MISX:LSNG

Stock Analysis Report

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Executive Summary

Public Joint-Stock Company Lenenergo operates as an electricity distribution company in Russia.


Snowflake Analysis

Undervalued with adequate balance sheet.


Similar Companies

Share Price & News

How has Lenenergo's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.5%

LSNG

3.7%

RU Electric Utilities

1.8%

RU Market


1 Year Return

6.9%

LSNG

14.4%

RU Electric Utilities

0.4%

RU Market

Return vs Industry: LSNG underperformed the Russian Electric Utilities industry which returned 14.4% over the past year.

Return vs Market: LSNG exceeded the Russian Market which returned 0.5% over the past year.


Shareholder returns

LSNGIndustryMarket
7 Day1.5%3.7%1.8%
30 Day9.2%8.4%2.7%
90 Day-7.8%-1.6%-3.5%
1 Year7.6%6.9%22.2%14.4%7.1%0.4%
3 Year59.7%50.4%38.0%17.1%58.6%33.3%
5 Year191.2%174.1%174.8%119.3%114.4%67.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Lenenergo 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: LSNG (RUB6.18) is trading below our estimate of fair value (RUB105.69)

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


Price To Earnings Ratio

PE vs Industry: LSNG is good value based on its PE Ratio (4.5x) compared to the Electric Utilities industry average (8x).

PE vs Market: LSNG is good value based on its PE Ratio (4.5x) compared to the Russian market (8.5x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate LSNG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: LSNG is good value based on its PB Ratio (0.4x) compared to the RU Electric Utilities industry average (0.7x).


Next Steps

Future Growth

How is Lenenergo forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

0.8%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if LSNG's forecast earnings growth is above the savings rate (8.3%).

Earnings vs Market: Insufficient data to determine if LSNG's earnings are forecast to grow faster than the Russian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: LSNG's revenue (0.8% per year) is forecast to grow slower than the Russian market (5.9% per year).

High Growth Revenue: LSNG's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if LSNG's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Lenenergo performed over the past 5 years?

46.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LSNG has a large one-off loss of RUB4.7B impacting its December 31 2019 financial results.

Growing Profit Margin: LSNG's current net profit margins (14.5%) are higher than last year (13.6%).


Past Earnings Growth Analysis

Earnings Trend: LSNG has become profitable over the past 5 years, growing earnings by 46.3% per year.

Accelerating Growth: LSNG's earnings growth over the past year (13.1%) is below its 5-year average (46.3% per year).

Earnings vs Industry: LSNG earnings growth over the past year (13.1%) exceeded the Electric Utilities industry 7.5%.


Return on Equity

High ROE: LSNG's Return on Equity (8.6%) is considered low.


Next Steps

Financial Health

How is Lenenergo's financial position?


Financial Position Analysis

Short Term Liabilities: LSNG's short term assets (RUB15.3B) do not cover its short term liabilities (RUB45.7B).

Long Term Liabilities: LSNG's short term assets (RUB15.3B) do not cover its long term liabilities (RUB30.4B).


Debt to Equity History and Analysis

Debt Level: LSNG's debt to equity ratio (20.4%) is considered satisfactory.

Reducing Debt: LSNG's debt to equity ratio has reduced from 114.1% to 20.4% over the past 5 years.

Debt Coverage: LSNG's debt is well covered by operating cash flow (118.9%).

Interest Coverage: LSNG's interest payments on its debt are well covered by EBIT (11.8x coverage).


Balance Sheet


Next Steps

Dividend

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

0.49%

Forecast Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: Unable to evaluate LSNG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate LSNG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if LSNG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if LSNG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: LSNG is not paying a notable dividend for the Russian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of LSNG's dividend in 3 years as they are not forecast to pay a notable one for the Russian market.


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Andrey Ryumin (39yo)

2.33yrs

Tenure

₽369,493

Compensation

Mr. Andrey Valerievich Ryumin has been Director General of Public Joint-Stock Company Lenenergo since January 12, 2018. Mr. Ryumin served as General Director of JSC United Energy Company from January 2013  ...


Leadership Team

NamePositionTenureCompensationOwnership
Andrey Ryumin
Chairman of the Management Board2.33yrs₽369.49kno data
Andrey Smolnikov
Member of the Management Board4.33yrsno datano data
Maxim Artemyev
Member of Management Board10.33yrs₽3.38mno data
Ilya Meshcheryakov
Member of Management Board4.33yrs₽6.33mno data
Alexander Nikonov
Deputy Director General of Security & Member of Management Board7.33yrs₽15.03mno data
Diyakov Pavel
Member of the Management Board and Deputy Director General for sale & development of services4.33yrs₽14.33mno data
Galina Kuznetsova
Chief Accountantno datano datano data
Natalia Korepanova
Deputy Chief Accountant and Head of Taxation & Accountingno datano datano data
Izumrud Alimuradova
Head of Internal Auditno datano datano data
Anatoly Mizgin-Somov
Head of Department of Preparation and Holding Competitionsno datano datano data

4.3yrs

Average Tenure

42yo

Average Age

Experienced Management: LSNG's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Andrey Ryumin
Chairman of the Management Board2.33yrs₽369.49kno data
Andrey Bondarchuk
Non-Executive Director5.33yrsno datano data
Lelekova Alekseevna
Chairperson of the Audit Commission6.17yrs₽1.46mno data
Kolesnikova Olga
Director3.75yrsno datano data
Livinsky Pavel
Chairmanno data₽472.57kno data
German Alexander
Director2.17yrsno datano data
Olhovich Yevgeny
Director2.17yrsno datano data
Safarov Hasan
Director3.75yrsno datano data
Olga Sergeyeva
Director1.83yrsno datano data
Miloslavsky Sergey
Director1.83yrs₽92.57kno data

3.0yrs

Average Tenure

46yo

Average Age

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

Public Joint-Stock Company Lenenergo's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Public Joint-Stock Company Lenenergo
  • Ticker: LSNG
  • Exchange: MISX
  • Founded: 1886
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: ₽68.429b
  • Shares outstanding: 8.62b
  • Website: https://www.lenenergo.ru

Number of Employees


Location

  • Public Joint-Stock Company Lenenergo
  • Constitution Square,1
  • Saint Petersburg
  • 196247
  • Russia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LSNGMISX (Micex - Rts)YesOrdinary SharesRURUBApr 1995
LSNGPMISX (Micex - Rts)Preferred SharesRURUBJan 1996

Biography

Public Joint-Stock Company Lenenergo operates as an electricity distribution company in Russia. The company offers electricity transmission and distribution, grid connection, and other services related with electricity supply. It also provides repair and maintenance of equipment for third-party legal entities; connection/disconnection services for consumers; engineering services, such as designing utilities and systems of power supply and electric lighting; services on organization of electricity metering; installation, checkout, and repair of the power equipment; and insulation resistance measurement. In addition, the company is involved in the testing, diagnosing, and inspection of electrical installations, as well as offers educational and other services. It operates 0.4-110 kilovolt (kV) networks with an installed capacity of 31,503 megavolt-ampere; 638 electric power transmission lines of the 110-750 kV with the total length of 12,498.7 kilometers; and 386 transformer substations in Saint Petersburg and the Leningrad region. The company was founded in 1886 and is based in Saint Petersburg, Russia. Public Joint-Stock Company Lenenergo is a subsidiary of Rosseti, Public Joint Stock Company. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/31 22:44
End of Day Share Price2020/05/29 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.