Companhia Paranaense Stock Analysis, Valuation (NYSE:ELP)
View the Companhia Paranaense stock analysis video on Amigobulls. This is our analyst opinion covering the buy and sell arguments for ELP 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 Paranaense de Energia (ADR) Stock Rating 3/5
Amigobulls ELP stock analysis relies on business fundamentals such as Companhia Paranaense revenue growth, profits and return on equity measures from the latest quarter 2018 Q1 earnings. We also use relative valuation metrics like PE ratio and price to sales ratio for Companhia Paranaense valuation analysis. Companhia Paranaense stock rating encapsulates our opinion about the company based on the fundamentals.
Should you buy ELP stock?
- Companhia Paranaense has a lower debt burden than its peers in the Utilities sector, with a debt/equity ratio of 0.66.
- The company has an operating cash flow which is 1.9316 times the net income. We see this as a positive signal.
- ELP stock is trading at an earnings multiple of 4.8 which is better than the sector average of 19.6.
- ELP stock is trading at a favorable price to sales multiple of 0.3 as against the Utilities sector average multiple of 2.
- Companhia Paranaense's dividend yield of 14.73 is attractive.
- Companhia Paranaense has an attractive ROIC (Return on Invested Capital) of 5.8
Should you sell ELP stock?
- Sales declined by -0.2 annually over the last 5 years.
Investors can make use of the Amigobulls Companhia Paranaense stock analysis to ascertain how ELP stock fares in fundamental analysis investment criteria. Fundamentals of a company give detailed information which helps in making invesment decisions.
Companhia Paranaense revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Companhia Paranaense stock.