- Enel posted mixed results in 2022 but doubled down on the energy transition.
- Capex is increased to a level of €170Bn to expand the divisions Green Power and Networks, which drive earnings.
- On the downside, net debt increased substantially and the stock price has trended lower since the beginning of 2021.
- The lower stock price resulted in a P/E ratio which is more aligned with industry peers, and the forward dividend yield increased to 7.5%.
- Given the inflationary environment and the outlook shared by the management, this company presents an opportunity at a price below US$6 (€5.75).
For further details see:
Enel: Attractive After Evaporation Of 'Green Premium'