ACEA ACE.MI
ItalyUtilities · Utilities - DiversifiedBorsa Italiana · EUR
26.33 EUR (+30.8%)
6 analysts
XTB0.00 €affiliateOpen account ↗
Interactive Brokers3.00 €Open account ↗XTB0.00 €★ featured · affiliateOpen account ↗Interactive Brokers3.00 €Open account ↗XTB0.00 €★ featured · affiliateOpen account ↗200.00 € order · cheapest cheapest available in your country iCompare all 22 brokers →What does it do?
ACEA is a diversified Italian utility operating in water and electricity distribution, energy generation, network management, and environmental services, with a regulated and concession-based business model in Italy.
Listed on Borsa Italiana · Symbol ACE.MI · BIT: ACE · Currency EUR
Key points
from its scores- ✓Attractive dividend8.1
- ✓Strong growth7.6
- ✕Poor share-price trend3.6
- ✕Little competitive advantage4.2
- ✕Unfavourable risk and backdrop4.2
AI analysis
bottom line, main risk, context and newsThe combination of high leverage and rising rates in Europe limits the appeal of its dividend, although its valuation and regulated business provide support.
ACEA has acceptable financial health (6.28) but high leverage (Net Debt/EBITDA of 4.39) makes it vulnerable to the ECB's rate hike cycle; its valuation is reasonable (P/E 11.85) and the dividend is attractive (net yield 4.20%), although the 167.30% earnings growth may not be sustainable.
High leverage (Net Debt/EBITDA of 4.39) combined with ECB monetary tightening and Italian governance could make debt refinancing more expensive and compress margins, affecting its ability to maintain the dividend.
Context and risks
ACEA is an Italian utility with Net Debt/EBITDA of 4.39 and Debt/Equity of 169.55%, levels that expose it to ECB tightening (25bp hike in June and another priced for September). Additionally, the Italian regulatory framework for utilities and the country's governance (elevated governance risk) add uncertainty about its ability to pass on higher capital costs to tariffs.
Is ACEA stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades 35% below the Utilities median on average.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 11.8 | 19.1 | −38% |
| EV / EBITDA | 8.3 | 12.2 | −32% |
| Price / book | 1.4 | 1.9 | −26% |
| Price / sales | 1.5 | 2.6 | −41% |
Sector: median of the 92 Utilities companies analysed. In bold, the multiples used for the comparison.
Valuation score: 6.2 out of 10 (median for Utilities: 4.8).
Average analyst target: 26.33 EUR, +30.8% versus the price.
A discount may reflect more risk or slower growth than its sector: Financial health 5.7 (sector 5.8), Growth 7.6 (sector 5.8).
Classic formulas with standard assumptions (0.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Utilities medianValuation
- P/E
- 11.8
- Forward P/E
- 12.7
- EV / EBITDA
- 8.3
- Price / book
- 1.4
- Price / sales
- 1.5
- PEG
- 4.05
- Market cap
- 4.3B EUR
- Enterprise value
- 9.9B EUR
Profitability
- ROE
- 12.4%
- ROA
- 2.8%
- ROIC (approx.)
- 5.8%
- Gross margin
- 60.4%
- Operating margin
- 18.1%
- Net margin
- 25.2%
- Free cash flow
- −376.5M EUR
- FCF yield
- −8.8%
- Cash conversion
- −31%
Solvency
- Total debt
- 5.7B EUR
- Net debt
- 5.3B EUR
- Cash
- 471.0M EUR
- EBITDA
- 1.2B EUR
- Net debt / EBITDA
- 4.39
- Debt / equity
- 169.55
- Current ratio
- 0.59
- Quick ratio
- 0.51
Growth
- Revenue growth
- +6.3%
- Earnings growth
- +167.3%
- EPS (TTM)
- 1.70 EUR
- EPS (forward)
- 1.59 EUR
Dividend
- Dividend yield
- 4.7%
- Payout
- 56.0%
Risk and market
- Beta
- 0.87
- Analyst consensus
- Strong buy (6)
- Target price
- 26.33 EUR
- 52-week range
- 19.32 – 26.52
Recent news
All ACE.MI news →Compare it with its sector
All 92 in Utilities →Frequently asked questions about ACEA
Is ACEA stock cheap or expensive?
On P/E and EV / EBITDA, it trades 35% below the Utilities median on average. Valuation score: 6.2 out of 10 (median for Utilities: 4.8). Average analyst target: 26.33 EUR, +30.8% versus the price. This is not investment advice.
What score does ACEA get on MeridIAn Screener?
It scores 5.7 out of 10, rank 1,217 of 2,130 (better than 39% of the companies analysed). Its strongest category is Dividend (8.1) and its weakest, Momentum (3.6). Analysis of 08/10/2026.
What is ACEA's P/E ratio?
Its P/E is 11.8: the share price equals 11.8 times earnings per share over the last 12 months. The Utilities median is 19.1. Based on the earnings analysts expect, the forward P/E is 12.7.
How much is ACEA worth on the stock market?
Its market capitalisation is 4.3B EUR and its enterprise value, debt included, is 9.9B EUR.
How much debt does ACEA have?
Its net debt (debt minus cash) is 5.3B EUR. That is 4.39 times its EBITDA; the Utilities median is 5.33.
Does ACEA pay a dividend?
Yes: its dividend yield is 4.72% and it pays out 56% of its earnings.
How has ACEA stock performed over the last year?
It has risen 2.2% over the last year, excluding dividends. Over the last 52 weeks it has traded between 19.32 and 26.52 EUR. Past performance does not guarantee future results.
What do analysts think of ACEA?
6 analysts cover it; their average recommendation is “Strong buy” and their average target is 26.33 EUR (+30.8% versus the price). It is an estimate, not market data.