Oil & Gas Integrated · NYSE
Current Price
$55.44
Intrinsic Value
Use the calculator below to estimate
Run a full DCF analysis on Eni S.p.A. with auto-filled fundamentals, adjustable assumptions, and sensitivity heatmap.
Eni S.p.A. engages in the exploration, development, and production of crude oil and natural gas. It operates through Exploration & Production; Global Gas & LNG Portfolio; Refining & Marketing and Chemicals; Plenitude and Power; and Corporate and Other activities segments. The Exploration & Production segment is involved in the research, development, and production of oil, condensates and natural gas; and forestry conservation and CO2 capture and storage projects. The Global Gas & LNG Portfolio segment engages in the supply and wholesale of natural gas by pipeline, international transport; and purchase and marketing of LNG. The Refining & Marketing and Chemicals segment is involved in the processing, supply, distribution, and marketing of fuels and chemicals. The Eni gas e luce, Power & Renewables segment engages in the retail sales of gas, electricity, and related activities, as well as in the production and wholesale of electricity produced by thermoelectric and renewable plants. As of December 31, 2021, it had net proved reserves of 6,628 million barrels of oil equivalent; and installed operational capacity of 4.5 GW. The company was founded in 1953 and is headquartered in Rome, Italy.
ROIC (TTM)
1.6%
ROE (TTM)
5.2%
FCF Yield
4.32%
Based on trailing twelve-month data, E shows a free cash flow per share of N/A and a ROIC of 1.6%, key inputs for stock valuation using the DCF method. The P/FCF ratio of N/A and FCF yield of 4.32% are important context metrics when evaluating E's stock valuation relative to peers.
The intrinsic value of E depends on assumptions about future growth rate, discount rate (WACC), and terminal value. A DCF model discounts projected free cash flows back to present value — small changes in WACC can shift the estimate by 20% or more, which is why sensitivity analysis is essential.
Whether E is undervalued depends on comparing the DCF-derived intrinsic value to the current market price of $55.44. A positive margin of safety (intrinsic value above market price) suggests potential undervaluation, but the degree of confidence depends on the reliability of your growth and discount rate assumptions.
To perform a DCF valuation on Eni S.p.A.: (1) Start with the trailing free cash flow per share as the base, (2) project future FCF growth over 5-10 years based on Oil & Gas Integrated industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting E's risk profile, and (4) add a terminal value for cash flows beyond the projection period.
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For Eni S.p.A., this means projecting how much free cash flow the Oil & Gas Integrated will produce over the next 5-10 years, then discounting those amounts to today's dollars. E's ROIC of 1.6% suggests the company may face challenges generating returns above its cost of capital.
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For E, the capital structure and equity risk premium determine WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%.
