1.55%
-2.24%
26.00%
16.91%
19.37%
24.62%
-0.23%
AI Spotlight on ENC
Company Description
ENCE Energía y Celulosa, S.A., together with its subsidiaries, produces and sells eucalyptus pulp and renewable energy in Spain, Germany, Poland, Italy, France, the United Kingdom, Turkey, Sweden, Romania, Netherlands, Austria, and internationally.It offers bleached eucalyptus kraft pulp; and forest land management and forestry services, as well as produces renewable energy using forestry and agricultural biomass sources.The company also purchases and sells timber.
It manages 61,631 hectares of forest.The company was formerly known as Grupo Empresarial ENCE, S.A. and changed its name to ENCE Energía y Celulosa, S.A. in April 2012.ENCE Energía y Celulosa, S.A. was founded in 1957 and is headquartered in Madrid, Spain.
Market Data
| Last Price | 3.4 |
| Change Percentage | 1.55% |
| Open | 3.37 |
| Previous Close | 3.35 |
| Market Cap ( Millions) | 826 |
| Volume | 685381 |
| Year High | 3.63 |
| Year Low | 2.68 |
| M A 50 | 3.33 |
| M A 200 | 3.14 |
Financial Ratios
| FCF Yield | 3.15% |
| Dividend Yield | 4.12% |
| ROE | 7.72% |
| Debt / Equity | 91.52% |
| Net Debt / EBIDTA | 153.37% |
| Price To Book | 1.27 |
| Price Earnings Ratio | 18.67 |
| Price To FCF | 31.73 |
| Price To sales | 0.95 |
| EV / EBITDA | 6.11 |
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Pulp
Expected Growth : 5 %
What the company do ?
Pulp from ENCE Energía y Celulosa, S.A. is a type of wood pulp used in paper production, sourced from sustainable forests in Spain.
Why we expect these perspectives ?
ENCE Energía y Celulosa's pulp segment growth is driven by increasing demand for sustainable packaging, rising eucalyptus wood availability, and strategic capacity expansions. Additionally, growing tissue and hygiene product demand, coupled with the company's focus on cost reduction and operational efficiency, contribute to the 5% growth rate.
Segment n°2 -> Energy Business & Segment
Expected Growth : 4 %
What the company do ?
ENCE Energía y Celulosa, S.A.'s Energy Business & Segment focuses on generating electricity from biomass and thermal energy, utilizing forestry waste and other renewable sources.
Why we expect these perspectives ?
ENCE Energía y Celulosa's 4% growth in Energy Business & Segment is driven by increasing demand for renewable energy, favorable regulatory frameworks, and strategic investments in wind and hydroelectric power generation. Additionally, the company's focus on energy efficiency and cost reduction initiatives has improved profitability, while its diversified energy mix has mitigated risks.
Segment n°3 -> Forest Assets & Other
Expected Growth : 3 %
What the company do ?
Forest Assets & Other from ENCE Energía y Celulosa, S.A. refers to the company's forestry assets and other miscellaneous operations, including land management and wood chip production.
Why we expect these perspectives ?
ENCE Energía y Celulosa's Forest Assets & Other segment growth is driven by increasing demand for sustainable forestry products, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on certified sustainable forestry practices and commitment to reducing carbon footprint contribute to its growth. Furthermore, the rising trend of eco-friendly products and government incentives for sustainable forestry also support the segment's 3% growth.
Ence Energía Y Celulosa, S.A. Products
| Product Range | What is it ? |
|---|---|
| Biomass | ENCE Energía y Celulosa, S.A. produces biomass from forestry waste, which is used as a renewable energy source for heat and power generation. |
| Pulp | ENCE Energía y Celulosa, S.A. manufactures pulp from wood chips, used in the production of paper, cardboard, and tissue products. |
| Paper | ENCE Energía y Celulosa, S.A. produces a range of paper products, including packaging paper, printing paper, and specialty papers. |
| Energy | ENCE Energía y Celulosa, S.A. generates electricity from biomass and other renewable sources, providing clean energy to the grid. |
| Biofuels | ENCE Energía y Celulosa, S.A. produces biofuels from biomass, providing a sustainable alternative to fossil fuels for transportation and industrial applications. |
ENCE Energía y Celulosa, S.A.'s Porter Forces
Threat Of Substitutes
ENCE Energía y Celulosa, S.A. operates in the energy and cellulose industry, where substitutes are limited, but not impossible. The company's products have some level of differentiation, which reduces the threat of substitutes.
Bargaining Power Of Customers
The bargaining power of customers is low due to the specialized nature of ENCE Energía y Celulosa, S.A.'s products and the lack of alternative suppliers.
Bargaining Power Of Suppliers
The bargaining power of suppliers is moderate, as ENCE Energía y Celulosa, S.A. relies on a few key suppliers for raw materials, but has some flexibility to negotiate prices.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry in the energy and cellulose industry, including significant capital requirements and regulatory hurdles.
Intensity Of Rivalry
The intensity of rivalry is high in the energy and cellulose industry, with several established players competing for market share and limited opportunities for differentiation.
Weaknesses
Capital Structure
| Value | |
|---|---|
| Debt Weight | 52.51% |
| Debt Cost | 9.47% |
| Equity Weight | 47.49% |
| Equity Cost | 9.47% |
| WACC | 9.47% |
| Leverage | 110.58% |
ENCE Energía y Celulosa, S.A. : Quality Control
ENCE Energía y Celulosa, S.A. passed 1 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| ST5.DE | STEICO SE develops, produces, and markets ecological construction products made of renewable raw materials worldwide. The company offers flexible and stable wood fiber insulation panels, and facade insulation materials which … |
| ALTR.LS | Altri, SGPS, S.A. produces and sells bleached eucalyptus pulp in Portugal and internationally. It offers bleached eucalyptus kraft pulp for use in a range of papers, such as tissues, and … |
| COR.LS | Corticeira Amorim, S.G.P.S., S.A. manufactures and sells cork and cork related products worldwide. The company operates through Raw Materials, Cork Stoppers, Floor and Wall Coverings, Composite Cork, and Insulation Cork … |
| SUR.DE | Surteco Group SE develops, produces, and sells coated surface materials based on paper and plastic in Germany, rest of Europe, and North and South America. The company operates through Decoratives, … |
| NSKOG.OL | Norske Skog ASA produces and sells newsprint and magazine papers. It operates in two segments, Publication Paper Europe, and Publication Paper Australasia. The company offers standard newsprint and other paper … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Altri
A-Score
1-Year Total Return ->
🥈
Corticeira Amorim
A-Score
1-Year Total Return ->
🥉
ENCE Energía y Celulosa
A-Score
1-Year Total Return ->
4
Surteco
A-Score
1-Year Total Return ->
5
Norske Skog
A-Score
1-Year Total Return ->
6
