Comp En De Mn Cemig Stock Analysis, Valuation (NYSE:CIG)

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$2.03 $0.01 (0.49%) CIG stock closing price Aug 17, 2018 (Closing)

Take a look at Amigobulls Comp En De Mn Cemig stock analysis video. This is our analyst opinion covering the buy and sell arguments for CIG stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Companhia Energetica Minas Gerais (ADR) Stock Rating 2.8/5

Amigobulls CIG stock analysis relies on business fundamentals such as Comp En De Mn Cemig revenue growth, profits and return on equity measures from the latest quarter 2018 Q1 earnings. We compare Comp En De Mn Cemig valuation with its sector peers to gauge relative attractiveness of CIG stock. Comp En De Mn Cemig stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy CIG stock?

  • The Comp En De Mn Cemig stock currently trades at a price to earnings ratio of 7.5, compared to the sector average of 20. We rate this as a positive.
  • When compared with the Utilities sector average PS ratio of 2.1, the price-to-sales ratio of 0.4 for CIG stock is attractive.
  • Comp En De Mn Cemig's return on invested capital of 5.2 is good.

Should you sell CIG stock?

  • Revenue declined at a CAGR of -5.6 over the last 5 years.
  • Comp En De Mn Cemig posted a TTM Net margin of 5.1%.
  • The company's operations consume more cash than it generates. This is not a healthy sign.
  • The company has a negative free cash flow margin of -7.6.

Comments on this video and Comp En De Mn Cemig stock

Investors can use Amigobulls Comp En De Mn Cemig stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

Comp En De Mn Cemig revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. One can also combine technical analysis and fundamental analysis to get a holistic picture about CIG stock.