Enagas SA (ENG) AI Stock Analysis

• Market Cap: €3.70B
• Dividend Yield: 8.25%
• Average Volume (3M): 823.18K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 0.52
• Revenue Growth: -1.54%
• EPS Growth: -184.82%
• Country: ES
• Employees: 1,395
• Sector: Utilities
• Sector Strength: 78
• Industry: Regulated Gas
• EPS (TTM): 0.25
• Shares Outstanding: 261,990,080
• 10 Day Avg. Volume: 626,690
• 30 Day Avg. Volume: 823,185
• PEG Ratio: -1.66
• Price to Book (P/B): 1.27
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.39
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €14.77
• Price Target Upside: 4.46% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 3

• Rating: 58 Neutral
• Price Target: €14.00 ▼(-0.99%Downside)

Enagas SA faces financial challenges, with declining revenues and a higher reliance on debt. Despite these issues, there is some stability in the balance sheet and a positive cash flow. The technical indicators are moderately positive, suggesting some potential for price appreciation. However, the negative P/E ratio and high dividend yield indicate valuation concerns. The overall score reflects the need for the company to improve financial performance and maintain market confidence.

Enagas SA Business Overview & Revenue Model

Company Description

Enagás, S.A. develops, operates, and maintains gas infrastructures in Spain and internationally. It operates through Gas Transmission, Regasification, and Storage of Gas segments. The company provides gas transmission services through primary and secondary transmission pipelines; and natural gas regasification services, as well as operates underground storage facilities. It is also involved in the operation and technical management of the basic network and secondary transportation network for natural gas. In addition, the company engages in the financial management activities; development of industrial projects and activities relating to LNG terminals, and hydrogen production and transport infrastructures; development and implementation of facilities for the supply of natural gas as fuel for vehicles, including its design, construction, and maintenance; and provision of commercial services for the purpose of enhancing the daily operational management of gas shippers. Further, it is involved in the development of projects to promote the role of renewable gases in the energy transition; and production of solar energy. Enagás, S.A. was incorporated in 1972 and is headquartered in Madrid, Spain.

How the Company Makes Money

Enagás makes money primarily through the management and operation of its gas infrastructure assets, including high-pressure transmission pipelines, regasification plants, and storage facilities. The company generates revenue by charging gas transportation and regasification fees to energy suppliers and distributors. These fees are often regulated by national authorities, ensuring stable and predictable income streams. Additionally, Enagás engages in international energy infrastructure projects and investments, forming strategic partnerships to expand its presence and expertise in global markets. These ventures contribute to its earnings by diversifying its revenue sources and capitalizing on its operational capabilities.

Enagas SA Financial Statement Overview

Summary

Enagas SA is facing financial challenges with declining revenues and profitability, coupled with increased reliance on debt. While the balance sheet shows some stability, cash flow generation has weakened. The company needs to address revenue growth and manage its debt levels to improve its financial health.

Income Statement

Enagas SA experienced a decline in revenue and profitability in 2024, with a net loss reported for the year. The net profit margin turned negative, indicating significant challenges in maintaining profitability. The decline in total revenue compared to previous years highlights potential issues in revenue generation.

Balance Sheet

The company's debt-to-equity ratio increased, indicating a higher reliance on debt financing. Stockholders' equity decreased, which raises concerns about financial stability. However, the equity ratio remains relatively stable, providing some balance sheet strength.

Cash Flow

Operating cash flow decreased, and free cash flow showed a significant decline in 2024. The company's ability to generate cash from operations has weakened, but free cash flow remains positive, indicating some level of cash flow management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
905.55M	907.57M	957.10M	975.69M	1.05B
	Gross Profit
400.17M	851.63M	905.45M	926.63M	1.00B
	EBIT
428.73K	456.88M	478.24M	583.37M	614.57M
	EBITDA
94.27M	810.84M	744.40M	702.86M	800.60M
	Net Income Common Stockholders
-299.31M	342.53M	375.77M	403.83M	444.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.42B	857.55M	1.39B	1.46B	868.69M
	Total Assets
7.50B	8.51B	9.40B	9.87B	9.01B
	Total Debt
3.31B	3.81B	4.43B	5.26B	4.81B
	Net Debt
2.02B	2.97B	3.07B	3.82B	3.95B
	Total Liabilities
5.10B	5.51B	6.18B	6.77B	6.00B
	Stockholders Equity
2.38B	2.98B	3.20B	3.09B	2.99B
Cash Flow		Free Cash Flow
357.10M	411.87M	635.25M	510.08M	550.93M
	Operating Cash Flow
454.99M	568.84M	726.03M	579.93M	609.53M
	Investing Cash Flow
930.98M	-81.83M	669.84M	100.58M	-741.97M
	Financing Cash Flow
-962.57M	-990.16M	-1.52B	-102.95M	-102.37M

Enagas SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:ENG, the sentiment is Positive. The current price of 14.14 is above the 20-day moving average (MA) of 13.98, above the 50-day MA of 13.54, and above the 200-day MA of 12.87, indicating a bullish trend. The MACD of 0.19 indicates Positive momentum. The RSI at 62.33 is Neutral, neither overbought nor oversold. The STOCH value of 46.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:ENG.

Enagas SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$8.54B	10.40	4.24%	4.63%	4.14%	-13.05%
ENG	58 Neutral	€3.70B	10.27	-11.89%	8.25%	-1.54%	-184.82%
0N9G		€28.48B	13.09	26.26%	3.01%	―	―
0NPV		€25.22B	13.11	20.32%	4.32%	―	―
0HIT		€102.75B	20.57	10.55%	2.94%	―	―
0RI5		€9.60B	26.15	9.44%	4.21%	―	―
5BP		€6.46B	17.96	6.11%	2.00%	―	―

Enagas SA Corporate Events

Enagás Wins $194 Million Arbitration Case Against Peru

Enagás has won an arbitration case against the Republic of Peru, with the International Centre for Settlement of Investment Disputes ruling in its favor. Peru has been ordered to pay Enagás $194 million due to breaches of the Peru-Spain Agreement for the Promotion and Reciprocal Protection of Investments related to Enagás’s investment in the Peruvian Gas Pipeline project. The ruling also addresses restrictions on repatriating dividends from Enagás’s subsidiary in Peru, which were deemed violations of the agreement. This decision will result in an accounting loss for Enagás due to the discrepancy between the awarded amount and the receivable account recorded in their balance sheet. The company is seeking an amicable resolution with Peru and remains committed to its investment plans, including renewable hydrogen infrastructure projects.

The most recent analyst rating on (ES:ENG) stock is a Hold with a EUR13.50 price target. To see the full list of analyst forecasts on Enagas SA stock, see the ES:ENG Stock Forecast page.

Enagás Finalizes Sale of Mexican Stake, Aligns with Strategic Goals

Enagás has completed the sale of its 100% stake in the Mexican company Estación de Compresión Soto La Marina to Esentia Anáhuac Holding for 17 million dollars. This transaction, which aligns with Enagás’s 2025-2030 Strategic Update, will generate net capital gains of approximately 5.1 million euros and supports the company’s strategic priorities of supply security and decarbonization.

The most recent analyst rating on (ES:ENG) stock is a Hold with a EUR13.50 price target. To see the full list of analyst forecasts on Enagas SA stock, see the ES:ENG Stock Forecast page.

Enagás SA Q1 2025: Resilience and Energy Transition Initiatives

Enagás SA reported a resilient performance in the first quarter of 2025, with the Spanish Gas System successfully meeting demand during a power outage and increasing natural gas exports to Europe by 42.3%. The company also launched a public participation plan for the Spanish hydrogen network and secured significant European funding for hydrogen infrastructure projects, reinforcing its commitment to energy transition.

Enagás to Announce Q1 2025 Financial Results

Enagás SA announced that it will release its first quarter 2025 financial results on April 30, 2025. This announcement is significant as it provides stakeholders with insights into the company’s financial performance and operational progress, potentially impacting investor decisions and market positioning.

Fitch Reaffirms Enagás’ BBB+ Rating with Stable Outlook

Fitch Ratings has reaffirmed Enagás’ credit rating at BBB+ with a stable outlook, highlighting the company’s solid business profile and reliable cash flow visibility. This rating supports Enagás’ strategic plans for 2025-2030, which include investments in renewable hydrogen starting in 2027, indicating a commitment to maintaining a strong financial position.