# Galp Energia SGPS (GALP.LS)

Canonical: https://gigainvestors.com/s/GALP.LS

Analysis as of: 2026-10-16T07:34:51.724Z. Financial observations: FY2000–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 22.65 per share; close as of 2026-10-15.

Estimated value: low EUR 10.79 per share, central EUR 11.94 per share, high EUR 13.46 per share. Buy at or below the central value EUR 11.94 per share. Valuation as of 2026-10-16T07:34:51.724Z; scenarios are not confidence intervals.

Expected annual return: 6.2% at the stated quote. About 6.2% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; PT 10-year bond 3.9% + 4 points).

## Checklist

### understandable: fail

- 5 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 5

- Years with a net loss: 1

- Operating margin variation: 0.52×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.04×

- FY2017: 0.08×

- FY2018: 0.10×

- FY2019: 0.07×

- FY2020: -0.02×

- FY2021: 0.10×

- FY2022: 0.09×

- FY2023: 0.13×

- FY2024: 0.12×

- FY2025: 0.11×

### moat: fail

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 18.7%

- ROIC, second-lowest year: 5.3%

- Typical minus recent gross margin: -1.2 pp

- Typical gross margin (annual median): 10.8%

- Recent gross margin (lower of latest and 3-year median): 12.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.5%

- ROIC including acquisitions, ten-year median: 7.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 5.3%

- FY2017: 11.8%

- FY2018: 17.7%

- FY2019: 11.6%

- FY2020: -3.6%

- FY2021: 19.6%

- FY2022: 23.6%

- FY2023: 23.0%

- FY2024: 23.3%

- FY2025: 22.1%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.69×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: EUR 3.4B

- Net income, five-year total: EUR 4.9B

- Return on incremental invested capital: 1567.8%

- Working capital / revenue, annual change: -1.0 pp

- Working capital / revenue, change between three-year averages: -6.4 pp

- Working capital / revenue, final three-year average: 7.4%

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

- FY2021: -12.45×

- FY2022: 1.03×

- FY2023: 0.68×

- FY2024: 0.51×

- FY2025: 0.49×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2025 (8 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 11.8% vs 23.0%

- Per-share earnings: 0.74 to 1.51 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: -2.2%

- Market cap gain: EUR -2.2B

- Cumulative retained earnings: EUR 2.1B

- Diluted shares, 5-year annual growth: -2.2%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 12.6%

- Per-share value change: EUR 0.77

- Per-share value, starting three-year median: EUR 0.74

- Per-share value, ending three-year median: EUR 1.51

- Buybacks concentrated in cheaper years (correlation): -0.40

- Average buyback yield: 2.4%

- Buyback history: 4 years

- Debt-funded buybacks: No

- Acquisition spending: EUR 472M

- Cumulative net income, 10 years: EUR 6.3B

- ROIC, first three-year median: 11.8%

- ROIC, last three-year median: 23.0%

Chart: Earnings per share; fiscal year observations.

- FY2017: EUR 0.74

- FY2018: EUR 0.84

- FY2019: EUR 0.47

- FY2020: EUR -0.66

- FY2021: EUR 0.00

- FY2022: EUR 1.86

- FY2023: EUR 1.56

- FY2024: EUR 1.37

- FY2025: EUR 1.51

### accounting: pass

- Sloan accruals: -1.8%

- Receivables to sales index (DSRI): 1.16×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.25×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.14×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -8.2%

- FY2017: -5.9%

- FY2018: -6.7%

- FY2019: -10.9%

- FY2020: -11.5%

- FY2021: -7.0%

- FY2022: -9.9%

- FY2023: -11.0%

- FY2024: -8.8%

- FY2025: -1.8%

## Holders

## Price story

Price needs cash profits to grow 10.4% a year for ten years · sales -8.5%

Story as of 2026-10-16T10:00:02.832Z; price observation 2026-10-15.

Price needs cash profits to grow 10.4% a year for ten years

- 2025-07-23: Surging Earnings Estimates Signal Upside for Galp Energia (GLPEY) Stock ([finance.yahoo.com](https://finance.yahoo.com/news/surging-earnings-estimates-signal-upside-162002873.html))

- 2025-10-27: Galp Expects to Exceed Full-Year Guidance After Earnings Rise ([finance.yahoo.com](https://finance.yahoo.com/m/0c513e27-c7a8-383e-a49b-bf1826e273e9/galp-expects-to-exceed.html))

### Sales · FY2024–2025

sales -8.5%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: EUR 13B 

- FY2017: EUR 15B 

- FY2018: EUR 17B 

- FY2019: EUR 17B 

- FY2020: EUR 11B 

- FY2021: EUR 16B 

- FY2022: EUR 27B 

- FY2023: EUR 21B 

- FY2024: EUR 21B 

- FY2025: EUR 20B 

### Gross margin · FY2025

gross margin 12%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 10.2% 

- FY2017: 9.6% 

- FY2018: 11.3% 

- FY2019: 8.1% 

- FY2020: 1.5% 

- FY2021: 11.4% 

- FY2022: 9.9% 

- FY2023: 14.3% 

- FY2024: 12.8% 

- FY2025: 12.0% 

## Owner memo

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

### How it makes money

Operates in oil & gas integrated; annual sales are EUR 19.5 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2025: revenue 19507000000; grossProfit 2342000000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 12% to 14.3% during 2023–25; it earns 18.7% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2023: grossProfit / revenue = 14.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2024: grossProfit / revenue = 12.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2025: grossProfit / revenue = 12%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); 10-year return on capital observations [[2016,0.053424600906192714],[2017,0.11821907013396375],[2018,0.176949826130154],[2019,0.11564184758851814],[2020,-0.035726031902647594],[2021,0.19622641509433963],[2022,0.2356225445754004],[2023,0.22959238763665812],[2024,0.23286035403203148],[2025,0.22115795513689793]]; median 0.18658812061224683. 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 250 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2017: growth capex 0; upkeep 732000000; owner earnings 608000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2018: growth capex 0; upkeep 1110000000; owner earnings 484000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2019: growth capex 0; upkeep 1111000000; owner earnings 12200000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2022: growth capex 0; upkeep 1078000000; owner earnings 1521600000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2023: growth capex 0; upkeep 1027000000; owner earnings 840000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2024: growth capex 203592394.51724553; upkeep 1173407605.4827545; owner earnings 529592394.51724553. Growth capex / owner earnings = 0.38443224756434036.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2025: growth capex 0; upkeep 1050000000; owner earnings 549600000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); Dividend observations: [[2016,387409000],[2017,491000000],[2018,512000000],[2019,623000000],[2020,318000000],[2021,498000000],[2022,420000000],[2023,422000000],[2024,419000000],[2025,480000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); FY2025: cash repurchases 250000000 EUR.

### Are managers owners

Insiders own 49.9% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); GALP.LS SharesStats.PercentInsiders = 49.862 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 10.4% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:51.724Z); Ten-year compound average after fade. Initial solved rate 0.13710599874064922. Price 22.65; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

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

- 2016-11: EUR 13.10 per share

- 2016-12: EUR 14.57 per share

- 2017-01: EUR 13.98 per share

- 2017-02: EUR 14.26 per share

- 2017-03: EUR 14.60 per share

- 2017-04: EUR 14.65 per share

- 2017-05: EUR 14.10 per share

- 2017-06: EUR 13.61 per share

- 2017-07: EUR 13.90 per share

- 2017-08: EUR 14.28 per share

- 2017-09: EUR 15.39 per share

- 2017-10: EUR 16.38 per share

- 2017-11: EUR 16.28 per share

- 2017-12: EUR 15.73 per share

- 2018-01: EUR 15.78 per share

- 2018-02: EUR 15.27 per share

- 2018-03: EUR 15.71 per share

- 2018-04: EUR 16.34 per share

- 2018-05: EUR 16.32 per share

- 2018-06: EUR 16.77 per share

- 2018-07: EUR 18.06 per share

- 2018-08: EUR 17.99 per share

- 2018-09: EUR 17.54 per share

- 2018-10: EUR 15.80 per share

- 2018-11: EUR 14.90 per share

- 2018-12: EUR 14.16 per share

- 2019-01: EUR 14.01 per share

- 2019-02: EUR 14.81 per share

- 2019-03: EUR 14.66 per share

- 2019-04: EUR 15.37 per share

- 2019-05: EUR 13.84 per share

- 2019-06: EUR 13.88 per share

- 2019-07: EUR 14.46 per share

- 2019-08: EUR 13.41 per share

- 2019-09: EUR 14.19 per share

- 2019-10: EUR 14.66 per share

- 2019-11: EUR 15.17 per share

- 2019-12: EUR 15.30 per share

- 2020-01: EUR 14.00 per share

- 2020-02: EUR 12.70 per share

- 2020-03: EUR 10.67 per share

- 2020-04: EUR 10.79 per share

- 2020-05: EUR 11.00 per share

- 2020-06: EUR 10.57 per share

- 2020-07: EUR 9.14 per share

- 2020-08: EUR 9.21 per share

- 2020-09: EUR 8.12 per share

- 2020-10: EUR 7.14 per share

- 2020-11: EUR 9.28 per share

- 2020-12: EUR 8.99 per share

- 2021-01: EUR 8.50 per share

- 2021-02: EUR 9.53 per share

- 2021-03: EUR 10.18 per share

- 2021-04: EUR 9.87 per share

- 2021-05: EUR 10.45 per share

- 2021-06: EUR 9.40 per share

- 2021-07: EUR 8.44 per share

- 2021-08: EUR 8.90 per share

- 2021-09: EUR 10.06 per share

- 2021-10: EUR 9.23 per share

- 2021-11: EUR 8.49 per share

- 2021-12: EUR 8.75 per share

- 2022-01: EUR 10.04 per share

- 2022-02: EUR 10.12 per share

- 2022-03: EUR 11.82 per share

- 2022-04: EUR 11.94 per share

- 2022-05: EUR 12.59 per share

- 2022-06: EUR 11.48 per share

- 2022-07: EUR 10.55 per share

- 2022-08: EUR 11.08 per share

- 2022-09: EUR 10.09 per share

- 2022-10: EUR 10.55 per share

- 2022-11: EUR 12.10 per share

- 2022-12: EUR 12.95 per share

- 2023-01: EUR 12.91 per share

- 2023-02: EUR 11.87 per share

- 2023-03: EUR 10.74 per share

- 2023-04: EUR 11.28 per share

- 2023-05: EUR 10.16 per share

- 2023-06: EUR 11.01 per share

- 2023-07: EUR 12.42 per share

- 2023-08: EUR 13.04 per share

- 2023-09: EUR 14.41 per share

- 2023-10: EUR 14.59 per share

- 2023-11: EUR 14.02 per share

- 2023-12: EUR 13.69 per share

- 2024-01: EUR 15.00 per share

- 2024-02: EUR 14.96 per share

- 2024-03: EUR 15.72 per share

- 2024-04: EUR 20.74 per share

- 2024-05: EUR 19.83 per share

- 2024-06: EUR 20.24 per share

- 2024-07: EUR 19.97 per share

- 2024-08: EUR 19.26 per share

- 2024-09: EUR 17.25 per share

- 2024-10: EUR 16.09 per share

- 2024-11: EUR 15.53 per share

- 2024-12: EUR 15.95 per share

- 2025-01: EUR 16.21 per share

- 2025-02: EUR 15.90 per share

- 2025-03: EUR 16.23 per share

- 2025-04: EUR 13.64 per share

- 2025-05: EUR 14.05 per share

- 2025-06: EUR 15.57 per share

- 2025-07: EUR 16.72 per share

- 2025-08: EUR 16.60 per share

- 2025-09: EUR 16.10 per share

- 2025-10: EUR 17.40 per share

- 2025-11: EUR 17.36 per share

- 2025-12: EUR 14.63 per share

- 2026-01: EUR 16.73 per share

- 2026-02: EUR 18.22 per share

- 2026-03: EUR 21.01 per share

- 2026-04: EUR 19.96 per share

- 2026-05: EUR 18.64 per share

- 2026-06: EUR 18.65 per share

- 2026-07: EUR 19.69 per share

- 2026-08: EUR 21.40 per share

- 2026-09: EUR 22.45 per share

- 2026-10: EUR 22.58 per share

## Annual estimated value (EUR per share)

- FY2019: low EUR 1.68 per share, central EUR 1.70 per share, high EUR 1.73 per share

- FY2020: low EUR 2.04 per share, central EUR 2.05 per share, high EUR 2.07 per share

- FY2021: low EUR 3.31 per share, central EUR 3.33 per share, high EUR 3.36 per share

- FY2022: low EUR 2.53 per share, central EUR 2.56 per share, high EUR 2.61 per share

- FY2023: low EUR 2.24 per share, central EUR 2.27 per share, high EUR 2.31 per share

- FY2024: low EUR 9.80 per share, central EUR 10.85 per share, high EUR 12.25 per share

- FY2025: low EUR 10.97 per share, central EUR 12.09 per share, high EUR 13.58 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 2026-10-15T06:40:38.160Z 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.