Executive Summary
Public Joint-Stock Company Federal Grid Company of Unified Energy System operates and manages electricity transmission grid infrastructure of Unified National Electric Grid in Russia.
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued with excellent balance sheet.
Similar Companies
Share Price & News
How has Federal Grid Company of Unified Energy System's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FEES's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
6.0%
FEES
7.1%
RU Electric Utilities
7.6%
RU Market
1 Year Return
1.4%
FEES
10.4%
RU Electric Utilities
0.1%
RU Market
Return vs Industry: FEES underperformed the Russian Electric Utilities industry which returned 9.5% over the past year.
Return vs Market: FEES exceeded the Russian Market which returned -1.3% over the past year.
Shareholder returns
| FEES | Industry | Market | |
|---|---|---|---|
| 7 Day | 6.0% | 7.1% | 7.6% |
| 30 Day | -20.3% | -14.5% | -9.6% |
| 90 Day | -21.1% | -9.4% | -17.4% |
| 1 Year | 14.9%1.4% | 17.4%10.4% | 7.0%0.1% |
| 3 Year | 24.4%-7.7% | 9.6%-5.3% | 41.7%19.5% |
| 5 Year | 274.4%152.6% | 151.0%102.0% | 101.8%57.8% |
Price Volatility Vs. Market
How volatile is Federal Grid Company of Unified Energy System's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
A Sliding Share Price Has Us Looking At Public Joint-Stock Company Federal Grid Company of Unified Energy System's (MCX:FEES) P/E Ratio2 weeks ago | Simply Wall St
Public Joint-Stock Company Federal Grid Company of Unified Energy System (MCX:FEES): Does The -6.7% Earnings Drop Reflect A Longer Term Trend?1 month ago | Simply Wall St
Is Federal Grid Company of Unified Energy System's (MCX:FEES) Share Price Gain Of 223% Well Earned?Valuation
Is Federal Grid Company of Unified Energy System undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FEES (RUB0.16) is trading below our estimate of fair value (RUB0.46)
Significantly Below Fair Value: FEES is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: FEES is good value based on its PE Ratio (2.4x) compared to the Electric Utilities industry average (6.6x).
PE vs Market: FEES is good value based on its PE Ratio (2.4x) compared to the Russian market (7.5x).
Price to Earnings Growth Ratio
PEG Ratio: FEES is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: FEES is good value based on its PB Ratio (0.2x) compared to the RU Electric Utilities industry average (0.7x).
Next Steps
Future Growth
How is Federal Grid Company of Unified Energy System forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
3.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FEES's forecast earnings growth (3.4% per year) is below the savings rate (6.4%).
Earnings vs Market: FEES's earnings (3.4% per year) are forecast to grow slower than the Russian market (6.5% per year).
High Growth Earnings: FEES's earnings are forecast to grow, but not significantly.
Revenue vs Market: FEES's revenue (2.4% per year) is forecast to grow slower than the Russian market (5.4% per year).
High Growth Revenue: FEES's revenue (2.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FEES's Return on Equity is forecast to be low in 3 years time (8.7%).
Next Steps
Past Performance
How has Federal Grid Company of Unified Energy System performed over the past 5 years?
36.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FEES has high quality earnings.
Growing Profit Margin: FEES's current net profit margins (34.7%) are lower than last year (36.5%).
Past Earnings Growth Analysis
Earnings Trend: FEES has become profitable over the past 5 years, growing earnings by 36.3% per year.
Accelerating Growth: FEES's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: FEES had negative earnings growth (-6.7%) over the past year, making it difficult to compare to the Electric Utilities industry average (-0.4%).
Return on Equity
High ROE: FEES's Return on Equity (9.6%) is considered low.
Next Steps
Financial Health
How is Federal Grid Company of Unified Energy System's financial position?
Financial Position Analysis
Short Term Liabilities: FEES's short term assets (RUB124.6B) exceed its short term liabilities (RUB101.2B).
Long Term Liabilities: FEES's short term assets (RUB124.6B) do not cover its long term liabilities (RUB287.3B).
Debt to Equity History and Analysis
Debt Level: FEES's debt to equity ratio (25.2%) is considered satisfactory.
Reducing Debt: FEES's debt to equity ratio has reduced from 45.8% to 25.2% over the past 5 years.
Debt Coverage: FEES's debt is well covered by operating cash flow (60%).
Interest Coverage: FEES's interest payments on its debt are well covered by EBIT (91.7x coverage).
Balance Sheet
Inventory Level: FEES has a high level of physical assets or inventory.
Debt Coverage by Assets: FEES's debt is not covered by short term assets (assets are 0.5x debt).
Next Steps
Dividend
What is Federal Grid Company of Unified Energy System's current dividend yield, its reliability and sustainability?
10.72%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: FEES's dividend (10.72%) is higher than the bottom 25% of dividend payers in the Russian market (4.05%).
High Dividend: FEES's dividend (10.72%) is in the top 25% of dividend payers in the Russian market (9.54%)
Stability and Growth of Payments
Stable Dividend: FEES has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: FEES's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (36.2%), FEES's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.5yrs
Average management tenure
CEO
Andrey Murov (49yo)
no data
Tenure
₽673,100
Compensation
Mr. Andrey Yevgenyevich Murov has been Chairman of the Management Board at Open Joint Stock Company “Federal Grid Company of Unified Energy System“ since November 11, 2013 and its Member of Management Boar ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of Management Board & Executive Director | no data | ₽673.10k | no data | |
| Deputy Chairman of the Management Board | 3.33yrs | ₽761.50k | no data | |
| Deputy Chairman of Management Board | 6.42yrs | no data | no data | |
| First Deputy Chairman of Management Board | 3.5yrs | no data | no data | |
| Deputy Chairman of the Management Board | 3.5yrs | no data | no data | |
| Deputy Chairman of the Management Board & Chief Engineer | 3.42yrs | no data | no data | |
| Head of Accounting & Financial Reporting and Chief Accountant | no data | no data | no data | |
| Interim Head of External Communications & Government Relations Department | no data | no data | no data | |
| Internal Audit Director | 0.83yr | no data | no data | |
| Director for Strategic Development & Head of Strategic Development Department | no data | no data | no data |
3.5yrs
Average Tenure
42yo
Average Age
Experienced Management: FEES's management team is considered experienced (3.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of Management Board & Executive Director | no data | ₽673.10k | no data | |
| Internal Audit Director | 0.83yr | no data | no data | |
| Independent Director | 6.83yrs | ₽830.80k | no data | |
| Independent Director | 3.75yrs | ₽888.40k | no data | |
| Director | 0.83yr | no data | no data | |
| Non-Executive Director | 1.83yrs | ₽745.00k | no data | |
| Chairman of the Board | no data | no data | no data | |
| Non-Executive Director | 3.75yrs | ₽725.00k | no data | |
| Independent Director | 3.75yrs | ₽1.04m | no data | |
| Non-Executive Director | 3.75yrs | ₽576.90k | no data |
3.8yrs
Average Tenure
43yo
Average Age
Experienced Board: FEES's board of directors are considered experienced (3.8 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
Public Joint-Stock Company Federal Grid Company of Unified Energy System's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Public Joint-Stock Company Federal Grid Company of Unified Energy System
- Ticker: FEES
- Exchange: MISX
- Founded: 2002
- Industry: Electric Utilities
- Sector: Utilities
- Market Cap: ₽207.197b
- Shares outstanding: 1.26t
- Website: https://www.fsk-ees.ru
Location
- Public Joint-Stock Company Federal Grid Company of Unified Energy System
- 5A Akademika Chelomeya Street
- Moscow
- 117630
- Russia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| FEES | MISX (Micex - Rts) | Yes | Ordinary Registered Shares | RU | RUB | Jul 2008 |
| FEES | LSE (London Stock Exchange) | GDR EACH REP 500 SHS 'REGS' | GB | USD | Oct 2008 | |
| F9SA | BST (Boerse-Stuttgart) | GDR EACH REP 500 SHS 'REGS' | DE | EUR | Oct 2008 | |
| FEESL | BATS-CHIXE (BATS 'Chi-X Europe') | GDR EACH REP 500 SHS 'REGS' | GB | USD | Oct 2008 |
Biography
Public Joint-Stock Company Federal Grid Company of Unified Energy System operates and manages electricity transmission grid infrastructure of Unified National Electric Grid in Russia. The company offers electricity transmission services to regional distribution companies, electricity suppliers, and large industrial enterprises, as well as to participants of the wholesale energy market, retail suppliers, and providers of last resort; and maintains and develops the grid system and supervises grid facilities and infrastructure in 77 Russian regions. It also provides technological connection services, such as services for electric power consumption, and connection of consumers’ electric devices to the electric grid facilities for legal entities and individuals. The company’s assets include approximately 139,000 kilometers of transmission lines and 931 substations with approximately 334 GVA. The company was founded in 2002 and is based in Moscow, Russia. Public Joint-Stock Company Federal Grid Company of Unified Energy System operates as a subsidiary of Rosseti, Public Joint Stock Company
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/03 21:37 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| 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.