Ratings Light SA

Equities

LIGT3

BRLIGTACNOR2

Market Closed - Sao Paulo Other stock markets 21:06:00 30/04/2024 BST			5-day change	1st Jan Change
4.97 ^BRL	-1.58%		-2.36%	-37.88%

03-26	Transcript : Light S.A., Q4 2023 Earnings Call, Mar 26, 2024
03-25	Light S.A. Reports Earnings Results for the Full Year Ended December 31, 2023	CI

Summary

On the basis of various fundamental qualitative criteria, the company appears to be particularly poorly ranked from a medium and long-term investment perspective.
From a short-term investment perspective, the company presents a deteriorated fundamental configuration.

Strengths

Its low valuation, with P/E ratio at 10.36 and 5.83 for the ongoing fiscal year and 2025 respectively, makes the stock pretty attractive with regard to earnings multiples.
With regards to fundamentals, the enterprise value to sales ratio is at 0.92 for the current period. Therefore, the company is undervalued.
The company's share price in relation to its net book value makes it look relatively cheap.
The group usually releases upbeat results with huge surprise rates.

Weaknesses

As estimated by analysts, this group is among those businesses with the lowest growth prospects.
The potential for earnings per share (EPS) growth in the coming years appears limited according to current analyst estimates.
As a percentage of sales and without taking into account depreciation and amortization, the company has relatively low margins.
Low profitability weakens the company.
The company is in a hindered financial situation with significant debt and rather low EBITDA levels.
For the last twelve months, sales expectations have been significantly downgraded, which means that less important sales volumes are expected for the current fiscal year over the previous period.
For the past year, analysts have significantly revised downwards their profit estimates.
For the last twelve months, the analysts covering the company have given a bearish overview of EPS estimates, resulting in frequent downward revisions.
Most analysts agree on a negative opinion with regard to the stock. Indeed, the average consensus issues recommendations to underperform or sell.
The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.
The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.
The overall consensus opinion of analysts has deteriorated sharply over the past four months.
Over the past twelve months, analysts' opinions have been revised negatively.

Ratings chart - Surperformance

Chart ESG Refinitiv

Sector: Electric Utilities

	1st Jan change	Capi.	Investor Rating	ESG Refinitiv
LIGHT SA	-37.88%	358M		B
NEXTERA ENERGY	+10.26%	138B		C+
SOUTHERN COMPANY	+4.82%	80.38B		B-
IBERDROLA, S.A.	-3.03%	77.44B		B
DUKE ENERGY CORPORATION	+1.26%	75.8B		B+
ENEL S.P.A.	-8.16%	67.13B		B-
CONSTELLATION ENERGY CORPORATION	+59.07%	58.59B		C
AMERICAN ELECTRIC POWER COMPANY, INC.	+5.92%	45.3B		A-
GE VERNOVA INC.	-.--%	41.82B	-	-
DOMINION ENERGY, INC.	+8.47%	42.7B		A-

Investor Rating

Trading Rating

ESG Refinitiv

Financials

Sales growth

Earnings Growth

EBITDA / Sales

Profitability

Finances

Valuation

P/E ratio

EV / Sales

Price to Book

Price to Free Cash Flow

Yield

Momentum

1 year Revenue revision

4 months Revenue revision

7 days Revenue revision

1 year EPS revision

4 months EPS revision

Consensus

Analyst Opinion

Potential Price Target

4m Target Price Revision

4m Revision of opinion

12m Revision of opinion

Business Predictability

Analyst Coverage

Divergence of Estimates

Divergence of analysts' opinions

Divergence of Target Price

Earnings quality

Environment

Emissions

Innovation

Use of resources

Governance

CSR Strategy

Management

Shareholders

Controversy

Technical analysis

ST Timing

MT Timing

LT Timing

RSI

Bollinger Spread

Unusual volumes