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RWE AG
XBER:RWE

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RWE AG
XBER:RWE
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Price: 55.24 EUR 2.83% Market Closed
Market Cap: €41.1B

EV/OCF

9.1
Current
27%
More Expensive
vs 3-y average of 7.1

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
9.1
=
Enterprise Value
€43.8B
/
Operating Cash Flow
€5B

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
9.1
=
Enterprise Value
€43.8B
/
Operating Cash Flow
€5B

Valuation Scenarios

RWE AG is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (7.1), the stock would be worth €43.34 (22% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-34%
Maximum Upside
+20%
Average Downside
4%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 9.1 €55.24
0%
3-Year Average 7.1 €43.34
-22%
5-Year Average 6 €36.34
-34%
Industry Average 10.9 €66.33
+20%
Country Average 10.9 €66.33
+20%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
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Market Distribution

In line with most companies in Germany
Percentile
39th
Based on 2 369 companies
39th percentile
9.3
Low
0.2 — 7.5
Typical Range
7.5 — 16.6
High
16.6 —
Distribution Statistics
Germany
Min 0.2
30th Percentile 7.5
Median 10.9
70th Percentile 16.6
Max 2 561.1

RWE AG
Glance View

RWE AG, headquartered in Essen, Germany, stands as a prominent figure in the energy sector with a tenacious grip on the global market. Its origins date back to 1898, and over the decades, it has steadily transformed from a regional electric utility company into a leading international player in sustainable energy solutions. RWE's business essence lies in generating, trading, and supplying power, with a significant focus on renewable energy sources such as wind, solar, and hydroelectric power. This pivot towards clean energy demonstrates RWE's commitment to environmental sustainability, aligning its strategies with global climate agendas and the surging demand for green energy solutions. RWE's revenue engine is finely tuned with diverse streams. The company earns significant income from its power generation assets, where it produces electricity primarily through renewables but strategically balances it with transitional energy sources like natural gas as it phases out coal. Additionally, RWE engages in energy trading, navigating the complex global markets to optimize financial returns through strategic buy-and-sell arrangements. This segment capitalizes on its expertise in managing market risks and exploiting pricing opportunities. RWE's financial model is bolstered by its infrastructure and quality of service, which maintain a loyal client base, from industrial giants requiring steady power supply to residential consumers progressively leaning towards renewable energy options. In short, RWE AG is not just surviving the changing tides of the energy landscape; it is astutely navigating them.

RWE Intrinsic Value
36.23 EUR
Overvaluation 34%
Intrinsic Value
Price €55.24
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