Dividend Yield

64%

Payout Ratio

Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: IG (€6.11) is trading below our estimate of fair value (€12.33)

Significantly Below Fair Value: IG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: IG is poor value based on its Price-To-Earnings Ratio (13.4x) compared to the European Gas Utilities industry average (12x).

PE vs Market: IG is good value based on its Price-To-Earnings Ratio (13.4x) compared to the Italian market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: IG is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: IG is overvalued based on its Price-To-Book Ratio (2.2x) compared to the XE Gas Utilities industry average (0.9x).


Future Growth

How is Italgas forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


8.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IG's forecast earnings growth (8.5% per year) is above the savings rate (1.7%).

Earnings vs Market: IG's earnings (8.5% per year) are forecast to grow slower than the Italian market (10.1% per year).

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

Revenue vs Market: IG's revenue (4.6% per year) is forecast to grow faster than the Italian market (-0.07% per year).

High Growth Revenue: IG's revenue (4.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IG's Return on Equity is forecast to be low in 3 years time (17.7%).


Past Performance

How has Italgas performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


21.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: IG has high quality earnings.

Growing Profit Margin: IG's current net profit margins (17.2%) are lower than last year (18.5%).


Past Earnings Growth Analysis

Earnings Trend: IG has become profitable over the past 5 years, growing earnings by 21% per year.

Accelerating Growth: IG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: IG had negative earnings growth (-4.7%) over the past year, making it difficult to compare to the Gas Utilities industry average (12%).


Return on Equity

High ROE: IG's Return on Equity (17.4%) is considered low.


Financial Health

How is Italgas's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: IG's short term assets (€343.7M) do not cover its short term liabilities (€1.4B).

Long Term Liabilities: IG's short term assets (€343.7M) do not cover its long term liabilities (€5.3B).


Debt to Equity History and Analysis

Debt Level: IG's net debt to equity ratio (155.2%) is considered high.

Reducing Debt: IG's debt to equity ratio has reduced from 306.4% to 217% over the past 5 years.

Debt Coverage: IG's debt is not well covered by operating cash flow (17.2%).

Interest Coverage: IG's interest payments on its debt are well covered by EBIT (10.9x coverage).


Balance Sheet


Dividend

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

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.83%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: IG's dividend (4.83%) is higher than the bottom 25% of dividend payers in the Italian market (1.63%).

High Dividend: IG's dividend (4.83%) is in the top 25% of dividend payers in the Italian market (4.81%)


Stability and Growth of Payments

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

Growing Dividend: IG's dividend payments have increased, but the company has only paid a dividend for 5 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (64.5%), IG's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (1174.7%), IG's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.4yrs

Average management tenure


CEO

Paolo Gallo (60 yo)

5.75yrs

Tenure

Mr. Paolo Gallo serves as Director at Picarro Inc since March 2022. Turin. He subsequently earned an MBA from Turin University.Mr. Gallo is an internationally recognized leader in the energy industry, end...


Leadership Team

Experienced Management: IG's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: IG's board of directors are not considered experienced ( 0.3 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

Italgas S.p.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: Italgas S.p.A.
  • Ticker: IG
  • Exchange: BIT
  • Founded: 1837
  • Industry: Gas Utilities
  • Sector: Utilities
  • Implied Market Cap: €4.947b
  • Shares outstanding: 810.25m
  • Website: https://www.italgas.it

Number of Employees


Location

  • Italgas S.p.A.
  • 11 via Carlo Bo
  • Milan
  • Milan
  • 20143
  • Italy

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/25 00:00
End of Day Share Price2022/05/25 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.