Iberdrola (IBDRY)
OTHER OTC:IBDRY
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Iberdrola
(OTC:IBDRY)
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Rating:60Neutral
Price Target:
$97.00
▲(7.43% Upside)
Action:DowngradedDate:03/03/26
The score is driven primarily by mixed financials—improving profitability but pressured by declining revenue, thin/volatile free cash flow, and meaningful leverage. Technicals are moderately supportive, while valuation is fair-to-slightly expensive for the sector but helped by a solid dividend. Earnings call tone and reiterated guidance provide a positive offset, led by strong regulated Networks momentum.
Positive Factors
Regulated Networks Momentum
Sustained double-digit Networks EBITDA growth reflects entrenched regulated cash flows and execution on large transmission/distribution contracts. Regulated earnings are less cyclically exposed, supporting durable EBITDA visibility and funding for capex, dividends and deleveraging over the medium term.
Negative Factors
Recent Revenue Contraction
A large recent top-line decline increases uncertainty about sustainable growth and may pressure margins if volume or price recovery stalls. Persistent revenue weakness can constrain reinvestment, slow RAB growth translation, and make earnings targets harder to hit without further network offset.
Read all positive and negative factors
Positive Factors
Negative Factors
Regulated Networks Momentum
Sustained double-digit Networks EBITDA growth reflects entrenched regulated cash flows and execution on large transmission/distribution contracts. Regulated earnings are less cyclically exposed, supporting durable EBITDA visibility and funding for capex, dividends and deleveraging over the medium term.
Read all positive factors
Iberdrola (IBDRY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$152.49B
Dividend Yield3.38%
Average Volume (3M)10.66K
Price to Earnings (P/E)31.7
Beta (1Y)0.03
Revenue Growth2.21%
EPS Growth-16.95%
CountryUS
Employees44,701
SectorUtilities
Sector Strength65
IndustryDiversified Utilities
Share Statistics
EPS (TTM)0.67
Shares Outstanding1,689,461,400
10 Day Avg. Volume7,013
30 Day Avg. Volume10,658
Financial Highlights & Ratios
PEG Ratio2.85
Price to Book (P/B)2.45
Price to Sales (P/S)2.81
P/FCF Ratio107.37
Enterprise Value/Market Cap1.26
Enterprise Value/Revenue3.47
Enterprise Value/Gross Profit7.09
Enterprise Value/Ebitda9.33
Forecast
1Y Price Target
$88.67Price Target Upside-1.79% Downside
Rating ConsensusHold
Number of Analyst Covering1
EPS Forecast (FY)4.63
Revenue Forecast (FY)$54.43B
Iberdrola Business Overview & Revenue Model
Company Description
Iberdrola, S.A. engages in the generation, transmission, distribution, and supply of electricity in Spain and internationally. It generates and markets electrical power using renewable sources, such as onshore and offshore wind, hydro, solar photo...
How the Company Makes Money
Iberdrola generates revenue through multiple key streams, primarily from electricity generation, distribution, and retail services. The company capitalizes on its extensive portfolio of renewable energy assets, which produce electricity that is so...
Iberdrola Earnings Call Summary
Earnings Call Date:Feb 25, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 29, 2026
Earnings Call Sentiment Positive
The call emphasized strong operational and financial momentum driven by the Networks business (robust EBITDA growth, large investments, increased RAB, secured long-term regulated frameworks and pipeline), solid cash generation, deleveraging and progressive shareholder returns. Weaknesses were concentrated in the Power & Customers segment (lower prices, volumes and higher ancillary costs), several one-off write-downs/provisions (renewable pipeline adjustments) and a sharp decline in Mexico's reported EBITDA tied to asset sales. Management maintains positive forward guidance (adjusted profit > EUR 6.6bn for 2026 and aims to exceed prior 2028 targets) and highlights multiple regulatory wins and financing successes that support growth and rating targets.Positive Updates
Net Profit Growth
Reported net profit of EUR 6,285 million, up 12% year-on-year; adjusted net profit EUR 6,231 million, up 10.3% and management states EUR 6,749 million excluding EUR 464 million noncash renewable pipeline charges.
Negative Updates
Power & Customers EBITDA Decline
Power & Customers adjusted EBITDA fell ~10% (EUR 7.9bn in 2025 vs EUR 8.8bn in 2024 excluding asset-rotation gains) due to lower market prices, volumes and higher ancillary services costs (notably reinforced system operation in Iberia).
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Q4-2025 Updates
Positive
Negative
Net Profit Growth
Reported net profit of EUR 6,285 million, up 12% year-on-year; adjusted net profit EUR 6,231 million, up 10.3% and management states EUR 6,749 million excluding EUR 464 million noncash renewable pipeline charges.
Read all positive updates
Company Guidance
Management reiterated guidance for adjusted net profit of >€6.6 billion in 2026 (aiming to add ~€1.0 billion in two years) and to exceed the €7.6 billion 2028 target, supported by 2025 results of reported net profit €6.285 billion (adjusted net profit €6.231 billion), adjusted EBITDA €15.684 billion, operating cash flow €12.811 billion (+8.2%), and a regulated asset base ~€51 billion (management cites ~12% y/y growth) after total investment of €14.460 billion (≈2/3 to networks, ~€9bn). Management expects 2026 net debt of €54–55 billion (vs. €50.2 billion at 2025 year‑end), strong credit metrics (FFO/adjusted net debt 25.5%, adjusted net debt/EBITDA ~3.0x), and incremental EBITDA drivers already contracted or announced including NECEC +€125m p.a., Brazil transmission +€250m p.a.; operational build‑out includes 2.7 GW commissioned in 2025, 4.7 GW under construction and ~9 GW ready for 2028.Iberdrola Financial Statement Overview
Summary
Income Statement
64
Positive
Balance Sheet
57
Neutral
Cash Flow
46
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 55.33B | 43.75B | 44.74B | 49.34B | 53.95B | 39.11B |
| Gross Profit | 27.03B | 11.19B | 23.88B | 23.30B | 20.20B | 17.06B |
| EBITDA | 20.55B | 15.94B | 17.53B | 14.36B | 12.77B | 11.80B |
| Net Income | 6.38B | 6.04B | 5.61B | 4.80B | 4.34B | 3.88B |
Balance Sheet | ||||||
| Total Assets | 157.57B | 160.69B | 158.29B | 150.03B | 154.67B | 141.75B |
| Cash, Cash Equivalents and Short-Term Investments | 3.34B | 6.34B | 4.57B | 3.81B | 7.47B | 5.52B |
| Total Debt | 56.38B | 59.77B | 57.73B | 63.93B | 50.42B | 44.27B |
| Total Liabilities | 98.15B | 97.30B | 97.24B | 89.74B | 96.55B | 85.63B |
| Stockholders Equity | 53.88B | 50.05B | 47.13B | 43.11B | 41.12B | 40.48B |
Cash Flow | ||||||
| Free Cash Flow | 2.48B | 1.14B | 2.05B | 4.25B | 3.66B | 1.19B |
| Operating Cash Flow | 6.62B | 8.45B | 11.93B | 12.13B | 10.44B | 8.11B |
| Investing Cash Flow | -6.01B | -11.30B | -8.40B | -9.69B | -10.15B | -9.49B |
| Financing Cash Flow | -2.21B | 2.69B | -2.27B | -4.09B | 151.00M | 1.87B |
Iberdrola Technical Analysis
Positive
90.29
Price Trends
90.81
Positive
87.29
Positive
80.76
Positive
Market Momentum
-0.35
Negative
52.97
Neutral
63.86
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IBDRY, the sentiment is Positive. The current price of 90.29 is above the 20-day moving average (MA) of 89.76, below the 50-day MA of 90.81, and above the 200-day MA of 80.76, indicating a bullish trend. The MACD of -0.35 indicates Negative momentum. The RSI at 52.97 is Neutral, neither overbought nor oversold. The STOCH value of 63.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IBDRY.
Iberdrola Peers Comparison
UnderperformOutperform
Sector (66)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $7.71B | 6.53 | 17.23% | 12.98% | -0.38% | -53.94% | |
66 Neutral | $17.65B | 18.10 | 5.60% | 3.62% | 6.62% | 11.55% | |
64 Neutral | $63.48B | 31.37 | 5.82% | 2.91% | 9.07% | -28.58% | |
60 Neutral | $152.49B | 31.69 | 12.54% | 3.38% | 2.21% | -16.95% | |
59 Neutral | $16.69B | 35.60 | 9.74% | 4.92% | 8.14% | ― | |
55 Neutral | $10.04B | 10.76 | 20.40% | 5.06% | -1.55% | 12.83% |
* Utilities Sector Average
IBDRY
Iberdrola
91.00
26.98
42.14%
BIP
Brookfield Infrastructure
36.12
7.31
25.37%
CIG
Companhia Energetica Minas Gerais
2.39
0.88
58.70%
SRE
Sempra Energy
97.17
26.49
37.47%
AES
AES
14.09
2.29
19.37%
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.