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EDP - Energias de Portugal, S.A.

EDP.LS
47
Diversified Utilities · Utilities
Price
€4.53
+0.03 (+0.56%)
Market Cap
€18.72B
Exchange
Euronext Lisbon
Winston Score
47
Winston is serious
Mixed quality — meaningful strengths and weaknesses.
Data as of Jul 28, 2026 · filings through Mar 31, 2026

Share count rising — dilution

+4.7% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 3.95B (2021) → 4.13B (2025)

EDP - Energias de Portugal, S.A., established in 1976 and headquartered in Lisbon, Portugal, is a global energy major. The company's multifaceted operations span the entire electricity value chain, from power generation and transmission to distribution and retail, serving markets across Europe, including Portugal, Spain, France, Poland, Romania, Italy, Belgium, the United Kingdom, and Greece, as well as Brazil and North America. Its business structure is segmented into Renewables, Networks, and Client Solutions & Energy Management. EDP generates electricity from a broad spectrum of sources, encompassing hydro, combined cycle gas turbines (CCGT), coal, wind, solar, nuclear, and cogeneration. Beyond its core electrical activities, the firm also trades natural gas. Possessing an installed capacity of 25 gigawatts, EDP caters to approximately 8.7 million electricity clients and 0.7 million gas consumers. The company manages an extensive infrastructure of 378,155 kilometers of distribution network lines. Additionally, EDP provides specialized services such as engineering consulting, laboratory analyses, professional training initiatives, comprehensive energy solutions, and the management of its real estate portfolio.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+2.3% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

-8.6% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$0/ year

Declining (-100% vs prior year)

0.0% of revenue

Below sector average (1%)

R&D spend declining — could signal cost-cutting or efficiency

Cash Runway

~4 years

$9.4B cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

$9.4B cash & investments at current burn rate

Growth context

EDP - Energias de Portugal, S.A. is growing revenue at 2% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Gross Margin
29.6%
Modest — 29.6% gross margin
Operating Margin
18.5%
Healthy — 18.5% operating margin
ROCE
2.3%
Weak — 2.3% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+2.7%
Nearly flat sales (2.7% YoY)
EPS YoY
+15.9%
Earnings growing fast (15.9% YoY)

Healthy double-digit earnings growth — what compounders look like.

EPS Consistency
2/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Cash Conversion
240%
Turns 240% of profit into real cash
FCF Margin
-9.7%
Burning cash (-9.7%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

Debt / Equity
1.91
Elevated debt (1.91)
Interest Cover
1.89x
Dangerous — barely covers interest (1.9x)

Interest coverage between 1 and 3. Profits cover interest, but with little room to spare.

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Valuation

P/E Ratio (TTM)
16.8x
Fair value — P/E 16.8

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

P/E vs Forward
+2.7
GROWING
Earnings expected to grow — slightly cheaper on forward P/E

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Dividends

Dividend Yield
4.53%
Healthy income — 4.53% yield

Generous yield. Worth checking whether the payout is sustainable.

Dividend Growth
+4.5%
Dividend growing modestly (4.5% YoY)

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