AI Spotlight on A2A
Company Description
A2A S.p.A. engages in the production, sale, and distribution of gas and electricity, and district heating in Italy and internationally.The company generates electricity through hydroelectric, thermoelectric, photovoltaic, cogeneration, waste treatment, and wind plants with a total installed capacity of 8.9 GW; and purchases and sells electricity, gas, fuels, and environmental certificates.It also engages in the production and sale of heat produced through district heating networks; waste management activities, including collection and street sweeping, treatment, disposal, and recovery of materials and energy; and the construction and management of integrated waste disposal plants and systems.
In addition, the company offers integrated water cycle management services; and technical consultancy services relating to energy efficiency certificates.Further, it is involved in the management of public lighting and traffic regulation systems, votive lamps, street lights, and water purification and sewer activities, as well as offers energy efficiency and electric mobility services.Additionally, the company provides telecommunication services, including management of fixed and mobile phone lines, and data transmission lines; management and development of infrastructures to support communications; and implementation and management of video surveillance and access control systems, as well as designs solutions and applications for creating new models of cities and territories.
A2A S.p.A. is headquartered in Brescia, Italy.
Market Data
Last Price | 2.29 |
Change Percentage | 0.35% |
Open | 2.29 |
Previous Close | 2.28 |
Market Cap ( Millions) | 7159 |
Volume | 5789202 |
Year High | 2.33 |
Year Low | 1.61 |
M A 50 | 2.19 |
M A 200 | 2.04 |
Financial Ratios
FCF Yield | 2.44% |
Dividend Yield | 4.19% |
ROE | 19.32% |
Debt / Equity | 114.19% |
Net Debt / EBIDTA | 172.11% |
Price To Book | 1.38 |
Price Earnings Ratio | 8.25 |
Price To FCF | 40.91 |
Price To sales | 0.57 |
EV / EBITDA | 4.79 |
News
- Jan -02 - 3 Leading Dividend Stocks Yielding Up To 8.5%
- Nov -16 - A2A SpA (WBO:A2A) Q3 2024 Earnings Call Highlights: Strategic Growth Amid Revenue Challenges
- Nov -14 - 3 Reliable Dividend Stocks Offering Up To 8.9% Yield
- Oct -09 - A2A SpA (FRA:EAM) Q2 2024 Earnings Call Highlights: Strong EBITDA Growth and Renewable Energy ...
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Generation and Trading
Expected Growth : 6.9 %
What the company do ?
Generation and Trading from A2A S.p.A. refers to the production and sale of electricity, gas, and other energy sources by A2A, an Italian multi-utility company.
Why we expect these perspectives ?
A2A S.p.A.'s 6.9% growth in Generation and Trading is driven by increased electricity production from renewable sources, favorable market conditions, and strategic asset optimization. Additionally, effective risk management and hedging strategies have contributed to the segment's growth, along with a strong focus on cost reduction and operational efficiency.
Segment n°2 -> Market
Expected Growth : 4.6 %
What the company do ?
The Market from A2A S.p.A. refers to the Italian energy market, where A2A S.p.A. operates as a leading player, providing electricity, gas, and renewable energy solutions to customers.
Why we expect these perspectives ?
A2A S.p.A.'s 4.6% growth is driven by increasing demand for renewable energy, expansion in the Italian market, and strategic investments in grid modernization. Additionally, the company's focus on energy efficiency and cost savings initiatives has contributed to its growth. Furthermore, A2A's diversification into new businesses such as waste management and public lighting has also supported its growth momentum.
Segment n°3 -> Eliminations
Expected Growth : 4.83 %
What the company do ?
Eliminations from A2A S.p.A. refer to the removal of inter-company transactions and balances between A2A S.p.A. and its subsidiaries to present a consolidated financial statement.
Why we expect these perspectives ?
A2A S.p.A.'s 4.83% growth is driven by increasing demand for renewable energy, successful integration of acquired assets, and cost savings from operational efficiencies. Additionally, favorable regulatory policies and investments in grid infrastructure have contributed to the growth.
Segment n°4 -> Smart Infrastructures
Expected Growth : 8.95 %
What the company do ?
A2A S.p.A.'s Smart Infrastructures integrate technology and data to optimize energy, water, and waste management in urban areas, enhancing sustainability and citizens' quality of life.
Why we expect these perspectives ?
A2A S.p.A.'s Smart Infrastructures segment growth of 8.95% is driven by increasing adoption of IoT and AI technologies, rising demand for energy efficiency and grid modernization, and government initiatives promoting sustainable infrastructure development.
Segment n°5 -> Waste
Expected Growth : 4.65 %
What the company do ?
Waste from A2A S.p.A. refers to the waste management services provided by A2A, an Italian multi-utility company, which collects, treats, and disposes of waste in an environmentally responsible manner.
Why we expect these perspectives ?
A2A S.p.A.'s waste management segment growth of 4.65% is driven by increasing waste generation, stringent environmental regulations, and rising adoption of waste-to-energy conversion. Additionally, A2A's strategic acquisitions and investments in sustainable waste management practices have contributed to its growth.
Segment n°6 -> Corporate Segment
Expected Growth : 8.5 %
What the company do ?
The Corporate Segment from A2A S.p.A. provides energy and environmental services to industrial and commercial clients, offering customized solutions for energy efficiency and sustainability.
Why we expect these perspectives ?
A2A S.p.A.'s Corporate Segment growth of 8.5% is driven by increasing demand for renewable energy, effective cost management, and strategic investments in grid infrastructure. Additionally, the segment benefits from favorable regulatory frameworks, growing electricity distribution volumes, and a strong focus on sustainability and energy efficiency initiatives.
A2A S.P.A. Products
Product Range | What is it ? |
---|---|
Electricity | A2A S.p.A. generates and distributes electricity to households and businesses across Italy. |
Gas | A2A S.p.A. supplies natural gas to customers in Italy, providing a clean and efficient source of energy. |
Waste Management | A2A S.p.A. offers waste collection, treatment, and disposal services to municipalities and businesses. |
Water Management | A2A S.p.A. provides water supply, treatment, and distribution services to households and industries. |
Heat and Cooling | A2A S.p.A. offers district heating and cooling services to urban areas, providing efficient and sustainable thermal energy. |
Renewable Energy | A2A S.p.A. develops and operates renewable energy sources, such as wind, solar, and hydroelectric power. |
A2A S.p.A.'s Porter Forces
Threat Of Substitutes
A2A S.p.A. operates in a market with moderate threat of substitutes, as customers have some alternatives but they are not very attractive.
Bargaining Power Of Customers
A2A S.p.A. faces high bargaining power of customers, as they are large and have significant purchasing power.
Bargaining Power Of Suppliers
A2A S.p.A. has a low bargaining power of suppliers, as they are numerous and have limited negotiating power.
Threat Of New Entrants
A2A S.p.A. operates in a market with moderate threat of new entrants, as there are some barriers to entry but they are not insurmountable.
Intensity Of Rivalry
A2A S.p.A. operates in a highly competitive market, with many players competing for market share.
Capital Structure
Value | |
---|---|
Debt Weight | 59.97% |
Debt Cost | 3.95% |
Equity Weight | 40.03% |
Equity Cost | 8.87% |
WACC | 5.92% |
Leverage | 149.79% |
A2A S.p.A. : Quality Control
A2A S.p.A. passed 4 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
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EVN.VI | EVN AG provides energy and environmental services for private and business customers, as well as municipalities in Austria, Bulgaria, Croatia, Germany, and Albania. The company operates through Energy, Generation, Networks, … |
EDP.LS | EDP - Energias de Portugal, S.A. engages in the production, transmission, distribution, and commercialization of electricity in Portugal, Spain, France, Poland, Romania, Italy, Belgium, the United Kingdom, Greece, Brazil, North … |
HER.MI | Hera S.p.A., a multi-utility company, engages in the waste management, water services, and energy businesses in Italy. It engages in the sale and distribution of methane and natural gas, as … |