Iberdrola IBE.MC
Iberdrola is a diversified Spanish utility that generates and distributes electricity, with a strong focus on regulated electricity networks and renewable energy (wind, solar, and hydro) in Europe, the US, and Brazil. Iberdrola presents a solid financial profile with an operating margin of 24.47% and earnings growth of 68.30%, although its net debt of 3.82x EBITDA and demanding valuation (P/E 25.56) require attention. The acquisition of Caruna reinforces its strategy in regulated networks, a low-risk business that should sustain growth and dividends in the long term.
Detailed metrics
Market and fundamental data as of the analysis date.
Full AI report
Generated automatically from the metrics, the macro context and the company's news.
Iberdrola is a diversified Spanish utility that generates and distributes electricity, with a strong focus on regulated electricity networks and renewable energy (wind, solar, and hydro) in Europe, the US, and Brazil. Iberdrola presents a solid financial profile with an operating margin of 24.47% and earnings growth of 68.30%, although its net debt of 3.82x EBITDA and demanding valuation (P/E 25.56) require attention. The acquisition of Caruna reinforces its strategy in regulated networks, a low-risk business that should sustain growth and dividends in the long term.
Score by category
| Category | Score |
|---|---|
| Financial health | 6.9 |
| Quality / Moat | 4.9 |
| Valuation | 4.4 |
| Growth | 8.0 |
| Dividend | 6.0 |
| Momentum | 6.9 |
| Risk & Context | 6.8 |
OVERALL SCORE: 6.1/10
Context and risks
Iberdrola operates in Spain, a country with elevated governance risk according to the assigned profile, which may involve regulatory or fiscal interventions affecting its networks and generation business. Dependence on stable regulatory frameworks is key for a utility with high investment in long-duration assets.
News considered in the analysis
- Iberdrola to Take Control of Finnish Utility Caruna for $2.3 Billion — Adquisición transformadora en redes reguladas, un negocio de bajo riesgo que encaja con la estrategia de Iberdrola y refuerza su base de activos.
- Iberdrola to buy majority stake in Finnish power distributor Caruna — Confirma la operación de Caruna, que amplía la presencia en redes reguladas nórdicas con retornos estables y predecibles.
- Vineyard Wind, GE Vernova end legal conflict over Massachusetts wind farm — La resolución del conflicto legal reduce la incertidumbre sobre el proyecto eólico marino de Vineyard Wind, en el que Iberdrola participa.
- Iberdrola SA (IBDRY) (H1 2026) Earnings Call Highlights: Strong Profit Growth and Strategic ... — Resultados del primer semestre ya conocidos y descontados por el mercado; refuerzan la tendencia positiva pero no aportan información nueva.
- Is Iberdrola (IBDRY) Stock Outpacing Its Utilities Peers This Year? — Artículo comparativo genérico sin información nueva relevante.
Verdict: Hold, with a positive bias. The solid position in regulated networks and renewables, along with the Caruna acquisition, offset the leverage and demanding valuation.
Main risk: The main risk is the high leverage (Net Debt/EBITDA of 3.82) in a rising interest rate environment, which could pressure financing costs and the company's valuation.
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