[EUROPE // RESEARCH]
EQUITY RESEARCH[EU]
Acciona Energía: negative cash flow and valuation multiples in the renewables segment
Acciona Energía exhibits a divergence between a 56.8% gross margin and a negative free cash flow of €-408.72M due to capital expenditure requirements. Trading at 43x earnings and 13x EV/EBITDA, valuation prices in operational acceleration against a modest 7.1% EBIT margin.
KEY TAKEAWAYS
- Free cash flow displays a burn of €-408.72M driven by intensive capital expenditure programs.
- Equity valuation commands a 43x P/E ratio and 13x EV/EBITDA relative to the €21.36 share price.
- A 56.8% gross margin compresses to an EBIT margin of 7.1% once depreciation and overhead are accounted for.
- Return on equity stands at 3.3%, reflecting capital commitment during an active expansionary phase.
