Financial PerformanceCash conversion did not match earnings strength in the quarter, and further proof points suggest organic cash flows will fall short of funding distributions in the current macro environment.
Operational ChallengesRefining and Chemicals is still likely to report negative performances due to weak refining margins and on base chemical products.
Stock ValuationEni is priced at a premium to peers, with Buy rated peers offering stronger balance sheets, lower oil price break-evens, and more attractive free cash flow yields.