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Redeia Corporacion S.A. (RED) Fair Value & Analysis

Utilities · ES · Market cap €8.4B · ISIN ES0173093024

What is Redeia Corporacion S.A. really worth?

RC Redeia Corporacion S.A. RED · MC
Price€14.99
Fair Value€10.74
Upside−28.4%
Quality49/100

Below-average quality, and trading another 40% above our fair value of €10.74.

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Strengths

Highly profitable · 28.9% net margin
Wide moat 67/100

Risks

!Weak Growth (revenue 5y −3.5 %/yr)
!Moderate debt · negative free cash flow
!Mixed vs. peers (7/14)
!Evidence only medium, so the estimate is less certain

For context

·5.34% dividend yield
Evidence: Medium Range €5.76 – €16.30

Fair value as of: Aug 13, 2026

From 14 valuation models · updated 22 days ago

Share price −2.5% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The model range is unusually wide (€5.76 to €16.30). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid but not exceptional quality (49/100) and above fair value, neither a clear bargain nor a standout compounder.

Price vs Fair Value (5 years)

€17.71 €11.81 Fair Value €10.74 Jul 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range €11.81 – €17.71 · fair‑value band €5.76 – €16.30 · the €14.99 price screens above the €10.74 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Redeia Corporacion S.A. (RED) currently trades at €14.99, while our model-based Fair Value estimate is €10.74, implying the stock looks roughly 39.6% overvalued today. The Quality Score stands at 49/100 (below-average quality), in the Utilities sector. Bull case: the Multiples group reads highest at a median of €13.29 per share, and 2 of the 13 models we run sit above the €14.99 price. Bear case: the Earnings-Based group reads lowest at €2.00, and 11 of the 13 models stay below the price. Evidence for this calculation is medium.

Over the trailing twelve months, Redeia Corporacion S.A. generated revenue of €1.8B at a net margin of 28.9%. Revenue grew 6.9% year over year. It earns a return on equity of 9.8%. Net debt stands at €6.2B. Fundamentals as of Aug 13, 2026

Our scenario range runs from €5.76 (bear case) to €16.30 (bull case); at €14.99, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 16% below its 52-week high and 6% above its 52-week low, currently below its 200-day average. For context, the median of 10 Utilities peers we cover trades at −37% fair-value upside, at −28%, RED screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly €0.0947 per share, which is 0.9 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income best evidence €8.41 €9.22 €11.72 76
Gordon GGM €7.49 €9.27 €11.08 69
Graham-Dodd €6.37 €10.78 €13.15 67
All 14 models by family
Earnings-Based
Graham-Dodd €6.37 €10.78 €13.15 67
EPV €0.5000 €2.00 €3.29 67
Dividend Discount
Gordon GGM €7.49 €9.27 €11.08 69
DDM Multi-Stage €7.49 €9.92 €12.81 67
Multiples
P/E Multiple €12.64 €16.85 €21.07 63
P/S Multiple €5.76 €7.68 €9.60 58
P/B Multiple €11.94 €15.92 €19.90 55
EV/EBIT €6.20 €11.26 €16.31 63
EV/EBITDA €7.73 €13.29 €18.85 65
EV/Revenue €1.02 50
Asset-Based
NCAV (Graham) €4.86 €6.51 €9.72 54
Economic Profit
Residual Income best evidence €8.41 €9.22 €11.72 76
ROIC Compounder €0.5000 €2.00 €3.29 67
Growth Earnings
Growth-Adj P/E €8.98 €12.83 €16.68 67

Widest divergence: Multiples (€13.29) versus Earnings-Based (€2.00). Highest evidence: Residual Income (76).

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Key figures & financial health

P/E ratio 15.9
P/S ratio 4.85 P/E × margin
EPS (TTM) €0.9400 price ÷ EPS = P/E 15.9
Dividend yield 5.3% payout 85.1%
Net margin 30.5% FY2025
Return on equity 9.8% TTM
More key figures
Profitability
Return on assets (EBIT) 4.7% avg 5y
Operating margin 43.0% TTM
Growth
Revenue (TTM) €1.8B TTM
Revenue growth (YoY) +6.9% 3y avg −6.3%
EPS growth (YoY) −4.0%
Balance sheet & cash flow
Free cash flow −€394M FY2025
Net debt €6.2B FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 49/100

Of which business quality 45 · Market factors (momentum, volatility) 58

Profitability 38
Margins and returns on capital today
Quality Growth 28
Are margins and returns improving?
Cashflow 50
Earnings quality: real cash, not paper profit
Fin. Strength 27
Balance sheet, leverage, solvency risk
Investment 59
Disciplined investing over empire-building
Low Volatility 99
Calm price path (market factor)
Momentum 44
Price trend over the last 3–12 months (market factor)
52W Momentum 34
Distance to the 52-week high (market factor)
Net Issuance 80
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Redeia Corporación, S.A., through with its subsidiaries, engages in the management of the Spanish electricity transport network in Spain and internationally.

Full company description

Redeia Corporación, S.A., through with its subsidiaries, engages in the management of the Spanish electricity transport network in Spain and internationally. The company operates through three segments: Management and Operation of Domestic Electricity Infrastructure; Management and Operation of International Electricity Infrastructure; and Telecommunications. The company is involved in electricity transmission; system operation; and management of Spanish electricity transmission grid. It operates through a transmission network of approximately 46,074 kilometers and has 99,071 MVA of transformation capacity. The company also provides advisory, engineering, and construction services; and telecommunications, financing, reinsurance, line and substation maintenance, radio spectrum, telecommunications networks and satellite communication, technical consultancy, and satellite telecommunications services. In addition, it operates and maintains electricity transmission networks; manages the construction of energy storage facilities and the water cycle; acquires, holds, manages, and administers equity securities; operates satellite communications system and provides space segment services for the geostationary orbital slots; develops and sells safety devices for personal and industrial use; and sells and leases satellites and spatial capacity, as well as sells and markets satellite capacity. The company was formerly known as Red Eléctrica Corporación, S.A. and changed its name to Redeia Corporación, S.A. in June 2023. Redeia Corporación, S.A. was incorporated in 1985 and is based in Alcobendas, Spain.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Redeia Corporacion S.A. reported revenue of €1.7B in FY2025 versus €2.0B in FY2021, a compound −4.0%/yr. Reported net income was €506M in FY2025, compounding −7.2%/yr from FY2021.

Growth Quality 19/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
€1.7B
Latest YoY
+4.1%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−6.3%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−3.5%
Avg. revenue growth/yr (23Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.9%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
−0.5% (−5.8 + 5.3)
Revenue −4.0%/yr
FY21 €2.0B
FY22 €2.0B
FY23 €2.1B
FY24 €1.6B
FY25 €1.7B
Net income −7.2%/yr
FY21 €681M
FY22 €665M
FY23 €690M
FY24 €368M
FY25 €506M
Character of growth · EPS growth decomposed (2014-2025) −2.5 % p.a.
Revenue per share −0.8 %

of which total revenue −0.8 % · buybacks/dilution +0.0 %

EBIT margin −1.1 %
Tax rate −0.3 %
Residual (interest, one-offs) −0.3 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

RED screens 40% overvalued. Compare with NextEra Energy, Inc →

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Cite: Fair Value Calculator (2026). "Redeia Corporacion S.A. Fair Value". https://www.fairvalue-calculator.com/stock/RED

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Utilities - Regulated Electric · 153 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 49 · Above median
Fair Value upside −28% · Below median
Return on equity (TTM) 10% · Above median
Return on assets 3% · Below median
Net margin (TTM) 29% · Top 25%
Operating margin (TTM) 43% · Top 25%
Revenue growth 7% · Above median
Dividend yield (TTM) 5.3% · Top 25%
Debt / equity 1.03× · Higher than median

Valuation Multiples vs Utilities - Regulated Electric median · lower = cheaper

P/E (TTM) 15.9× · Cheaper than median
P/B 1.86× · Pricier than median
P/S (TTM) 5.56× · Pricier than 75% of peers
EV/EBITDA 13.3× · Pricier than 75% of peers
PEG 4.81× · Pricier than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE35 · sector 32
PAST39 · sector 39
HEALTH49 · sector 52
DIVIDEND100 · sector 65

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Utilities - Regulated Electric stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
NextEra Energy, Inc NEE $83.47 $32.94 −61%
The Southern Company SO $88.25 $58.81 −33%
Duke Energy Corporation DUK $120.25 $74.89 −38%
National Grid plc NGG $80.68 $63.94 −21%
American Electric Power Company AEP $122.96 $77.23 −37%
Dominion Energy, Inc D $66.01 $46.34 −30%
Entergy Corporation ETR $105.75 $52.92 −50%
Xcel Energy Inc XEL $76.34 $44.61 −42%
Exelon Corporation EXC $43.96 $37.60 −14%
Endesa, S.A ELE €42.30 €25.72 −39%

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Frequently asked questions

Is Redeia Corporacion S.A. (RED) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of €10.74 versus a price of €14.99, about −28% upside (overvalued).
What is the fair value of RED?
Our model-based fair value for Redeia Corporacion S.A. is €10.74 (as of Aug 13, 2026), built from audited fundamentals. The current price: €14.99.
What is the quality score of RED?
Redeia Corporacion S.A. has a Quality Score of 49/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Redeia Corporacion S.A. (RED)?
Redeia Corporacion S.A. reported trailing-twelve-month revenue of about €1.8B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of RED?
The net profit margin of Redeia Corporacion S.A. is about 28.9%, meaning it keeps roughly 28.9% of revenue as net income. Based on the latest reported figures.
Does Redeia Corporacion S.A. pay a dividend?
Redeia Corporacion S.A. currently shows a dividend yield of about 5.34% relative to its recent price (as of Aug 13, 2026).
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