Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) American Depositary Shares (EDN) Company Bio
Empresa Distribuidora y Comercializadora Norte S.A. engages in the distribution and sale of electricity in Argentina. The company was founded in 1992 and is based in Buenos Aires.
EDN Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for EDN, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Edenor ranked in the 95th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 6731.17% on a DCF basis. The most interesting components of our discounted cash flow analysis for Edenor ended up being:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 94. Notably, its equity weight is greater than 80.38% of US equities in the Utilities sector yielding a positive free cash flow.
The company's compound free cash flow growth rate over the past 3.97 years comes in at 0.75%; that's greater than 89.68% of US stocks we're applying DCF forecasting to.
The business' balance sheet suggests that 6% of the company's capital is sourced from debt; this is greater than only 14.3% of the free cash flow producing stocks we're observing.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Utilities that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as EDN, try ELP, VST, ENIC, GNE, and EOCCY.