EDP-Energias De PortugalFRA:EDP -0.47%64 ROE % is 13.09% as of Mar. 2026, which is 62% above its 10-year median of 8.07. GuruFocus rates FRA:EDP with a GF Score™ of 64/100 and a GF Value™ of €3.74 (Modestly Overvalued). The stock has 11 warning signs investors should review. Among 503 Utilities - Regulated companies, EDP-Energias De Portugal ranks better than 57.46% on this metric.
The historical rank and industry rank for EDP-Energias De Portugal's ROE % or its related term are showing as below:
FRA:EDP'
s ROE % Range Over the Past 10 Years
Min: 5.61 Med: 8.07 Max: 11.75
Current: 9.69
During the past 13 years, EDP-Energias De Portugal's highest ROE % was 11.75%. The lowest was 5.61%. And the median was 8.07%.
FRA:EDP's ROE % is ranked better than 57.46% of 503
companies
in the Utilities - Regulated industry
Industry Median: 8.62
vs FRA:EDP: 9.69
EDP-Energias De Portugal (FRA:EDP) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Utilities - Diversified subindustry, EDP-Energias De Portugal's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
EDP-Energias De Portugal ROE % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, EDP-Energias De Portugal's ROE % distribution charts can be found below:
* The bar in red indicates where EDP-Energias De Portugal's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
EDP-Energias De Portugal (FRA:EDP) has a ROE % of 13.09% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on EDP-Energias De Portugal and its competitors. This is 62% above median its historical median of 8.07. Over the past decade, EDP-Energias De Portugal's ROE % has ranged from 5.61 to 11.75. According to the industry distribution chart, EDP-Energias De Portugal ranks #214 out of 503 companies in the Utilities - Regulated industry, placing it in the top 42.5%.
Is EDP-Energias De Portugal's ROE % too high?
EDP-Energias De Portugal's current ROE % of 13.09% is 62% above median its 10-year median of 8.07. Over the past 10 years, this metric has ranged from a low of 5.61 to a high of 11.75. The Utilities - Regulated industry median ROE % is 8.62. EDP-Energias De Portugal's value of 13.09% is 51.9% above this industry median. Based on the distribution chart, EDP-Energias De Portugal ranks #214 out of 503 companies in the Utilities - Regulated industry, which is above the industry midpoint. Overall, EDP-Energias De Portugal has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does EDP-Energias De Portugal's ROE % compare to SRE and AES?
According to the Utilities - Regulated industry distribution chart, EDP-Energias De Portugal ranks #214 out of 503 companies for ROE %. This puts EDP-Energias De Portugal in the upper half of its industry. The industry median ROE % is 8.62. EDP-Energias De Portugal's value of 13.09% is 51.9% above this benchmark. Historically, EDP-Energias De Portugal's own ROE % has ranged from 5.61 to 11.75 over the past decade. While the company's 10-year median is 8.07 vs. the industry median of 8.62, EDP-Energias De Portugal has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for an Utilities - Regulated company?
The median ROE % among Utilities - Regulated companies is 8.62, based on 503 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. EDP-Energias De Portugal's current ROE % of 13.09% is 51.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on EDP-Energias De Portugal and its competitors. For the Utilities - Regulated industry, the median ROE % is 8.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EDP-Energias De Portugal's current ROE % is 13.09%, which is 62% above median its own 10-year median of 8.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EDP-Energias De Portugal stock overvalued right now?
Based on GuruFocus' analysis, EDP-Energias De Portugal (FRA:EDP) is currently considered Modestly Overvalued. The stock's GF Value™ is €3.74, compared to a current price of €4.40 — trading 17.7% above its estimated fair value. The current ROE % is 13.09%, which is 62% above median its 10-year median of 8.07 and 51.9% above the Utilities - Regulated industry median of 8.62. EDP-Energias De Portugal's overall GF Score™ is 64/100 with 11 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For EDP-Energias De Portugal (FRA:EDP), the current ROE % is 13.09% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is EDP-Energias De Portugal (FRA:EDP) Overvalued in 2026?
Based on GuruFocus' analysis, EDP-Energias De Portugal stock appears to be overvalued.
The current stock price of €4.40 is trading 17.7% above its estimated GF Value™ of €3.74.
GuruFocus considers EDP-Energias De Portugal to be Modestly Overvalued.
Key valuation signals for FRA:EDP:
ROE %: 13.09% (62% above median its 10-year median of 8.07)
GF Value™: €3.74 vs. price of €4.40 (17.7% above fair value)
Industry Position: 51.9% above the Utilities - Regulated median (#214 of 503)
No single metric tells the full story. See the FRA:EDP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
EDP is a vertically integrated utility company and is the largest generator, supplier, and distributor of electricity in Portugal. In addition to Portugal, EDP has sizable operations in Spain, Brazil, and the US. EDP owns 71% of EDP Renovaveis, the fourth-largest wind power owner/operator in the world. EDP delisted Energias do Brasil in August 2023 after buying out the 46% minorities.
64GF Score
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