# Endesa (ELE.MC)

Canonical: https://gigainvestors.com/s/ELE.MC

Analysis as of: 2026-10-16T07:33:56.471Z. Financial observations: FY2001–FY2025.

Listing currency: EUR. Reporting currency: EUR.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: EUR 42.33 per share; close as of 2026-10-15.

Estimated value: low EUR 17.24 per share, central EUR 19.52 per share, high EUR 22.56 per share. Buy at or below the central value EUR 19.52 per share. Valuation as of 2026-10-16T07:33:56.471Z; scenarios are not confidence intervals.

Expected annual return: 6.1% at the stated quote. About 6.1% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; ES 10-year bond 4.0% + 4 points).

## Checklist

### understandable: fail

- 6 revenue declines in the last 10 years

- more than 5 revenue declines in ten years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 6

- Years with a net loss: 0

- Operating margin variation: 0.42×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.11×

- FY2017: 0.10×

- FY2018: 0.10×

- FY2019: 0.02×

- FY2020: 0.11×

- FY2021: 0.10×

- FY2022: 0.18×

- FY2023: 0.20×

- FY2024: 0.20×

- FY2025: 0.17×

### moat: fail

- ROIC median below threshold

- ROIC, median of available years: 12.1%

- ROIC, second-lowest year: 10.8%

- Typical minus recent gross margin: -7.2 pp

- Typical gross margin (annual median): 26.2%

- Recent gross margin (lower of latest and 3-year median): 33.4%

- Years with nonpositive capital: 0

- Capital spending / revenue: 8.8%

- ROIC including acquisitions, ten-year median: 11.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 11.8%

- FY2017: 12.2%

- FY2018: 11.3%

- FY2019: 3.2%

- FY2020: 11.9%

- FY2021: 10.8%

- FY2022: 26.4%

- FY2023: 21.5%

- FY2024: 17.7%

- FY2025: 14.6%

### economics: pass

- Owner earnings / net income, 5-yr: 0.90×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: EUR 8.0B

- Net income, five-year total: EUR 8.8B

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: 1.3 pp

- Working capital / revenue, change between three-year averages: 8.6 pp

- Working capital / revenue, final three-year average: 9.7%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.04×

- FY2022: 0.93×

- FY2023: 0.07×

- FY2024: 0.95×

- FY2025: 1.03×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 11.8% vs 17.7%

- Per-share earnings: 1.33 to 1.78 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.0%

- Ordinary dilution, 5-year annual growth: -0.0%

- Market cap gain: EUR 11B

- Cumulative retained earnings: EUR -567M

- Diluted shares, 10-year annual growth: -0.0%

- Diluted shares, 5-year annual growth: -0.0%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 3.7%

- Per-share value change: EUR 0.45

- Per-share value, starting three-year median: EUR 1.33

- Per-share value, ending three-year median: EUR 1.78

- Buybacks concentrated in cheaper years (correlation): -0.50

- Average buyback yield: 0.4%

- Buyback history: 5 years

- Debt-funded buybacks: No

- Acquisition spending: EUR 1.7B

- Cumulative net income, 10 years: EUR 15B

- ROIC, first three-year median: 11.8%

- ROIC, last three-year median: 17.7%

Chart: Earnings per share; fiscal year observations.

- FY2016: EUR 1.33

- FY2017: EUR 1.38

- FY2018: EUR 1.34

- FY2019: EUR 0.16

- FY2020: EUR 1.32

- FY2021: EUR 1.36

- FY2022: EUR 2.40

- FY2023: EUR 0.70

- FY2024: EUR 1.78

- FY2025: EUR 2.08

### accounting: pass

- Sloan accruals: -4.9%

- Receivables to sales index (DSRI): 0.98×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.84×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.24×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -5.1%

- FY2017: -3.1%

- FY2018: -3.2%

- FY2019: -9.4%

- FY2020: -4.9%

- FY2021: -3.0%

- FY2022: 1.7%

- FY2023: -9.6%

- FY2024: -4.5%

- FY2025: -4.9%

## Holders

## Price story

Price needs cash profits to grow 10.9% a year for ten years · sales +0.4%

Story as of 2026-10-16T09:59:58.383Z; price observation 2026-10-15.

Price needs cash profits to grow 10.9% a year for ten years

- 2025-07-29: Endesa shares slip after power utility’s second-quarter earnings miss estimates ([finance.yahoo.com](https://finance.yahoo.com/news/endesa-shares-slip-power-utility-084356770.html))

### Sales · FY2024–2025

sales +0.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: EUR 18B 

- FY2017: EUR 20B 

- FY2018: EUR 20B 

- FY2019: EUR 19B 

- FY2020: EUR 17B 

- FY2021: EUR 21B 

- FY2022: EUR 33B 

- FY2023: EUR 25B 

- FY2024: EUR 21B 

- FY2025: EUR 21B 

### Gross margin · FY2025

gross margin 33.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 25.3% 

- FY2017: 23.7% 

- FY2018: 24.0% 

- FY2019: 24.6% 

- FY2020: 32.1% 

- FY2021: 23.8% 

- FY2022: 27.2% 

- FY2023: 33.6% 

- FY2024: 35.8% 

- FY2025: 33.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in utilities regulated electric; annual sales are EUR 21 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2025: revenue 21020000000; grossProfit 7015000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ELE.MC: Endesa, S.A. engages in the generation, distribution, and sale of electricity in Spain, Portugal, France, Germany, the United Kingdom, Switzerland, Luxembourg, the Netherlands, Singapore, Italy, Morocco, and internationally. It generates electricity from various energy sources, such as hydroelectric, nuclear, thermal, wind, and solar. The company also offers advisory services and technology relating to energy, distributed generation, and energy demand management; deploys infrastructures for charging electric vehicles, vehicle-to-grid, and second-life services for batteries; develops integrated services for local administrations, such as public lighting, smart city development, energy services, and solutions for connectivity; and provides financial solutions for energy producers, as well as offers engineering and construction services for facilities related to the electricity business. As of December 31, 2025, it had an installed capacity of 22, 616 MW; operated 321,843 km of distribution networks and transmission grids; and distributed electricity to 9,590 thousand customers and gas to 1,699 thousand customers. The company was formerly known as Empresa Nacional de Electricidad, S.A. and changed its name to Endesa, S.A. in June 1997. The company was incorporated in 1944 and is headquartered in Madrid, Spain. Endesa, S.A. is a subsidiary of Enel Iberia Srl.

### Why customers stay

Margins ranged from 33.4% to 35.8% during 2023–25; it earns 12.1% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2023: grossProfit / revenue = 33.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2024: grossProfit / revenue = 35.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2025: grossProfit / revenue = 33.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); 10-year return on capital observations [[2016,0.11826249296711165],[2017,0.12249568023060609],[2018,0.11278452137136386],[2019,0.03247269531740386],[2020,0.11932820999482532],[2021,0.10798518978150094],[2022,0.2642270833105596],[2023,0.21495587120221177],[2024,0.1769711641363633],[2025,0.14569788440678408]]; median 0.1209119451127157. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back EUR 548 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2016: growth capex 0; upkeep 1258000000; owner earnings 1620000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2017: growth capex 0; upkeep 1078000000; owner earnings 1896000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2018: growth capex 0; upkeep 1425000000; owner earnings 1700000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2019: growth capex 0; upkeep 1821000000; owner earnings 1661000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2020: growth capex 0; upkeep 1704000000; owner earnings 1426400000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2021: growth capex 0; upkeep 2082000000; owner earnings 1496000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2022: growth capex 479000000; upkeep 1653000000; owner earnings 2372200000. Growth capex / owner earnings = 0.20192226625073773.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2023: growth capex 0; upkeep 2284000000; owner earnings 52400000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2024: growth capex 0; upkeep 1846000000; owner earnings 1788463602.7469625. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2025: growth capex 0; upkeep 1844000000; owner earnings 2253884691.136974. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); Dividend observations: [[2016,1086000000],[2017,1411000000],[2018,1463000000],[2019,1511000000],[2020,1562000000],[2021,2132000000],[2022,1521000000],[2023,1678000000],[2024,1072000000],[2025,1389000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); FY2025: cash repurchases 548000000 EUR.

### Are managers owners

Insiders own 70.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ELE.MC SharesStats.PercentInsiders = 70.119 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 10.9% yearly over ten years; actual growth was 3.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:56.471Z); Ten-year compound average after fade. Initial solved rate 0.14375688613899557. Price 42.33; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 1.553715926513865 → FY2025 2.128925292186779. Closing-price date 2026-10-15.

## Monthly share-price history (EUR per share)

- 2016-10: EUR 19.37 per share

- 2016-11: EUR 19.51 per share

- 2016-12: EUR 20.13 per share

- 2017-01: EUR 19.05 per share

- 2017-02: EUR 20.10 per share

- 2017-03: EUR 22.03 per share

- 2017-04: EUR 21.64 per share

- 2017-05: EUR 22.22 per share

- 2017-06: EUR 20.17 per share

- 2017-07: EUR 20.01 per share

- 2017-08: EUR 20.27 per share

- 2017-09: EUR 19.08 per share

- 2017-10: EUR 19.65 per share

- 2017-11: EUR 18.74 per share

- 2017-12: EUR 17.86 per share

- 2018-01: EUR 18.10 per share

- 2018-02: EUR 17.30 per share

- 2018-03: EUR 17.89 per share

- 2018-04: EUR 19.37 per share

- 2018-05: EUR 18.85 per share

- 2018-06: EUR 18.90 per share

- 2018-07: EUR 19.78 per share

- 2018-08: EUR 19.29 per share

- 2018-09: EUR 18.61 per share

- 2018-10: EUR 18.48 per share

- 2018-11: EUR 19.68 per share

- 2018-12: EUR 20.13 per share

- 2019-01: EUR 21.82 per share

- 2019-02: EUR 22.15 per share

- 2019-03: EUR 22.74 per share

- 2019-04: EUR 22.21 per share

- 2019-05: EUR 22.31 per share

- 2019-06: EUR 22.61 per share

- 2019-07: EUR 22.35 per share

- 2019-08: EUR 23.37 per share

- 2019-09: EUR 24.14 per share

- 2019-10: EUR 24.40 per share

- 2019-11: EUR 24.68 per share

- 2019-12: EUR 23.79 per share

- 2020-01: EUR 24.77 per share

- 2020-02: EUR 23.23 per share

- 2020-03: EUR 19.47 per share

- 2020-04: EUR 20.25 per share

- 2020-05: EUR 21.35 per share

- 2020-06: EUR 21.93 per share

- 2020-07: EUR 24.04 per share

- 2020-08: EUR 23.23 per share

- 2020-09: EUR 22.83 per share

- 2020-10: EUR 23.01 per share

- 2020-11: EUR 23.97 per share

- 2020-12: EUR 22.35 per share

- 2021-01: EUR 21.10 per share

- 2021-02: EUR 20.55 per share

- 2021-03: EUR 22.56 per share

- 2021-04: EUR 21.86 per share

- 2021-05: EUR 22.30 per share

- 2021-06: EUR 20.46 per share

- 2021-07: EUR 20.51 per share

- 2021-08: EUR 20.36 per share

- 2021-09: EUR 17.42 per share

- 2021-10: EUR 19.95 per share

- 2021-11: EUR 19.84 per share

- 2021-12: EUR 20.20 per share

- 2022-01: EUR 19.85 per share

- 2022-02: EUR 19.67 per share

- 2022-03: EUR 19.78 per share

- 2022-04: EUR 20.03 per share

- 2022-05: EUR 20.63 per share

- 2022-06: EUR 18.00 per share

- 2022-07: EUR 17.91 per share

- 2022-08: EUR 17.10 per share

- 2022-09: EUR 15.42 per share

- 2022-10: EUR 16.89 per share

- 2022-11: EUR 17.70 per share

- 2022-12: EUR 17.64 per share

- 2023-01: EUR 18.27 per share

- 2023-02: EUR 18.57 per share

- 2023-03: EUR 20.00 per share

- 2023-04: EUR 20.37 per share

- 2023-05: EUR 20.23 per share

- 2023-06: EUR 19.65 per share

- 2023-07: EUR 19.49 per share

- 2023-08: EUR 19.18 per share

- 2023-09: EUR 19.28 per share

- 2023-10: EUR 17.77 per share

- 2023-11: EUR 19.19 per share

- 2023-12: EUR 18.46 per share

- 2024-01: EUR 18.36 per share

- 2024-02: EUR 16.64 per share

- 2024-03: EUR 17.17 per share

- 2024-04: EUR 17.10 per share

- 2024-05: EUR 18.30 per share

- 2024-06: EUR 17.54 per share

- 2024-07: EUR 17.90 per share

- 2024-08: EUR 19.10 per share

- 2024-09: EUR 19.63 per share

- 2024-10: EUR 19.81 per share

- 2024-11: EUR 20.74 per share

- 2024-12: EUR 20.77 per share

- 2025-01: EUR 21.37 per share

- 2025-02: EUR 21.43 per share

- 2025-03: EUR 24.50 per share

- 2025-04: EUR 26.50 per share

- 2025-05: EUR 26.88 per share

- 2025-06: EUR 26.89 per share

- 2025-07: EUR 25.35 per share

- 2025-08: EUR 26.04 per share

- 2025-09: EUR 27.21 per share

- 2025-10: EUR 31.09 per share

- 2025-11: EUR 31.26 per share

- 2025-12: EUR 30.63 per share

- 2026-01: EUR 31.09 per share

- 2026-02: EUR 34.57 per share

- 2026-03: EUR 36.08 per share

- 2026-04: EUR 38.19 per share

- 2026-05: EUR 35.86 per share

- 2026-06: EUR 39.88 per share

- 2026-07: EUR 42.36 per share

- 2026-08: EUR 42.10 per share

- 2026-09: EUR 41.47 per share

- 2026-10: EUR 43.00 per share

## Annual estimated value (EUR per share)

- FY2016: low EUR 17.12 per share, central EUR 19.42 per share, high EUR 22.49 per share

- FY2017: low EUR 19.03 per share, central EUR 21.55 per share, high EUR 24.91 per share

- FY2018: low EUR 18.66 per share, central EUR 21.12 per share, high EUR 24.40 per share

- FY2019: low EUR 18.28 per share, central EUR 20.66 per share, high EUR 23.83 per share

- FY2020: low EUR 16.17 per share, central EUR 18.24 per share, high EUR 21.00 per share

- FY2021: low EUR 19.38 per share, central EUR 21.90 per share, high EUR 25.25 per share

- FY2022: low EUR 34.81 per share, central EUR 38.76 per share, high EUR 44.03 per share

- FY2023: low EUR 21.53 per share, central EUR 24.13 per share, high EUR 27.60 per share

- FY2024: low EUR 16.59 per share, central EUR 18.76 per share, high EUR 21.64 per share

- FY2025: low EUR 15.82 per share, central EUR 18.00 per share, high EUR 20.91 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:39:42.360Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.