-0.13%
2.67%
0.59%
-0.09%
-0.53%
-10.32%
-8.48%
AI Spotlight on SRG
Company Description
Snam S.p.A., together with its subsidiaries, engages in the operation of natural gas transport and storage infrastructure in Italy.The company operates through Natural Gas Transportation, Liquefied Natural Gas (LNG) Regasification, and Natural Gas Storage segments.It provides natural gas transportation and dispatching services with approximately 32,700 kilometers of high-and medium-pressure gas pipelines; and owns and manages LNG regasification plants.
The company also offers natural gas storage services through an integrated group of infrastructure comprising deposits, wells, gas treatment and compression plants, and the operational dispatching systems; and operates nine storage concessions, including five in Lombardy, three in Emilia-Romagna, and one in Abruzzo.In addition, it engages in the lease and maintenance of fibre optic telecommunications cables, as well as provides integrated services in the natural gas mobility sector; energy efficiency solutions for residential, industrial, tertiary, and public administration sectors; and management of biogas and biomethane plants.Further, the company offers engineering and project management services; and supervision of infrastructure planning activities.
It also operates in Albania, Saudi Arabia, Austria, China, Egypt, the United Arab Emirates, France, Greece, the United Kingdom, and the United States.The company was formerly known as Snam Rete Gas S.p.A. and changed its name to Snam S.p.A. in January 2012.Snam S.p.A. was founded in 1941 and is headquartered in San Donato Milanese, Italy.
Market Data
| Last Price | 4.47 |
| Change Percentage | -0.13% |
| Open | 4.48 |
| Previous Close | 4.47 |
| Market Cap ( Millions) | 14977 |
| Volume | 7171711 |
| Year High | 4.64 |
| Year Low | 4.11 |
| M A 50 | 4.35 |
| M A 200 | 4.39 |
Financial Ratios
| FCF Yield | -5.40% |
| Dividend Yield | 6.39% |
| ROE | 9.40% |
| Debt / Equity | 236.42% |
| Net Debt / EBIDTA | 603.92% |
| Price To Book | 1.94 |
| Price Earnings Ratio | 20.75 |
| Price To FCF | -18.51 |
| Price To sales | 4.72 |
| EV / EBITDA | 11.58 |
News
- Nov -08 - Snam SpA (SNMRF) Q3 2024 Earnings Call Highlights: Strong EBITDA Growth and Strategic Investments
- Oct -18 - Snam to invest €14.5bn in gas grid for green fuels transition
- Apr -03 - CORRECTED-UPDATE 1-VTTI to control Italy's biggest LNG terminal, Snam to get 30%
- Jan -22 - Snam SpA's Dividend Analysis
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Transportation
Expected Growth : 3.5 %
What the company do ?
Snam S.p.A.'s Transportation segment is responsible for the transportation of natural gas through its pipeline network in Italy.
Why we expect these perspectives ?
Snam S.p.A.'s 3.5% growth in Transportation is driven by increasing demand for natural gas, expansion of pipeline infrastructure, and strategic investments in digitalization and sustainability. Additionally, the company's focus on reducing emissions and increasing energy efficiency contributes to its growth in the transportation segment.
Segment n°2 -> Energy Transition
Expected Growth : 5.0 %
What the company do ?
Snam's Energy Transition is a path towards a low-carbon future, focusing on renewable energy, energy efficiency, and sustainable infrastructure.
Why we expect these perspectives ?
Snam's 5.0% energy transition growth driven by increasing demand for renewable gas, expansion of biomethane infrastructure, and strategic partnerships for hydrogen development. Additionally, the Italian government's commitment to the European Green Deal and rising carbon prices support the growth of low-carbon energy sources, further boosting Snam's transition efforts.
Segment n°3 -> Storage
Expected Growth : 3.0 %
What the company do ?
Snam S.p.A.'s Storage segment manages and optimizes the transportation and storage of natural gas in Italy, ensuring a secure and efficient supply.
Why we expect these perspectives ?
Snam S.p.A.'s 3.0% storage growth driven by increasing demand for natural gas, expansion of renewable energy sources, and government incentives for energy storage infrastructure development. Additionally, growing focus on energy security and decarbonization efforts contribute to the growth.
Segment n°4 -> Regasification
Expected Growth : 2.5 %
What the company do ?
Regasification from Snam S.p.A. is a process of converting liquefied natural gas (LNG) back into its gaseous state for distribution and use.
Why we expect these perspectives ?
Snam S.p.A.'s regasification growth driven by increasing LNG demand, Italy's energy transition, and strategic infrastructure investments. Rising gas consumption in power generation and industrial sectors, coupled with declining domestic production, fuels growth. Additionally, Snam's expansion into new markets and optimization of existing terminals support the 2.5% growth rate.
Segment n°5 -> Other Segments
Expected Growth : 3.2 %
What the company do ?
Other Segments from Snam S.p.A. include activities such as natural gas storage, liquefied natural gas, and renewable energy, which contribute to the company's diversified business portfolio.
Why we expect these perspectives ?
Snam S.p.A.'s 3.2% growth in Other Segments is driven by increasing demand for sustainable energy solutions, expansion of biomethane production, and growth in renewable energy certificates. Additionally, investments in energy efficiency and grid modernization contribute to the segment's growth.
Snam S.P.A. Products
| Product Range | What is it ? |
|---|---|
| Natural Gas Transportation | Snam S.p.A. provides natural gas transportation services through its pipeline network, allowing for the transportation of natural gas from production sites to consumption areas. |
| Natural Gas Storage | Snam S.p.A. offers natural gas storage services, providing a buffer against fluctuations in demand and supply, ensuring a stable gas supply to the market. |
| LNG Regasification | Snam S.p.A. provides liquefied natural gas (LNG) regasification services, converting LNG back into natural gas for injection into the transportation network. |
| Biogas Injection | Snam S.p.A. offers biogas injection services, allowing biomethane producers to inject their gas into the transportation network. |
| Compressor Stations Management | Snam S.p.A. manages compressor stations, ensuring the efficient transportation of natural gas through its pipeline network. |
Snam S.p.A.'s Porter Forces
Threat Of Substitutes
The threat of substitutes for Snam S.p.A. is medium due to the availability of alternative energy sources such as renewable energy and energy storage solutions.
Bargaining Power Of Customers
The bargaining power of customers for Snam S.p.A. is low due to the company's dominant position in the Italian gas market and the lack of alternative suppliers.
Bargaining Power Of Suppliers
The bargaining power of suppliers for Snam S.p.A. is medium due to the company's dependence on a few large suppliers of natural gas and the potential for price fluctuations.
Threat Of New Entrants
The threat of new entrants for Snam S.p.A. is low due to the high barriers to entry in the gas transmission and distribution market, including the need for significant investment in infrastructure and the requirement for regulatory approvals.
Intensity Of Rivalry
The intensity of rivalry for Snam S.p.A. is high due to the competitive nature of the energy market and the presence of several large players in the Italian gas market.
Strength
Capital Structure
| Value | |
|---|---|
| Debt Weight | 68.52% |
| Debt Cost | 3.95% |
| Equity Weight | 31.48% |
| Equity Cost | 6.72% |
| WACC | 4.82% |
| Leverage | 217.64% |
Snam S.p.A. : Quality Control
Snam S.p.A. passed 3 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| ALA.TO | AltaGas Ltd. operates as an energy infrastructure company in North America. The company operates through Utilities and Midstream segments. The Utilities segment owns and operates rate-regulated natural gas distribution and … |
| ENG.MC | Enagás, S.A. engages in the development, operation, and maintenance of gas infrastructures in Spain, Mexico, Chile, Peru, Albania, Greece, Italy, and the United States. It operates through Gas transmission, Regasification, … |
| 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, … |
| IG.MI | Italgas S.p.A., together with its subsidiaries, engages in the distribution of natural gas in Italy. It is involved in the transportation of gas through local pipeline networks from the delivery … |
| CNA.L | Centrica plc operates as an integrated energy company in the United Kingdom, Ireland, Norway, North America, and internationally. The company operates through British Gas Services & Solutions, British Gas Energy, … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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AltaGas
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Italgas
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Centrica
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4
EVN
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5
Snam
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1-Year Total Return ->
6
