EiDF (Energy, Innovation and Photovoltaic Development) is a clear example of what many analysts call undiscovered gems in the stock market. In 2022, it achieved a 480% re-rating and since its debut on the market in July 2021, it has returned 560%. This company is listed on the BME Growth, the segment of the Spanish Stock Exchange specializing in small stocks, and is therefore rarely followed by analysts for recommendations, price targets or valuations and business prospects. Its actions soar, but without making any noise.
Behind this spectacular leap to the stock market – EiDF has only been listed for a year and a half – is a top business: photovoltaic solar energy. EiDF specializes in installing this type of panel for industrial and commercial self-consumption at national level. Among the 4,000 total customers are BBVA, Fedex, Estrella Galicia, Amazon, Aena, ACS, Mercadona, Repsol and Naturgy. According to the company’s own estimates, photovoltaic systems can save you up to 60% on your electricity bill; In addition, the price of the necessary materials has been reduced by 77% in the last ten years.
Between January and September 2022 he reached a turnover of 315.54 million euros, 932.86% above the same period last year, and an ebitda of 46.86 million, 560% more. “We remain positive on EiDF given its leadership position in the self-consumption business [19% de cuota de mercado], with very good growth prospects (the targets for 2022 were exceeded just a few months after publication) and a business model integrated into renewable energies. We see the value as a very attractive investment opportunity in the renewable sector,” they explain from Alantra.
For its part, Gestión de Patrimonios Mobiliarios emphasizes that “EiDF maintains a solid financial position with a debt to Ebitda ratio of 1.19 and a cash position with net cash of 24 million. Its financial standing allows the development of a business model based on PPAs [power purchase agreement] for own consumption. They have guaranteed future growth: In terms of self-consumption, it has a portfolio of 305 projects to be built and in production [su segunda línea de negocio] It has a pipeline of 2.6 GW”. Both reports, that of Alantra and that of Gestión de Patrimonios Mobiliarios, are part of analyzes led by the EiDF.
On the other hand, Beatriz Pérez and Jaime Vázquez, managers of the Renta 4 Megatendencias Medioambiente fund, admit that they do not currently have the company in their portfolio but highlight the potential of the sector: “In Spain, solar self-consumption has doubled and in the More than 2,500 MW installed in 2022 (108% more than 2021). High electricity prices have encouraged both industrial companies and families to opt for self-consumption systems in order to reduce costs.” However, they warn of an increase in competition: “Due to the high demand, other companies are currently relying on self-consumption in residential buildings, such as the Portuguese Greenvolt, and we hope that many more will join,” it says.
Meanwhile, XTB analyst Joaquín Robles is turning his attention “to the upcoming results, which will be crucial for the stock price’s performance as much of the recent upleg is being driven by high growth expectations.” Also remember that the priority for this year is the IPO, having reached 1.585 million euros.
The EiDF made the leap in the first semester. Last September, the Annual General Meeting approved a split at a ratio of four new shares for each old share. The current free float is 14.6%.