Ratings Light SA

Equities

LIGT3

BRLIGTACNOR2

Market Closed - Sao Paulo Other stock markets 04:06:00 2024-04-30 pm EDT			5-day change	1st Jan Change
4.97 ^BRL	-1.39%		-2.36%	-37.88%

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

Summary

Overall, the company has poor fundamentals for a medium to long-term investment strategy.
From a short-term investment perspective, the company presents a deteriorated fundamental situation

Strengths

Its low valuation, with P/E ratio at 10.53 and 5.92 for the ongoing fiscal year and 2025 respectively, makes the stock pretty attractive with regard to earnings multiples.
The company has attractive valuation levels with a low EV/sales ratio compared with its peers.
The company appears to be poorly valued given its net asset value.
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.
The company has insufficient levels of profitability.
One of the major weak points of the company is its financial situation.
For the last twelve months, the trend in sales revisions has been clearly going down, which emphasizes downgraded expectations from the analysts.
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 recommend that the stock should be sold or reduced.
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 average consensus view of analysts covering the stock has deteriorated over the past four months.
Over the past twelve months, analysts' consensus has been significantly revised downwards.

Ratings chart - Surperformance

Chart ESG Refinitiv

Sector: Electric Utilities

	1st Jan change	Capi.	Investor Rating	ESG Refinitiv
LIGHT SA	-37.88%	368M		B
NEXTERA ENERGY	+10.26%	139B		C+
SOUTHERN COMPANY	+4.82%	81.36B		B-
IBERDROLA, S.A.	-3.03%	78.57B		B
DUKE ENERGY CORPORATION	+1.26%	76.17B		B+
ENEL S.P.A.	-8.16%	67.47B		B-
CONSTELLATION ENERGY CORPORATION	+59.07%	59.43B		C
AMERICAN ELECTRIC POWER COMPANY, INC.	+5.92%	45.64B		A-
GE VERNOVA INC.	-.--%	43.26B	-	-
DOMINION ENERGY, INC.	+8.47%	42.83B		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