Ellomay Capital (ELLO)

Business description

Ellomay Capital owns an international portfolio of power generation assets comprising solar plants in Italy and Spain and a gas-fired power plant in Israel. It operates principally in regulated markets.

Stock data

Market cap.US$94.7m
Last closeUS$8.87
High / Low (52 weeks)US$9.6 / US$7.0
Stock market listingTel Aviv Stock Exchange
Forecast net debt (US$m)28.6
Forecast gearing ratio (%)32
TeamIndustrials
SectorAlternative Energy

Price performance

%1m3m12m
Actual9.613.716.7
Relative *8.411.51.0

* % Relative to local index

Other companies in sector Show

Company news

Ellomay Capital Announces Entry into an SPA to Acquire a Spanish Company ...

Sun, 30 Apr 2017 10:03:23 GMT

Ellomay Capital Announces Closing of Acquisition of 51% in an Anaerobic ...

Wed, 21 Dec 2016 10:33:38 GMT

Ellomay Capital Announces Entry Into The Netherlands Renewable Energy Market

Tue, 09 Aug 2016 09:00:00 GMT

Ellomay Capital Reports Results for the Fourth Quarter and Full Year of 2016

Fri, 31 Mar 2017 10:03:58 GMT

Form 6-K Ellomay Capital Ltd. For: Mar 14

Tue, 14 Mar 2017 12:22:30 GMT

Y/E Dec Revenue (US$m) EBITDA (US$m) PBT (US$m) EPS (c) P/E (x) P/CF (x)
2015A 13.8 7.2 1.9 35.39 25.1 9.5
2016A 12.9 5.9 (1.3) (17.57) N/A 8.9
2017E 13.5 8.4 3.7 26.31 33.7 10.3
2018E 15.1 9.7 5.8 40.68 21.8 10.6

Last updated on 09/05/2017

Investment summary

As flagged at the 9M16 results, due to factors well beyond management control – namely lower solar radiance, currency movements and spot power prices – FY16 was a less favourable year for Ellomay. The over 20% drop in reported EBITDA meant the company was loss making for the year. We view these headwinds as one-off factors and, due to Ellomay’s track record on cost control, actually increase our earnings forecasts for FY18 (FY18 reported EBITDA up 7.4% versus old forecasts) and afterwards. A weaker euro means we reduce our FY17 earnings in US$, but our revenues are only marginally different at constant currency. Higher cash flow taken together with the same valuation methodology means we increase our fair value per share to $10.93, up 4.7% versus our last note, which offers 31% upside.

Last updated on 09/05/2017

Industry outlook

Ellomay operates solar PV assets in Spain and Italy, and has an equity stake in a gas-fired power plant in Israel. All three markets have seen tariff reductions imposed by regulatory authorities and governments in recent years. Regulatory risk is the main potential negative driver of Ellomay's earnings, given that a high percentage of its earnings are derived from tariff subsidies. This aside, subsidised power generation provides attractive, steady cash flow for asset owners that will either be distributed or reinvested.

Last updated on 02/05/2017

Key management

Shlomo Nehama , Chairman
Ran Fridrich, CEO
Kalia Weintraub, CFO

Company address

9 Rothschild Boulevard
Tel Aviv
Israel
+972 3 7971111
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