TERNA Rete Elettrica Nazionale SpA (TRN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

eVISO SpA

A2A SpA

Hera SpA

Iniziative Bresciane SpA

Enel SpA

Acea SpA

Acinque SpA

TERNA Rete Elettrica Nazionale SpA

Seri Industrial SpA

Iren SpA

Ecosuntek SpA

Why is TERNA Rete Elettrica Nazionale SpA ?

Weak Long Term Fundamental Strength as the company has not declared results in the last 6 months

High Debt Company with a Debt to Equity ratio (avg) at times

With ROE of 9.05%, it has a Very Expensive valuation with a 3.13 Price to Book Value

Over the past year, while the stock has generated a return of 13.85%, its profits have risen by 10.8% ; the PEG ratio of the company is 3.2

Underperformed the market in the last 1 year

The stock has generated a return of 13.85% in the last 1 year, much lower than market (Italy FTSE MIB) returns of 25.83%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is TERNA Rete Elettrica Nazionale SpA for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

TERNA Rete Elettrica Nazionale SpA

14.12%

2.19

16.67%

Italy FTSE MIB

24.83%

1.34

19.25%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.21%

EBIT Growth (5y)

10.52%

EBIT to Interest (avg)

5.66

Debt to EBITDA (avg)

4.74

Net Debt to Equity (avg)

2.25

Sales to Capital Employed (avg)

0.10

Tax Ratio

45.31%

Dividend Payout Ratio

74.84%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

9.65%

ROE (avg)

15.40%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.13

EV to EBIT

31.42

EV to EBITDA

21.64

EV to Capital Employed

1.63

EV to Sales

16.89

PEG Ratio

3.21

Dividend Yield

20.40%

ROCE (Latest)

5.17%

ROE (Latest)

9.05%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

13What is working for the Company

ROCE(HY)

Highest at 19.67%

INTEREST COVERAGE RATIO(Q)

Highest at 1,001.37

OPERATING PROFIT(Q)

Highest at EUR 1,319.8 MM

RAW MATERIAL COST(Y)

Fallen by -11.53% (YoY

CASH AND EQV(HY)

Highest at EUR 2,818.1 MM

OPERATING PROFIT MARGIN(Q)

Highest at 71.18 %

PRE-TAX PROFIT(Q)

Highest at EUR 829.2 MM

NET PROFIT(Q)

Highest at EUR 583.71 MM

EPS(Q)

Highest at EUR 0.29

-5What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 240.84 %

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

INVENTORY TURNOVER RATIO(HY)

Lowest at 12.56%

DIVIDEND PER SHARE(HY)

Lowest at EUR 1.34

Here's what is working for TERNA Rete Elettrica Nazionale SpA

Interest Coverage Ratio

Highest at 1,001.37

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit

Highest at EUR 1,319.8 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (EUR MM)

Operating Profit Margin

Highest at 71.18 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at EUR 829.2 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (EUR MM)

Net Profit

Highest at EUR 583.71 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (EUR MM)

EPS

Highest at EUR 0.29

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (EUR)

Cash and Eqv

Highest at EUR 2,818.1 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -11.53% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for TERNA Rete Elettrica Nazionale SpA

Debt-Equity Ratio

Highest at 240.84 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 12.56%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Dividend per share

Lowest at EUR 1.34

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (EUR)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)