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Edenor SA Class B (EDN)
NYSE:EDN

Edenor SA (EDN) AI Stock Analysis

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ED

Edenor SA

(NYSE:EDN)

49Neutral
Edenor SA shows strong revenue growth but faces significant challenges with profitability, reflected in negative net income and cash flow. The technical indicators suggest neutral momentum, while valuation is poor due to a negative P/E ratio and absence of dividends. The overall score reflects these financial and technical challenges.

Edenor SA (EDN) vs. S&P 500 (SPY)

Edenor SA Business Overview & Revenue Model

Company DescriptionEdenor SA engages inthe provision pf electric power distribution services. It holds a concession to distribute electricity to the northwestern part of the greater Buenos Aires metropolitan area and in the northern part of Buenos Aires. The company was founded on July 21, 1992 and is headquartered in Buenos Aires, Argentina.
How the Company Makes MoneyEdenor SA makes money through the distribution and sale of electricity. Its primary revenue streams include electricity tariffs charged to customers, which are regulated by the Argentine government. The company bills its customers based on their electricity consumption, which varies across residential, commercial, and industrial sectors. Edenor's earnings are influenced by regulatory frameworks that determine tariff rates and the company's ability to manage operational costs efficiently. Additionally, the company might engage in partnerships or collaborations with other energy providers or government entities to enhance service delivery and infrastructure development, although specific partnerships are not detailed here.

Edenor SA Financial Statement Overview

Summary
Edenor SA's financial statements show strong revenue growth but significant profitability challenges. Despite a stable balance sheet, negative cash flow and net income raise concerns about financial health and sustainability.
Income Statement
45
Neutral
Edenor SA's income statement reveals significant challenges. The TTM (Trailing-Twelve-Months) data shows a negative net income, indicating the company is facing profitability issues. The gross profit margin is approximately 13.79%, and the net profit margin is highly negative, reflecting operational difficulties. Revenue growth is strong year-over-year, but profitability remains a concern with consistent negative EBIT margins.
Balance Sheet
55
Neutral
The balance sheet indicates a moderate financial structure. The debt-to-equity ratio is approximately 0.29, suggesting a manageable level of leverage. However, the return on equity is negative due to consistent net losses, which is concerning. The equity ratio stands at about 31.93%, showing a decent equity base relative to total assets.
Cash Flow
50
Neutral
Cash flow analysis presents a mixed picture. While operating cash flow is positive, indicating some operational viability, the free cash flow is negative, highlighting challenges in covering capital expenditures. The operating cash flow to net income ratio is negative, reflecting inefficiencies in converting profits to cash flow.
Breakdown
TTMDec 2023Dec 2022Dec 2021Dec 2020Dec 2019
Income StatementTotal Revenue
1.96T701.10B205.84B113.50B91.32B89.94B
Gross Profit
269.93B27.73B7.69B14.59B13.52B16.76B
EBIT
-36.08B-119.79B-33.62B-5.45B-2.54B6.13B
EBITDA
426.31B586.64B-19.77B4.11B-15.21B10.92B
Net Income Common Stockholders
-184.54B48.37B-17.47B-21.34B-17.70B12.13B
Balance SheetCash, Cash Equivalents and Short-Term Investments
91.76B91.76B94.45B36.75B10.05B4.36B
Total Assets
1.51T1.51T1.50T463.27B224.51B162.63B
Total Debt
97.92B97.92B47.39B20.66B12.99B13.60B
Net Debt
88.79B88.79B42.32B14.49B6.41B13.04B
Total Liabilities
1.07T1.07T1.10T319.72B129.61B82.11B
Stockholders Equity
438.81B438.81B391.34B143.55B94.90B80.52B
Cash FlowFree Cash Flow
-182.56B-48.31B3.70B6.62B7.55B788.33M
Operating Cash Flow
179.53B71.47B35.43B21.35B17.40B10.16B
Investing Cash Flow
-406.32B-79.06B-37.36B-25.54B-7.22B-5.16B
Financing Cash Flow
170.00B7.34B-4.76B-1.44B-6.15B-5.07B

Edenor SA Technical Analysis

Technical Analysis Sentiment
Negative
Last Price33.64
Price Trends
50DMA
37.89
Negative
100DMA
36.81
Negative
200DMA
27.67
Positive
Market Momentum
MACD
-1.38
Positive
RSI
33.75
Neutral
STOCH
37.39
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EDN, the sentiment is Negative. The current price of 33.64 is below the 20-day moving average (MA) of 36.23, below the 50-day MA of 37.89, and above the 200-day MA of 27.67, indicating a neutral trend. The MACD of -1.38 indicates Positive momentum. The RSI at 33.75 is Neutral, neither overbought nor oversold. The STOCH value of 37.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EDN.

Edenor SA Risk Analysis

Edenor SA disclosed 53 risk factors in its most recent earnings report. Edenor SA reported the most risks in the “Macro & Political” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Edenor SA Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
CICIG
80
Outperform
$6.19B3.5731.64%9.76%3.39%46.79%
DUDUK
77
Outperform
$91.39B20.719.10%3.53%4.46%54.09%
EBEBR
77
Outperform
$15.62B8.028.91%2.96%2.94%191.13%
PAPAM
66
Neutral
$4.78B6.9522.11%-0.88%-47.59%
65
Neutral
$11.99B15.636.50%4.40%7.00%0.55%
AEAES
63
Neutral
$8.53B4.9939.65%5.78%-3.14%564.25%
EDEDN
49
Neutral
$1.68B-25.08%39.11%-246.64%
* Utilities Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
EDN
Edenor SA
33.64
17.96
114.54%
CIG
Companhia Energetica Minas Gerais
1.91
0.33
20.89%
DUK
Duke Energy
116.64
24.70
26.87%
PAM
Pampa Energia SA
80.46
41.30
105.46%
AES
AES
11.83
-3.22
-21.40%
EBR
Centrais Eletricas Brasileiras SA - Eletrobras
6.73
-1.72
-20.36%
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.