We are maintaining our fair value estimates of USD 28/CAD 38 for Brookfield Renewable Partners and USD 29/CAD 39 for Brookfield Renewable Corp. following first-quarter results. Despite a rise in recent days, we still view the shares as undervalued.
Brookfield Renewable is well positioned for the global renewables buildout given its diversification.
The company is exposed to emerging-market foreign-exchange risk, which generally constitutes 25%-30% of its cash flow.
|
Metric
|
BEPC
|
ENEL
|
RWE
|
|---|---|---|---|
Price/Earnings (Normalized) | 83.88 | 10.31 | 14.55 |
Price/Book Value | 0.92 | 2.04 | 0.78 |
Price/Sales | 1.35 | 0.74 | 0.86 |
Price/Cash Flow | 4.96 | 4.49 | 35.38 |
|
Metric
|
BEPC
|
ENEL
|
RWE
|
|---|---|---|---|
Quick Ratio | 0.31 | 0.64 | 0.67 |
Current Ratio | 0.39 | 0.89 | 1.58 |
Interest Coverage | 2.27 | 4.77 | 2.96 |
|
Metric
|
BEPC
|
ENEL
|
RWE
|
|---|---|---|---|
Return on Assets (Normalized) | 3.50% | 3.34% | 3.84% |
Return on Equity (Normalized) | 27.28% | 27.85% | 14.38% |
Return on Invested Capital (Normalized) | 8.90% | 7.21% | 7.64% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
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DNNGY
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EBR.B
| Centrais Eletricas Brasileiras SA ADR | — | Qpyky | $17.8 Bil | |
BEP
| Brookfield Renewable Partners LP | Jjkmjdgpqb | Yfzn | $7.6 Bil | |
BEPC
| Brookfield Renewable Corp Ordinary Shares - Class A (Sub Voting) | Rscynlsf | Tjzk | $5.4 Bil |
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