MISX:IRAO

Stock Analysis Report

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Executive Summary

Public Joint Stock Company Inter RAO UES operates as a diversified energy holding company in Russia and internationally.


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Inter RAO UES's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

4.5%

IRAO

6.4%

RU Electric Utilities

2.0%

RU Market


1 Year Return

24.6%

IRAO

13.4%

RU Electric Utilities

2.1%

RU Market

Return vs Industry: IRAO exceeded the Russian Electric Utilities industry which returned 13.4% over the past year.

Return vs Market: IRAO exceeded the Russian Market which returned 2.1% over the past year.


Shareholder returns

IRAOIndustryMarket
7 Day4.5%6.4%2.0%
30 Day2.2%10.3%5.4%
90 Day-11.2%-7.8%-11.5%
1 Year30.1%24.6%20.4%13.4%9.0%2.1%
3 Year43.8%28.1%36.3%17.3%55.7%30.8%
5 Year374.1%318.9%169.4%117.7%117.8%70.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Inter RAO UES undervalued compared to its fair value and its price relative to the market?

30.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IRAO (RUB5.11) is trading below our estimate of fair value (RUB7.33)

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


Price To Earnings Ratio

PE vs Industry: IRAO is good value based on its PE Ratio (4.6x) compared to the Electric Utilities industry average (8x).

PE vs Market: IRAO is good value based on its PE Ratio (4.6x) compared to the Russian market (8.4x).


Price to Earnings Growth Ratio

PEG Ratio: IRAO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: IRAO is good value based on its PB Ratio (0.7x) compared to the RU Electric Utilities industry average (0.7x).


Next Steps

Future Growth

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

-2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IRAO's earnings are forecast to decline over the next 3 years (-2.1% per year).

Earnings vs Market: IRAO's earnings are forecast to decline over the next 3 years (-2.1% per year).

High Growth Earnings: IRAO's earnings are forecast to decline over the next 3 years.

Revenue vs Market: IRAO's revenue (2.1% per year) is forecast to grow slower than the Russian market (5.6% per year).

High Growth Revenue: IRAO's revenue (2.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IRAO's Return on Equity is forecast to be low in 3 years time (12.1%).


Next Steps

Past Performance

How has Inter RAO UES performed over the past 5 years?

26.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IRAO has high quality earnings.

Growing Profit Margin: IRAO's current net profit margins (7.9%) are higher than last year (7.4%).


Past Earnings Growth Analysis

Earnings Trend: IRAO's earnings have grown significantly by 26.2% per year over the past 5 years.

Accelerating Growth: IRAO's earnings growth over the past year (15.3%) is below its 5-year average (26.2% per year).

Earnings vs Industry: IRAO earnings growth over the past year (15.3%) exceeded the Electric Utilities industry 7.4%.


Return on Equity

High ROE: IRAO's Return on Equity (14.8%) is considered low.


Next Steps

Financial Health

How is Inter RAO UES's financial position?


Financial Position Analysis

Short Term Liabilities: IRAO's short term assets (RUB382.2B) exceed its short term liabilities (RUB127.7B).

Long Term Liabilities: IRAO's short term assets (RUB382.2B) exceed its long term liabilities (RUB70.5B).


Debt to Equity History and Analysis

Debt Level: IRAO's debt to equity ratio (0.6%) is considered satisfactory.

Reducing Debt: IRAO's debt to equity ratio has reduced from 30.1% to 0.6% over the past 5 years.

Debt Coverage: IRAO's debt is well covered by operating cash flow (3176%).

Interest Coverage: IRAO earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Inter RAO UES's current dividend yield, its reliability and sustainability?

3.84%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: IRAO's dividend (3.84%) is higher than the bottom 25% of dividend payers in the Russian market (3.65%).

High Dividend: IRAO's dividend (3.84%) is low compared to the top 25% of dividend payers in the Russian market (9.35%).


Stability and Growth of Payments

Stable Dividend: IRAO has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: IRAO's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.7%), IRAO's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: IRAO's dividends in 3 years are forecast to be well covered by earnings (24.4% payout ratio).


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Boris Kovalchuk (42yo)

no data

Tenure

Mr. Boris Yuryevich Kovalchuk has been the Chairman of Management Board and Chief Executive Officer at Public Joint Stock Company Inter RAO UES (formerly known as Open Joint-Stock Company INTER RAO UES) si ...


Leadership Team

NamePositionTenureCompensationOwnership
Boris Kovalchuk
Chairman of the Management Boardno datano datano data
Evgeniy Miroshnichenko
CFO & Member of the Management Board3.58yrsno data0.047% RUB176.1m
Yury Sharov
Head of Engineering Division & Member of the Management Board12yrsno data0.047% RUB176.1m
Pavel Okley
Head of the Operations Division & Member of the Management Board9.58yrsno data0.047% RUB176.1m
Dmitry Filatov
Head of Procurement Division & Member of Management Board3.5yrsno data0.051% RUB191.5m
Valery Murgulets
Head of Innovations8.33yrsno data0.047% RUB176.1m
Pavel Snikkars
Member of Strategy & Investment Committeeno datano datano data
Mikhail Konstantinov
Head of Legal Affairs Division & Member of Management Board3.5yrsno data0.047% RUB176.1m
Alexandra Panina
Interim Head of the Trading Block & Member of Management Board1.83yrsno datano data
Maslov Aleksey
Member of the Management Board and Head of Strategy & Investment Division1.42yrsno data0.000030% RUB112.7k

3.5yrs

Average Tenure

42yo

Average Age

Experienced Management: IRAO's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Boris Kovalchuk
Chairman of the Management Boardno datano datano data
Andrey Bugrov
Independent Director6yrs₽3.75mno data
Igor Sechin
Chairman of the Boardno data₽2.91mno data
Ronald Pollett
Senior Independent Director2yrs₽4.05mno data
Anatoly Gavrilenko
Non-Executive Director5yrs₽2.85mno data
Boris Ayuyev
Non-Executive Director3.92yrs₽3.00m0.0099% RUB37.4m
Alexander Lokshin
Independent Director9.92yrs₽2.66mno data
Denis Fedorov
Non-Executive Director8.92yrs₽2.24mno data
Dmitriy Shugaev
Deputy Chairman of the Boardno data₽2.45mno data
Andrey Murov
Non-Executive Director6yrs₽3.00mno data

6.0yrs

Average Tenure

52yo

Average Age

Experienced Board: IRAO's board of directors are considered experienced (6 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 Inter RAO UES's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Public Joint Stock Company Inter RAO UES
  • Ticker: IRAO
  • Exchange: MISX
  • Founded: 1997
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: ₽375.793b
  • Shares outstanding: 73.54b
  • Website: https://www.interrao.ru

Number of Employees


Location

  • Public Joint Stock Company Inter RAO UES
  • Building 2
  • 27 Bolshaya Pirogovskaya Street
  • Moscow
  • 119435
  • Russia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IRAOMISX (Micex - Rts)YesOrdinary SharesRURUBJul 2008

Biography

Public Joint Stock Company Inter RAO UES operates as a diversified energy holding company in Russia and internationally. The company operates through Supply in the Russian Federation, Electric Power Generation in the Russian Federation, Thermal Power Generation in the Russian Federation, Trading in the Russian Federation and Europe, Foreign Assets, and Engineering in the Russian Federation segments. It produces, supplies, exports, and imports electricity; and offers engineering services. The company generates electricity through thermal, hydro, wind, and gas sources. It also engages in export of power industry equipment; and management of distribution grids outside Russia. Public Joint Stock Company Inter RAO UES was founded in 1997 and is based in Moscow, Russia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/27 05:31
End of Day Share Price2020/05/26 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.