Elektro Redes SA
BOVESPA:EKTR4

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Elektro Redes SA
BOVESPA:EKTR4
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Price: 39 BRL 1.56% Market Closed
Market Cap: R$7.6B

EV/GP

6.3
Current
1%
More Expensive
vs 3-y average of 6.3

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
6.3
=
Enterprise Value
R$14.3B
/
Gross Profit
R$2.2B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
6.3
=
Enterprise Value
R$14.3B
/
Gross Profit
R$2.2B

Valuation Scenarios

Elektro Redes SA is trading above its 3-year average

If EV/GP returns to its 3-Year Average (6.3), the stock would be worth R$38.68 (1% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-22%
Maximum Upside
+3%
Average Downside
7%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 6.3 R$39
0%
3-Year Average 6.3 R$38.68
-1%
5-Year Average 5.8 R$35.76
-8%
Industry Average 6.5 R$40.21
+3%
Country Average 4.9 R$30.25
-22%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close
Market Cap EV/GP P/E
BR
Elektro Redes SA
BOVESPA:EKTR4
7.6B BRL 6.3 7.9
US
Nextera Energy Inc
NYSE:NEE
202.1B USD 0 24.7
ES
Iberdrola SA
MAD:IBE
128.3B EUR 7.8 20.6
IT
Enel SpA
MIL:ENEL
99.6B EUR 3.4 23.7
US
Constellation Energy Corp
NASDAQ:CEG
111.5B USD 10.8 41.5
US
Southern Co
NYSE:SO
106.3B USD 6.6 24.5
US
Duke Energy Corp
NYSE:DUK
100.1B USD 7.9 20.4
US
American Electric Power Company Inc
NASDAQ:AEP
74B USD 8.1 20.7
FR
Electricite de France SA
PAR:EDF
46.6B EUR 1 -2.5
US
Entergy Corp
NYSE:ETR
52.7B USD 7 30
US
Xcel Energy Inc
NASDAQ:XEL
51.5B USD 6.3 24.6

Market Distribution

In line with most companies in Brazil
Percentile
65th
Based on 434 companies
65th percentile
6.3
Low
0.3 — 3.1
Typical Range
3.1 — 6.9
High
6.9 —
Distribution Statistics
Brazil
Min 0.3
30th Percentile 3.1
Median 4.9
70th Percentile 6.9
Max 121

Elektro Redes SA
Glance View

Market Cap
7.6B BRL
Industry
Utilities

Elektro Redes SA is a pivotal player in Brazil's energy sector, known for its robust network that stretches across a significant swath of the country's southeastern region. Established with a mission to deliver reliable and efficient electricity, the company serves millions of residents and businesses. It operates in a dynamic landscape marked by the complexities of urban expansion and rural connectivity, balancing the diverse demands of its customer base by continuously investing in infrastructure and technology. Through smart grid development and the integration of renewable energy sources, Elektro Redes SA remains steadfast in its pursuit of sustainability and reliability, crucial for maintaining its leadership in the ever-evolving energy market. The company's revenue model is primarily anchored in electricity distribution, where it charges customers for the power delivered and aims to optimize operational efficiencies to maximize profits. This includes managing costs related to energy procurement, transmission, and ensuring grid modernization to reduce technical and non-technical losses. Moreover, Elektro Redes SA taps into opportunities to expand its service offerings, such as value-added services around energy management solutions for commercial clients. Through strategic planning and a focus on customer satisfaction, the company not only strengthens its revenue streams but also solidifies its foothold in the competitive landscape of Brazil's energy sector.

EKTR4 Intrinsic Value
53.71 BRL
Undervaluation 27%
Intrinsic Value
Price R$39
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