Uniper (UN0) AI Stock Analysis

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Uniper

(OTC:UN0)

Rating:61Neutral

Price Target:―

Uniper's overall stock score reflects a moderate outlook. The company's improved financial metrics such as cash flow and reduced leverage are positive, but challenges include declining profitability and a high P/E ratio suggesting overvaluation. The technical indicators show weak market momentum. The earnings call provides a balanced view, with strong past performance but concerns about future market conditions.

Uniper (UN0) vs. iShares MSCI Germany ETF (EWG)

Market Cap

€15.72B

Dividend YieldN/A

Average Volume (3M)2.33K

Price to Earnings (P/E)55.4

Beta (1Y)0.64

Revenue Growth-35.47%

EPS Growth-95.28%

CountryDE

Employees7,431

SectorUtilities

Sector Strength72

IndustryIndependent Power Producers

Share Statistics

EPS (TTM)0.20

Shares Outstanding416,475,340

10 Day Avg. Volume2,652

30 Day Avg. Volume2,330

Financial Highlights & Ratios

PEG Ratio>-0.01

Price to Book (P/B)0.35

Price to Sales (P/S)0.00

P/FCF Ratio-0.10

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

€29.99

Price Target Upside-20.55% Downside

Rating ConsensusModerate Sell

Number of Analyst Covering1

Uniper Business Overview & Revenue Model

Company DescriptionUniper (UN0) is a leading international energy company based in Germany, primarily operating in the electricity generation and global energy trading sectors. The company is engaged in the production of electricity through a diverse portfolio of power plants, including coal, gas, and renewable energy sources. Additionally, Uniper is active in the global trading of commodities, such as natural gas, coal, and electricity, and provides energy-related services to its clients.

How the Company Makes MoneyUniper generates revenue through several key streams: First, the company earns income from the sale of electricity generated by its power plants. This includes both selling directly to the market and through long-term contracts. Second, Uniper's global commodity trading operations contribute significantly to its revenue, as it engages in the trading of natural gas, coal, and electricity across various markets. This trading activity is supported by Uniper's extensive infrastructure, including storage facilities and pipelines. Third, the company offers energy services, such as asset management and engineering solutions, which provide additional income. Strategic partnerships and joint ventures in different regions also play a role in enhancing its market presence and financial performance.

Uniper Earnings Call Summary

Earnings Call Date:May 06, 2025

(Q1-2025)

% Change Since: -5.98%|

Next Earnings Date:Aug 07, 2025

Earnings Call Sentiment Neutral

The earnings call presented a mixed picture with significant financial losses in the first quarter of 2025 due to challenges in the gas midstream business and high-priced inventory gas. However, strategic advancements in LNG supply and successes in the UK power market were notable positives. The overall sentiment is balanced with both challenges and achievements.

Q1-2025 Updates

Positive Updates

Strong Economic Net Cash Position

Uniper ended the first quarter of 2025 with an economic net cash position of EUR 2.6 billion, demonstrating a strong financial situation even after fulfilling significant repayment obligations to the Federal Republic of Germany.

Strategic Advances in LNG Supply

Uniper signed two new LNG contracts with the Australian gas player, Woodside, each for around 14 terawatt hours per year supply until 2039, enhancing its long-term supply portfolio.

UK Power Market Success

Uniper's UK power plants secured contracts in the T-4 capacity auction for the delivery years '28 and '29, with a total capacity of 4.4 gigawatts awarded, expected to contribute about EUR 300 million in future earnings.

Positive Outlook for Green Generation Segment

Despite a negative price trend in Sweden, the Green Generation segment is expected to achieve higher results compared to the previous year, driven by improved hydro results in Germany.

Negative Updates

Significant Decline in Adjusted EBITDA and Net Income

Uniper reported an adjusted EBITDA of minus EUR139 million and an adjusted net income of minus EUR143 million for the first quarter of 2025, significantly below the previous year's figures.

Challenges in Gas Midstream Business

The Gas Midstream business posted an operating loss of EUR492 million in Q1 2025, primarily due to high-priced inventory gas and a normalization of earnings after previous crisis years.

High Withdrawal from Gas Storage

Uniper's gas filling levels fell from about 80% at the end of 2024 to 27% at the end of March 2025, impacting the Gas Midstream business negatively.

Company Guidance

During Uniper's Q1 2025 earnings call, CFO Jutta Donges reported an adjusted EBITDA of minus EUR139 million and an adjusted net income of minus EUR143 million, attributing the decline to weaker gas midstream margins and a normalization following exceptional years. Despite the slow start, Uniper affirmed its full-year 2025 guidance, expecting an adjusted EBITDA between EUR900 million and EUR1.3 billion, and adjusted net income ranging from EUR250 million to EUR550 million. The company maintained a strong financial position with an economic net cash of EUR2.6 billion after fulfilling EUR2.6 billion in contractual recovery claims to Germany. Strategic developments included new LNG contracts and participation in UK capacity auctions, projecting a EUR300 million earnings contribution. Uniper's market strategy aligns with Germany's plans for 20 gigawatts of new gas-fired power plants by 2030, leveraging sites and expertise to maintain its 10% market share in conventional power plant capacity.

Uniper Financial Statement Overview

Summary

Uniper's financial performance shows mixed trends. The company has improved gross profit margins and cash flow generation, which are strengths. However, profitability is under pressure with a net profit margin drop, and return on equity has significantly weakened. Despite reduced leverage, the focus on profitability and revenue growth remains crucial.

Income Statement

Positive

Uniper exhibits fluctuating revenue trends with significant revenue decline in recent years. The gross profit margin improved to 7.71% in 2024 from a negative in 2022, indicating better cost management. However, net profit margin fell sharply from 5.85% in 2023 to 0.43% in 2024, highlighting profitability challenges.

Balance Sheet

Positive

The company shows a strong equity position with an equity ratio of 26.98% in 2024. The debt-to-equity ratio improved significantly to 0.00 in 2024 from 0.18 in 2023, reflecting reduced leverage. However, the return on equity decreased from 61.81% in 2023 to 2.86% in 2024, indicating reduced efficiency in generating returns on equity capital.

Cash Flow

Positive

Uniper's free cash flow improved significantly, growing from €984 million in 2024, up from a negative in 2022. The operating cash flow to net income ratio was 5.61 in 2024, showing strong cash generation relative to net income, although free cash flow to net income was notably lower at 3.31.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	72.92B	69.64B	107.92B	274.12B	162.97B	50.97B
Gross Profit	3.56B	5.37B	2.72B	-4.63B	4.70B	512.00M
EBITDA	2.92B	3.39B	8.24B	-11.40B	-3.80B	1.51B
Net Income	-80.00M	297.00M	6.31B	-19.00B	-4.17B	397.00M
Balance Sheet
Total Assets	33.25B	38.49B	54.96B	146.92B	157.48B	44.64B
Cash, Cash Equivalents and Short-Term Investments	5.92B	6.73B	4.26B	4.63B	2.97B	384.00M
Total Debt	0.00	0.00	1.85B	11.94B	8.97B	1.74B
Total Liabilities	22.55B	27.95B	44.52B	142.53B	150.69B	33.45B
Stockholders Equity	10.55B	10.38B	10.21B	4.19B	6.30B	10.75B
Cash Flow
Free Cash Flow	-1.63B	984.00M	5.99B	-15.60B	3.04B	516.00M
Operating Cash Flow	-877.00M	1.67B	6.55B	-15.08B	3.62B	1.24B
Investing Cash Flow	516.00M	-432.00M	3.09B	1.23B	-7.52B	-1.13B
Financing Cash Flow	-76.00M	1.00M	-10.12B	15.95B	6.56B	-679.00M

Uniper Technical Analysis

Technical Analysis Sentiment

Negative

Last Price37.75

Price Trends

50DMA

39.67

Negative

100DMA

41.44

Negative

200DMA

42.86

Negative

Market Momentum

MACD

-0.61

Positive

RSI

37.79

Neutral

STOCH

17.86

Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:UN0, the sentiment is Negative. The current price of 37.75 is below the 20-day moving average (MA) of 38.93, below the 50-day MA of 39.67, and below the 200-day MA of 42.86, indicating a bearish trend. The MACD of -0.61 indicates Positive momentum. The RSI at 37.79 is Neutral, neither overbought nor oversold. The STOCH value of 17.86 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:UN0.

Uniper Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SY1	77 Outperform	€13.35B	27.92	12.56%	1.09%	5.67%	40.46%
RWE	73 Outperform	€26.60B	6.63	12.22%	2.64%	-6.96%	126.33%
EOAN	70 Outperform	€40.90B	9.14	26.61%	3.05%	-0.11%	281.22%
IFX	65 Neutral	$46.41B	60.00	7.74%	0.98%	-6.01%	-69.47%
Sector *	62 Neutral	€5.82B	-4.05	6.63%	4.29%	-1.39%	182.39%
UN0	61 Neutral	€15.72B	55.37	-0.73%	―	-35.47%	-95.28%
VNA	56 Neutral	€25.07B	―	-2.91%	4.07%	23.19%	82.41%

* Utilities Sector Average

Performance Comparison

DE:UN0

Uniper

37.75

-7.25

-16.11%

DE:VNA

Vonovia

30.00

4.64

18.31%

DE:RWE

RWE AG

35.76

4.21

13.34%

DE:EOAN

E.ON SE

15.66

3.90

33.12%

DE:SY1

Symrise

95.52

-17.67

-15.61%

DE:IFX

Infineon Technologies AG

35.66

1.61

4.72%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Apr 21, 2025