Rede Energia Valuation
| REDE3 Stock | BRL 6.25 0.03 0.48% |
At this time, the company appears to be overvalued. Rede Energia Participaes holds a recent Real Value of R$5.95 per share. The prevailing price of the company is R$6.25. Our model determines the value of Rede Energia Participaes from analyzing the company fundamentals such as Operating Margin of 0.24 %, return on equity of 0.37, and Shares Outstanding of 2.11 B as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Rede Energia's price fluctuation is not too volatile at this time. Calculation of the real value of Rede Energia Participaes is based on 3 months time horizon. Increasing Rede Energia's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Rede stock is determined by what a typical buyer is willing to pay for full or partial control of Rede Energia Participaes. Since Rede Energia is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Rede Stock. However, Rede Energia's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 6.25 | Real 5.95 | Hype 6.25 |
The intrinsic value of Rede Energia's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Rede Energia's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Rede Energia Participaes helps investors to forecast how Rede stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Rede Energia more accurately as focusing exclusively on Rede Energia's fundamentals will not take into account other important factors: Rede Energia Total Value Analysis
Rede Energia Participaes is at this time projected to have takeover price of 19.86 B with market capitalization of 11.35 B, debt of 7.81 B, and cash on hands of 141.99 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Rede Energia fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
19.86 B | 11.35 B | 7.81 B | 141.99 M |
Rede Energia Investor Information
About 100.0% of the company outstanding shares are owned by corporate insiders. The book value of Rede Energia was at this time reported as 1.99. The company last dividend was issued on the 17th of November 2022. Rede Energia Participaes had 5:1 split on the 26th of July 2006. Based on the key measurements obtained from Rede Energia's financial statements, Rede Energia Participaes is not in a good financial situation at the moment. It has a very high risk of going through financial straits in February.Rede Energia Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Rede Energia has an asset utilization ratio of 59.82 percent. This implies that the Company is making R$0.6 for each dollar of assets. An increasing asset utilization means that Rede Energia Participaes is more efficient with each dollar of assets it utilizes for everyday operations.Rede Energia Ownership Allocation
Rede Energia owns a total of 2.11 Billion outstanding shares. Rede Energia holds majority of its outstanding shares owned by insiders. An insider is usually defined as a corporate executive, director, member of the board or institutional investor who own at least 10% of the company's outstanding shares. 99.57 pct. of Rede Energia Participaes outstanding shares that are owned by insiders implies they have been buying or selling the stock in recent months in anticipation of some upcoming event. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Rede Energia Profitability Analysis
The company reported the revenue of 14.74 B. Net Income was 1.52 B with profit before overhead, payroll, taxes, and interest of 3.21 B.About Rede Energia Valuation
The stock valuation mechanism determines Rede Energia's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Rede Energia Participaes based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Rede Energia. We calculate exposure to Rede Energia's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Rede Energia's related companies.Rede Energia Participaes S.A., through its subsidiaries, engages in the generation, distribution, and commercialization of electricity in Brazil. The company was incorporated in 1969 and is based in Sao Paulo, Brazil. REDE ENERGIAON operates under UtilitiesRegulated Electric classification in Brazil and is traded on Sao Paolo Stock Exchange. It employs 5989 people.
8 Steps to conduct Rede Energia's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Rede Energia's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Rede Energia's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Rede Energia's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Rede Energia's revenue streams: Identify Rede Energia's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Rede Energia's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Rede Energia's growth potential: Evaluate Rede Energia's management, business model, and growth potential.
- Determine Rede Energia's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Rede Energia's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Rede Stock Analysis
When running Rede Energia's price analysis, check to measure Rede Energia's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Rede Energia is operating at the current time. Most of Rede Energia's value examination focuses on studying past and present price action to predict the probability of Rede Energia's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Rede Energia's price. Additionally, you may evaluate how the addition of Rede Energia to your portfolios can decrease your overall portfolio volatility.