1.49%
-0.14%
2.56%
-2.17%
13.73%
-42.83%
-35.28%
AI Spotlight on FORTUM
Company Description
Fortum Oyj, together with its subsidiaries, engages in the generation and sale of electricity and heat in the Nordic countries, Germany, the United Kingdom, Russia, the Netherlands, the Baltic Rim area, and internationally.The company's Generation segment generates power through nuclear, hydro, wind, and thermal resources; and provides power portfolio optimization, trading, and industrial intelligence, as well as nuclear services.Its City Solutions develops solutions in the areas of heating, cooling, waste-to-energy, biomass, and other circular economy solutions, as well as solar power production.
The company's Consumer Solutions segment engages in electricity and gas retail businesses, including the provision of invoicing and customer services; and electricity and related value-added products, as well as digital services.This segment serves approximately 2.4 million customers.Its Russia segment generates and sells power and heat.
The company's Uniper segment engages in the power generation business, as well as energy trading and optimization activities.Fortum Oyj was founded in 1998 and is headquartered in Espoo, Finland.
Market Data
| Last Price | 14 |
| Change Percentage | 1.49% |
| Open | 13.79 |
| Previous Close | 13.79 |
| Market Cap ( Millions) | 12562 |
| Volume | 1544838 |
| Year High | 15.01 |
| Year Low | 10.82 |
| M A 50 | 13.73 |
| M A 200 | 13.93 |
Financial Ratios
| FCF Yield | 7.11% |
| Dividend Yield | nan% |
| ROE | 14.59% |
| Debt / Equity | 62.97% |
| Net Debt / EBIDTA | 55.92% |
| Price To Book | 1.48 |
| Price Earnings Ratio | 10.21 |
| Price To FCF | 14.07 |
| Price To sales | 2.02 |
| EV / EBITDA | 6.97 |
News
- Jan -31 - Fortum Oyj (FOJCY) Enhances Operational Efficiency with AI in Nuclear Engineering and Heat Demand Prediction
- Oct -30 - Fortum Oyj (FOJCF) Q3 2024 Earnings Call Highlights: Navigating Challenges with Strategic ...
- Oct -11 - Vestas and Fortum resolve arbitration dispute over Russian wind projects
- Oct -10 - Fortum’s energy assets targeted with daily cyberattacks
- Oct -10 - Exclusive-Finnish utility Fortum reports pick up in cyberattacks and surveillance
- Oct -09 - Fortum Oyj (FOJCF) Q2 2024 Earnings Call Highlights: Resilience Amid Market Challenges
- Sep -23 - Fortum to sell its stakes in biobased solutions businesses in India
- Sep -11 - Westinghouse and Hyundai to explore NPPs in Sweden and Finland
- Aug -16 - Fortum Oyj (FOJCY): Morgan Stanley is Bullish on This European AI Stock Now
- Aug -15 - Fortum beats expectations, shares climb
- May -29 - Upgrades Planned at Loviisa Nuclear Power Plant as Part of Life Extension
- May -15 - Fortum and Helen inaugurate 380MW Pjelax wind farm in Finland
- May -13 - 15 Countries that Produce the Most Biomass Energy in the World
- Mar -25 - Fortum Oyj's Dividend Analysis
- Aug -09 - Fortum fights to sell seized Russian assets and get compensation
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Generation
Expected Growth : 4.65 %
What the company do ?
Fortum Oyj's generation segment produces and sells electricity and heat in the Nordic countries, Russia, and Poland, with a focus on hydro and thermal power.
Why we expect these perspectives ?
Fortum Oyj's 4.65% growth is driven by increasing demand for renewable energy, successful integration of Uniper's hydro and wind power assets, and strategic investments in solar and wind power projects. Additionally, favorable regulatory frameworks and declining technology costs support the growth momentum.
Segment n°2 -> Consumer Solutions
Expected Growth : 10.27 %
What the company do ?
Fortum Oyj's Consumer Solutions provide clean and smart energy solutions to households, enabling them to reduce their environmental footprint and energy costs.
Why we expect these perspectives ?
Fortum Oyj's Consumer Solutions segment growth of 10.27% is driven by increasing demand for clean energy, expansion into new markets, and strategic partnerships. Additionally, investments in digitalization and customer experience have improved sales and retention. The segment's focus on sustainable energy solutions, such as solar and wind power, has also contributed to its growth.
Segment n°3 -> Reconciling Items
Expected Growth : 4.78 %
What the company do ?
Reconciling Items from Fortum Oyj refers to the differences between reported financial data and actual financial records, requiring adjustments to ensure accurate financial reporting.
Why we expect these perspectives ?
Fortum Oyj's 4.78% growth is driven by increasing demand for renewable energy, successful integration of Uniper's assets, and cost savings from operational efficiencies. Additionally, the company's focus on sustainable energy solutions and expansion into emerging markets have contributed to its growth momentum.
Segment n°4 -> Other
Expected Growth : 5.4 %
What the company do ?
Fortum Oyj's 'Other' segment includes heat, electricity sales, and other minor businesses not classified under the main segments.
Why we expect these perspectives ?
Fortum Oyj's 5.4% growth is driven by increasing demand for renewable energy, successful integration of Uniper's assets, and strategic expansion into the Nordic and Baltic regions. Additionally, the company's focus on sustainable energy solutions, cost savings initiatives, and favorable regulatory environment contribute to its growth momentum.
Fortum Oyj Products
| Product Range | What is it ? |
|---|---|
| Heat | Fortum provides heat to households, industries, and businesses through its district heating networks, ensuring a reliable and efficient supply of heat. |
| Electricity | Fortum generates and sells electricity to households, industries, and businesses, offering a range of pricing plans and services. |
| Renewable Energy | Fortum develops and operates renewable energy sources such as wind, solar, and hydro power, providing clean energy solutions. |
| City Solutions | Fortum offers urban planning and infrastructure development services, creating sustainable and efficient city ecosystems. |
| Bioenergy | Fortum produces and sells bioenergy products, such as biofuels and biopower, from sustainable biomass sources. |
| Waste-to-Energy | Fortum operates waste-to-energy plants, converting waste into heat and electricity, reducing waste disposal costs. |
Fortum Oyj's Porter Forces
Threat Of Substitutes
The threat of substitutes for Fortum Oyj is moderate due to the availability of alternative energy sources and the increasing adoption of renewable energy.
Bargaining Power Of Customers
The bargaining power of customers is low due to the lack of negotiating power and the fragmented nature of the customer base.
Bargaining Power Of Suppliers
The bargaining power of suppliers is moderate due to the presence of a few large suppliers and the dependence on them for raw materials.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry, including the need for significant capital investment and regulatory approvals.
Intensity Of Rivalry
The intensity of rivalry is high due to the presence of several established players and the ongoing competition for market share.
Strength
Capital Structure
| Value | |
|---|---|
| Debt Weight | 40.79% |
| Debt Cost | 5.58% |
| Equity Weight | 59.21% |
| Equity Cost | 7.48% |
| WACC | 6.70% |
| Leverage | 68.88% |
Fortum Oyj : Quality Control
Fortum Oyj passed 3 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| NEOEN.PA | Neoen S.A., an independent renewable energy production company, engages in the design, development, finance, construction project management, and operation of renewable energy power plants. The company operates solar, wind, and … |
| ERG.MI | ERG S.p.A., through its subsidiaries, produces energy through renewable sources in Italy, France, Germany, Poland, Bulgaria, and Romania. The company generates electricity through wind, solar, hydroelectric, and thermoelectric power plants, … |
| ANE.MC | Corporación Acciona Energías Renovables, S.A. engages in the promotion, construction, operation, maintenance, and development of renewable energy projects in Spain and internationally. The company operates onshore wind, photovoltaic solar, hydraulic, … |
| BKW.SW | BKW AG operates as an international energy and infrastructure company, which plans, builds, and operates infrastructure to produce and supply energy to businesses, households, and the public sector in Switzerland, … |
| AY | Atlantica Sustainable Infrastructure plc owns, manages, and invests in renewable energy, storage, natural gas and heat, electric transmission lines, and water assets in the United States, Canada, Mexico, Peru, Chile, … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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BKW
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Atlantica Sustainable Infrastructure
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Neoen
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4
ERG
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Fortum
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6
