TRN Stock Analysis: Terna Rete Elettrica | MI
Utilities - Regulated Electric | MI, Italy | Market Cap: 18.849m EUR | 12M Return: 12.6% | IT0003242622 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 39.0M
Qual. Beats: 0
Rev. Trend: 71.5%
Qual. Beats: 1
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Terna S.p.A. is the operator of Italys national electricity transmission grid, providing transmission, dispatching, and metering services primarily in Italy, with additional operations in other Euro-area countries and internationally. Founded in 1962 and headquartered in Rome, the company runs three reporting segments: Regulated, Non-Regulated, and International. Beyond core grid operations, Terna is involved in the construction of storage systems, the design and manufacture of power and industrial transformers, and the production of marine and terrestrial cables.
As a transmission system operator (TSO), Terna runs regulated natural-monopoly infrastructure under a framework overseen by Italys energy regulator (ARERA), which typically sets revenue caps and allowed return rates for grid investments. The regulated segment - encompassing grid development, maintenance, and dispatching - generally represents the bulk of group earnings, while the non-regulated and international units cover equipment manufacturing (transformers, cables), private interconnectors, and renewable project development. Ternas role is central to Italys energy transition, as the grid must integrate rising renewable generation and connect to neighboring European networks.
- ARERA tariff reset shapes allowed return on regulated asset base
- Energy transition accelerates multi-billion grid investment plan
- International segment expands through acquisitions and new interconnectors
| Net Income: 1.66b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.00 > 0.02 and ΔFCF/TA 2.91 > 1.0 |
| NWC/Revenue: -3.49% < 20% (prev -30.60%; Δ 27.11% < -1%) |
| CFO/TA 0.15 > 3% & CFO 4.58b > Net Income 1.66b |
| Net Debt (12.6b) to EBITDA (3.70b): 3.41 < 3 |
| Current Ratio: 0.96 > 1.5 & < 3 |
| Outstanding Shares: last quarter (2.01b) vs 12m ago 0.02% < -2% |
| Gross Margin: 57.24% > 18% (prev 69.21%; Δ -11.96% > 0.5%) |
| Asset Turnover: 21.40% > 50% (prev 16.62%; Δ 4.78% > 0%) |
| Interest Coverage Ratio: 9.50 > 6 (EBIT TTM 2.75b / Interest Expense TTM 289.5m) |
| A: -0.01 (Total Current Assets 5.92b - Total Current Liabilities 6.14b) / Total Assets 30.5b |
| B: 0.15 (Retained Earnings 4.67b / Total Assets 30.5b) |
| C: 0.09 (EBIT TTM 2.75b / Avg Total Assets 29.3b) |
| D: 0.39 (Book Value of Equity 8.63b / Total Liabilities 21.9b) |
| Altman-Z'' = 1.50 = BB |
| DSRI: 0.80 (Receivables 3.40b/3.17b, Revenue 6.27b/4.67b) |
| GMI: 1.21 (GM 69.21% / 57.24%) |
| AQI: 1.04 (AQ_t 0.07 / AQ_t-1 0.07) |
| SGI: 1.34 (Revenue 6.27b / 4.67b) |
| TATA: -0.10 (NI 1.66b - CFO 4.58b) / TA 30.5b) |
| Beneish M = -2.74 (Cap -4..+1) = A |
As of September 27, 2026, the stock is trading at EUR 9.17 with a total of 2,480,098 shares traded. Over the past week, the price has changed by -1.63%, over one month by -7.24%, over three months by -10.23% and over the past year by +12.57%.
Current recommended Stop Loss: 8.90 (which is 2.9% or 1.7 ATR below the current price).
Terna Rete Elettrica has no consensus analysts rating.
P/E Trailing = 17.7245
P/E Forward = 17.2712
P/S = 4.4696
P/B = 2.1687
P/EG = 2.0899
Revenue TTM = 6.27b EUR
EBIT TTM = 2.75b EUR
EBITDA TTM = 3.70b EUR
Long Term Debt = 14.2b EUR (from longTermDebt, last quarter)
Short Term Debt = 636.3m EUR (from shortTermDebt, last quarter)
Debt = 14.9b EUR (from shortLongTermDebtTotal, last quarter) + Leases 2.00m
Net Debt = 12.6b EUR (calculated: Debt 14.9b - CCE 2.27b)
Enterprise Value = 31.4b EUR (18.8b + Debt 14.9b - CCE 2.27b)
Interest Coverage Ratio = 9.50 (Ebit TTM 2.75b / Interest Expense TTM 289.5m)
EV/FCF = 320.2x (Enterprise Value 31.4b / FCF TTM 98.2m)
FCF Yield = 0.31% (FCF TTM 98.2m / Enterprise Value 31.4b)
FCF Margin = 1.57% (FCF TTM 98.2m / Revenue TTM 6.27b)
Net Margin = 26.42% (Net Income TTM 1.66b / Revenue TTM 6.27b)
Gross Margin = 57.24% ((Revenue TTM 6.27b - Cost of Revenue TTM 2.68b) / Revenue TTM)
Gross Margin QoQ = 46.65% (prev 89.96%)
Tobins Q-Ratio = 1.03 (Enterprise Value 31.4b / Total Assets 30.5b)
Interest Expense / Debt = 1.95% (Interest Expense 289.5m / Debt 14.9b)
Taxrate = 26.14% (633.2m / 2.42b)
NOPAT = 2.03b (EBIT 2.75b * (1 - 26.14%))
Current Ratio = 0.96 (Total Current Assets 5.92b / Total Current Liabilities 6.14b)
Debt / Equity = 1.72 (Debt 14.9b / totalStockholderEquity, last quarter 8.63b)
Debt / EBITDA = 3.41 (Net Debt 12.6b / EBITDA 3.70b)
Debt / FCF = 128.3 (Net Debt 12.6b / FCF TTM 98.2m)
Total Stockholder Equity = 8.27b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.65% (Net Income 1.66b / Total Assets 30.5b)
RoE = 20.04% (Net Income TTM 1.66b / Total Stockholder Equity 8.27b)
RoCE = 12.24% (EBIT 2.75b / Capital Employed (Equity 8.27b + L.T.Debt 14.2b))
RoIC = 8.22% (NOPAT 2.03b / Invested Capital 24.7b)
WACC = 3.79% (E(18.8b)/V(33.7b) * Re(5.64%) + D(14.9b)/V(33.7b) * Rd(1.95%) * (1-Tc(0.26)))
Discount Rate = 5.64% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 44.41 | Cagr: 0.10%
[DCF] Terminal Value 75.44% ; FCFF base≈98.2m ; Y1≈98.6m ; Y5≈104.5m
[DCF] Fair Price = N/A (negative equity: EV 1.62b - Net Debt 12.6b = -11.0b; debt exceeds intrinsic value)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.21 | # QB: 0
Revenue Correlation: 71.47 | Revenue CAGR: 10.04% | SUE: 2.56 | # QB: 1
EPS current Quarter (2026-09-30): EPS=0.14 | Chg30d=+0.73% | Revisions=+25% | Analysts=3
EPS current Year (2026-12-31): EPS=0.55 | Chg30d=-0.41% | Revisions=+40% | GrowthEPS=+4.2% | GrowthRev=+9.3%
EPS next Year (2027-12-31): EPS=0.56 | Chg30d=+0.21% | Revisions=+57% | GrowthEPS=+2.0% | GrowthRev=+8.8%
[Analyst] Revisions Ratio: +70% (up=7, down=0)