Renova Energia Valuation
| RNEW3 Stock | BRL 0.91 0.02 2.15% |
Today, the company appears to be overvalued. Renova Energia SA holds a recent Real Value of R$0.82 per share. The prevailing price of the company is R$0.91. Our model determines the value of Renova Energia SA from analyzing the company fundamentals such as Shares Owned By Insiders of 26.01 %, current valuation of 1.4 B, and Return On Asset of -0.0232 as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Renova Energia's price fluctuation is dangerous at this time. Calculation of the real value of Renova Energia SA is based on 3 months time horizon. Increasing Renova Energia's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Renova stock is determined by what a typical buyer is willing to pay for full or partial control of Renova Energia SA. Since Renova Energia is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Renova Stock. However, Renova Energia's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 0.91 | Real 0.82 | Hype 0.91 |
The intrinsic value of Renova Energia's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Renova Energia's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Renova Energia SA helps investors to forecast how Renova stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Renova Energia more accurately as focusing exclusively on Renova Energia's fundamentals will not take into account other important factors: Renova Energia Total Value Analysis
Renova Energia SA is at this time projected to have takeover price of 1.4 B with market capitalization of 520.4 M, debt of 958.2 M, and cash on hands of 354.11 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Renova Energia fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.4 B | 520.4 M | 958.2 M | 354.11 M |
Renova Energia Investor Information
About 26.0% of the company outstanding shares are owned by corporate insiders. The book value of Renova Energia was at this time reported as 1.97. The company last dividend was issued on the 2nd of May 2016. Renova Energia SA had 1:10 split on the 22nd of November 2018. Based on the key measurements obtained from Renova Energia's financial statements, Renova Energia SA is not in a good financial situation at the moment. It has a very high risk of going through financial straits in February.Renova Energia Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Renova Energia has an asset utilization ratio of 4.11 percent. This implies that the Company is making R$0.0411 for each dollar of assets. An increasing asset utilization means that Renova Energia SA is more efficient with each dollar of assets it utilizes for everyday operations.Renova Energia Ownership Allocation
Renova Energia owns a total of 124.74 Million outstanding shares. Renova Energia has significant amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Renova Energia Profitability Analysis
The company reported the revenue of 93.81 M. Net Income was 30.69 M with profit before overhead, payroll, taxes, and interest of 13.06 M.About Renova Energia Valuation
The stock valuation mechanism determines Renova Energia's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Renova Energia SA based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Renova Energia. We calculate exposure to Renova Energia's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Renova Energia's related companies.Renova Energia S.A. develops, implements, and operates projects for the generation of energy from renewable sources in Brazil. The company was founded in 2001 and is based in So Paulo, Brazil. RENOVA ON is traded on Sao Paolo Stock Exchange in Brazil.
8 Steps to conduct Renova Energia's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Renova Energia's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Renova Energia's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Renova Energia's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Renova Energia's revenue streams: Identify Renova Energia's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Renova Energia's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Renova Energia's growth potential: Evaluate Renova Energia's management, business model, and growth potential.
- Determine Renova Energia's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Renova Energia's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Renova Stock Analysis
When running Renova Energia's price analysis, check to measure Renova Energia's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Renova Energia is operating at the current time. Most of Renova Energia's value examination focuses on studying past and present price action to predict the probability of Renova Energia's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Renova Energia's price. Additionally, you may evaluate how the addition of Renova Energia to your portfolios can decrease your overall portfolio volatility.