Italgas S.p.A. (IT:IG)
:IG
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Italgas S.p.A.
(IG)
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Select Model
Rating:63Neutral
Price Target:
€10.50
▼(-0.57% Downside)
Action:ReiteratedDate:04/01/26
The score is driven primarily by solid 2025 profitability and improving revenue, but it is held back by high leverage and inconsistent free cash flow generation. Technical indicators add a modest near-term headwind, while valuation is supportive due to a moderate P/E and a ~3.8% dividend yield.
Positive Factors
Regulated distribution business model
A regulated concession model creates predictable allowed revenues and an invested asset base (RAB) that underpins long-term cash flows. Tariff frameworks and concession structures support steady returns and justify ongoing network investment over multi-year horizons, reducing demand risk.
Negative Factors
Structurally elevated leverage
High leverage relative to equity constrains financial flexibility and raises refinancing and interest-rate risk for a capital-intensive utility. If funding costs rise or capex needs accelerate, debt servicing demands could crowd discretionary investment or shareholder returns over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Regulated distribution business model
A regulated concession model creates predictable allowed revenues and an invested asset base (RAB) that underpins long-term cash flows. Tariff frameworks and concession structures support steady returns and justify ongoing network investment over multi-year horizons, reducing demand risk.
Read all positive factors
Italgas S.p.A. (IG) vs. iShares MSCI Italy ETF (EWI)
Market Cap
€10.73B
Dividend Yield4.05%
Average Volume (3M)2.48M
Price to Earnings (P/E)4.8
Beta (1Y)0.42
Revenue Growth-3.34%
EPS Growth8.88%
CountryIT
Employees6,500
SectorUtilities
Sector Strength65
IndustryRegulated Gas
Share Statistics
EPS (TTM)0.17
Shares Outstanding1,016,334,170
10 Day Avg. Volume2,528,678
30 Day Avg. Volume2,483,487
Financial Highlights & Ratios
PEG Ratio1.21
Price to Book (P/B)2.53
Price to Sales (P/S)2.76
P/FCF Ratio17.98
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€10.00Price Target Upside-5.30% Downside
Rating ConsensusHold
Number of Analyst Covering5
EPS Forecast (FY)0.73
Revenue Forecast (FY)€2.79B
Italgas S.p.A. Business Overview & Revenue Model
Company Description
Italgas S.p.A., together with its subsidiaries, engages in the distribution of natural gas in Italy. It is involved in the transportation of gas through local pipeline networks from the delivery points at the reduction and measurement stations int...
How the Company Makes Money
Italgas makes money mainly through regulated gas distribution activities. Its core revenue comes from operating local gas distribution networks under concessions and earning regulated tariffs/allowed revenues set by the Italian energy regulator (A...
Italgas S.p.A. Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
62
Positive
Cash Flow
54
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 3.51B | 2.51B | 2.61B | 2.18B | 2.10B |
| Gross Profit | 1.53B | 1.72B | 1.62B | 745.46M | 721.78M |
| EBITDA | 1.86B | 1.36B | 1.20B | 1.12B | 1.02B |
| Net Income | 672.30M | 478.85M | 439.57M | 407.29M | 362.81M |
Balance Sheet | |||||
| Total Assets | 18.87B | 11.97B | 11.14B | 11.03B | 10.15B |
| Cash, Cash Equivalents and Short-Term Investments | 491.38M | 362.85M | 267.19M | 451.95M | 1.39B |
| Total Debt | 11.42B | 7.19B | 6.92B | 6.55B | 6.38B |
| Total Liabilities | 14.70B | 9.18B | 8.54B | 8.64B | 8.01B |
| Stockholders Equity | 3.82B | 2.46B | 2.28B | 2.11B | 1.89B |
Cash Flow | |||||
| Free Cash Flow | 537.76M | 206.05M | -289.23M | -229.06M | 20.05M |
| Operating Cash Flow | 1.63B | 1.10B | 572.67M | 548.17M | 839.63M |
| Investing Cash Flow | -3.17B | -809.13M | -857.60M | -1.28B | -813.74M |
| Financing Cash Flow | 1.67B | -136.88M | 82.95M | -209.17M | 701.84M |
Italgas S.p.A. Technical Analysis
Positive
10.56
Price Trends
10.41
Positive
10.03
Positive
8.90
Positive
Market Momentum
0.01
Negative
59.23
Neutral
85.64
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:IG, the sentiment is Positive. The current price of 10.56 is above the 20-day moving average (MA) of 10.12, above the 50-day MA of 10.41, and above the 200-day MA of 8.90, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 59.23 is Neutral, neither overbought nor oversold. The STOCH value of 85.64 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:IG.
Italgas S.p.A. Peers Comparison
UnderperformOutperform
Sector (66)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | €771.49M | 8.23 | 9.91% | 4.59% | 20.11% | 75.92% | |
68 Neutral | €22.79B | 14.95 | 17.62% | 5.18% | -8.04% | 30.49% | |
66 Neutral | $17.65B | 18.10 | 5.60% | 3.62% | 6.62% | 11.55% | |
63 Neutral | €10.73B | 4.81 | ― | 4.05% | -3.34% | 8.88% | |
61 Neutral | €3.36B | 23.79 | 9.06% | 5.06% | 10.48% | 9.06% | |
56 Neutral | €6.10B | 8.70 | 13.30% | 3.76% | 15.98% | 19.01% |
* Utilities Sector Average
IT:IG
Italgas S.p.A.
10.56
4.63
77.99%
IT:ASC
Ascopiave S.p.A.
3.56
0.57
19.18%
IT:EDNR
Edison Spa
2.21
0.48
27.52%
IT:HER
HERA S.p.A.
4.17
0.44
11.94%
IT:IRE
Iren S.p.A.
2.62
0.43
19.67%
IT:SRG
SNAM S.p.A.
6.80
2.37
53.35%
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.