Publicação
Encavis ag: renewables on the rise - unravelling the potential of long-term value creation
| Resumo: | Amidst the ongoing global climate crisis and the wake of the Russia-Ukraine war, renewable energy received a major boost in importance as independent and sustainable power supply. This report provides an in-depth analysis and valuation of Encavis, a major European independent power producer (IPP). This report constitutes the second part of a joint project and seamlessly ties in on the macroeconomic analysis and the historic financial analysis of Encavis. To enable a detailed valuation, key value drivers are identified and projected into the future, such as the expansion and performance of power plants and an own projection of future market prices based on expected LCOE values. The value of these projected developments is captured in a sum-of-the-part analysis for the existing plant portfolio, the pipeline projects, the option to repower retired plants, and the asset management segment. Based on the recent stock rally of Encavis in the last weeks we find that the market more than sufficiently prices in the expected growth ambitions and is slightly overvaluing, leading us to issue a SELL recommendation. |
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| Autores principais: | Weber, Marco Dietmar |
| Assunto: | Valuation Sustainability Finance Renewables Renewable energy Energy transition Wind Repowering Solar Ipp |
| Ano: | 2022 |
| País: | Portugal |
| Tipo de documento: | dissertação de mestrado |
| Tipo de acesso: | acesso aberto |
| Instituição associada: | Universidade Nova de Lisboa |
| Idioma: | inglês |
| Origem: | Repositório Institucional da UNL |
| Resumo: | Amidst the ongoing global climate crisis and the wake of the Russia-Ukraine war, renewable energy received a major boost in importance as independent and sustainable power supply. This report provides an in-depth analysis and valuation of Encavis, a major European independent power producer (IPP). This report constitutes the second part of a joint project and seamlessly ties in on the macroeconomic analysis and the historic financial analysis of Encavis. To enable a detailed valuation, key value drivers are identified and projected into the future, such as the expansion and performance of power plants and an own projection of future market prices based on expected LCOE values. The value of these projected developments is captured in a sum-of-the-part analysis for the existing plant portfolio, the pipeline projects, the option to repower retired plants, and the asset management segment. Based on the recent stock rally of Encavis in the last weeks we find that the market more than sufficiently prices in the expected growth ambitions and is slightly overvaluing, leading us to issue a SELL recommendation. |
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