Risk factor
Negligible price volatility
Profitability factor
Strong margins and returns
About
Established in 1992 and headquartered in Prague, Czech Republic, CEZ, a. s. is a prominent energy enterprise active in the generation, distribution, trading, and retail of electricity and heat throughout Western, Central, and Southeastern Europe. The company organizes its operations across four primary divisions: Generation, Distribution, Sales, and Mining. Within the Czech Republic, CEZ possesses a substantial array of power production facilities, including two nuclear power stations, sixteen hydroelectric installations, one combined cycle gas turbine facility, and eight fossil fuel plants. Its domestic energy portfolio further diversifies with additional fossil fuel, hydro, wind, solar, gas, biogas, and biomass-fueled power plants. Internationally, the company operates eleven wind farms in Germany and two fossil fuel and two hydroelectric facilities in Poland. Beyond power production, CEZ engages in the trade and sale of natural gas, coal extraction, the quarrying and processing of construction aggregates and limestones, commodity trading, and the provision of diverse energy services. Furthermore, CEZ maintains an investment in the Cínovec lithium ore mining venture.
Company Valuation
From both historical and forecast perspectives, the stock is fairly priced compared to similar stocks. Specifically, the stock is fairly valued on P/E, neutral on EV/EBIT
Target Price
The average target price of CEZ.PR is 1072 and suggests 19.8% downside potential. Usually, this means a SELL recommendation among investment firms, or a recommendation to