Is Galp Energia SGPS (ELI:GALP) A Risky Investment?
Oct 31
Portuguese (PSI) Market Analysis & Valuation
UpdatedOct 31, 2023
DataAggregated Company Financials
Companies46
- 7D3.3%
- 3M-3.2%
- 1Y-4.0%
- YTD-6.6%
The market has climbed 3.8% in the last 7 days, lead by the Utilities sector with a gain of 4.4%. The market has been flat overall in the last year. As for the next few years, earnings are expected to grow by 6.4% per annum.
Market Valuation and Performance
Has the Portuguese Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 31 Oct 2023 | €76.8b | €107.0b | €5.5b | 10x | 14x | 0.7x |
| Thu, 28 Sep 2023 | €76.7b | €105.9b | €5.5b | 9.9x | 13.9x | 0.7x |
| Sat, 26 Aug 2023 | €80.4b | €104.8b | €5.6b | 9.3x | 14.5x | 0.8x |
| Mon, 24 Jul 2023 | €81.2b | €106.5b | €6.3b | 9.5x | 13x | 0.8x |
| Wed, 21 Jun 2023 | €82.5b | €106.5b | €6.3b | 10.1x | 13.1x | 0.8x |
| Fri, 19 May 2023 | €82.1b | €106.2b | €6.2b | 10.1x | 13.3x | 0.8x |
| Sun, 16 Apr 2023 | €82.8b | €105.8b | €5.4b | 9.4x | 15.2x | 0.8x |
| Tue, 14 Mar 2023 | €79.3b | €104.2b | €5.5b | 9.3x | 14.4x | 0.8x |
| Thu, 09 Feb 2023 | €78.2b | €101.3b | €5.1b | 9.3x | 15.3x | 0.8x |
| Sat, 07 Jan 2023 | €80.2b | €101.3b | €5.1b | 8.9x | 15.7x | 0.8x |
| Mon, 05 Dec 2022 | €80.6b | €101.3b | €5.1b | 9x | 15.8x | 0.8x |
| Wed, 02 Nov 2022 | €78.7b | €98.4b | €4.8b | 9.2x | 16.4x | 0.8x |
| Fri, 30 Sep 2022 | €74.0b | €93.4b | €4.1b | 10.2x | 18.2x | 0.8x |
| Sun, 28 Aug 2022 | €87.2b | €92.8b | €4.0b | 11.4x | 21.6x | 0.9x |
| Tue, 26 Jul 2022 | €82.4b | €85.3b | €2.9b | 11.1x | 28.9x | 1x |
| Thu, 23 Jun 2022 | €78.0b | €85.0b | €2.7b | 13.6x | 28.5x | 0.9x |
| Sat, 21 May 2022 | €78.7b | €84.4b | €2.7b | 15.5x | 29.6x | 0.9x |
| Mon, 18 Apr 2022 | €82.6b | €78.4b | €2.9b | 17.9x | 28.2x | 1.1x |
| Wed, 16 Mar 2022 | €76.0b | €78.3b | €2.9b | 16.8x | 25.9x | 1x |
| Fri, 11 Feb 2022 | €72.8b | €73.6b | €2.6b | 14.9x | 27.5x | 1x |
| Sun, 09 Jan 2022 | €74.9b | €73.5b | €2.6b | 16.4x | 28.5x | 1x |
| Tue, 07 Dec 2021 | €76.4b | €73.5b | €2.6b | 16x | 29.1x | 1x |
| Thu, 04 Nov 2021 | €78.6b | €72.1b | €2.6b | 16.3x | 30.3x | 1.1x |
| Sat, 02 Oct 2021 | €75.0b | €70.2b | €2.8b | 16x | 26.6x | 1.1x |
| Mon, 30 Aug 2021 | €73.7b | €70.0b | €2.8b | 16.2x | 26.2x | 1.1x |
| Tue, 06 Jul 2021 | €68.6b | €69.9b | €2.8b | 15.2x | 24.5x | 1x |
| Fri, 09 Apr 2021 | €68.5b | €66.7b | €2.4b | 13.2x | 28.1x | 1x |
| Thu, 31 Dec 2020 | €69.4b | €65.2b | €1.8b | 15.9x | 37.6x | 1.1x |
Price to Earnings Ratio
33x
Current Market PE
- Investors are pessimistic on the Portuguese market, indicating that they anticipate earnings will not grow as fast as they have historically.
- The market is trading at a PE ratio of 14.0x which is lower than its 3-year average PE of 23.6x.
Past Earnings Growth
- The earnings for Portuguese listed companies have grown 48% per year over the last three years.
- Revenues for these companies have grown 16% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Sector Trends
Which sectors have driven the changes within the Portuguese Market?
| PT Market | 3.35% | |
| Consumer Staples | 5.12% | |
| Financials | 4.67% | |
| Industrials | 4.53% | |
| Materials | 4.34% | |
| Utilities | 4.20% | |
| Real Estate | 0% | |
| Healthcare | 0% | |
| Telecom | -0.72% | |
| Energy | -0.94% | |
| Consumer Discretionary | -1.56% | |
| Tech | -4.53% | |
Sector PE
- Investors favour the Utilities sector the most for future growth even though it's trading below its 3-year average PE ratio of 28.1x.
- Analysts are expecting annual earnings growth of 13.8%, which is lower than the prior year's growth of 27.6% per year.
Forecasted Growth
- Analysts are most optimistic on the Industrials sector, expecting annual earnings growth of 17% over the next 5 years.
- However this is lower than its past earnings growth rate of 34% per year.
- In contrast, the Telecom sector is expected to see its earnings decline by 8.9% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | Sector | |
|---|---|---|---|---|---|---|
| EDPR EDP Renováveis | €14.68 | 5.7% +€814.1m | -31.1% | PE34.9x | Utilities | |
| JMT Jerónimo Martins SGPS | €21.66 | 5.7% +€729.0m | 3.2% | PE18.7x | Consumer Staples | |
| EDP EDP - Energias de Portugal | €3.87 | 3.1% +€483.3m | -12.6% | PE19.9x | Utilities | |
| BCP Banco Comercial Português | €0.29 | 4.7% +€196.5m | 100.4% | PB0.8x | Financials | |
| NVG Navigator Company | €3.74 | 6.4% +€160.7m | -3.0% | PE8.2x | Materials |
Market Insights
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