Wondering if Eni’s recent run puts the stock at a discount or if the best value days are already behind it? You’re not alone, as investors everywhere are asking the same question right now.
Eni’s share price has climbed 19.8% so far this year and 29.1% over the past 12 months, indicating renewed optimism and possible growth ahead.
Much of this excitement has been fueled by recent positive developments in the energy sector, including moves toward cleaner production and new international projects. News highlighting Eni’s investment in low-carbon initiatives and overseas exploration has caught investors’ attention and contributed to the stock’s upward momentum.
On the valuation front, Eni scores a 3 out of 6 based on our undervaluation checks. Next, we will explore the methods behind that score and provide insights to help better understand Eni’s real value.
Eni delivered 29.1% returns over the last year. See how this stacks up to the rest of the Oil and Gas industry.
The Discounted Cash Flow (DCF) model estimates a company’s value by projecting its future cash flows and discounting them back to today’s value. This approach helps investors gauge the present worth of all expected future cash the business will generate, using current financial data and reasonable growth assumptions.
For Eni, the most recent Free Cash Flow stands at approximately €4.40 billion. According to analyst consensus and Simply Wall St extrapolations, these cash flows are forecast to grow moderately, with projections reaching roughly €5.19 billion by 2028 and continuing upwards through 2035. Early estimates rely on analyst forecasts, while later years use logical estimates based on prevailing growth trends in the sector.
Using these inputs, the DCF analysis values Eni at an intrinsic fair value of €22.02 per share. This suggests that the current market price is about 26.7 percent below what the company’s future cash flows are worth today, indicating the stock is significantly undervalued according to this model. For investors seeking growth and value, this assessment may indicate a promising entry point.
Result: UNDERVALUED
Our Discounted Cash Flow (DCF) analysis suggests Eni is undervalued by 26.7%. Track this in your watchlist or portfolio, or discover 920 more undervalued stocks based on cash flows.
ENI Discounted Cash Flow as at Nov 2025
Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Eni.
The Price-to-Earnings (PE) ratio is a well-known method used to value profitable companies like Eni, as it connects the market price to the company’s actual earnings. This metric is especially relevant for established businesses with positive earnings, offering a straightforward way to compare value across the sector.
It’s important to remember that what counts as a “normal” or “fair” PE ratio can change depending on growth prospects and perceived risk. Companies expected to grow rapidly or those considered safer investments typically command higher PE ratios, while riskier or slower-growing firms usually see lower multiples.
Currently, Eni trades at a PE ratio of 18.7x, which is higher than both the industry average of 13.3x and the peer group average of 13.1x. At first glance, this might suggest Eni is more expensive than its rivals. However, simply comparing these averages does not tell the whole story. This is where Simply Wall St’s “Fair Ratio” comes in. The Fair Ratio, calculated at 21.5x for Eni, incorporates not just earnings but also factors like Eni’s growth outlook, profitability, risk profile, industry position, and its size in the market.
The Fair Ratio is a more holistic metric than industry or peer comparisons because it is tuned to Eni’s specific fundamentals, rather than being based on broader or less relevant companies. In this case, Eni’s actual PE ratio is about 2.8x below its Fair Ratio, indicating that, on this measure, the stock could be considered undervalued.
Result: UNDERVALUED
BIT:ENI PE Ratio as at Nov 2025
PE ratios tell one story, but what if the real opportunity lies elsewhere? Discover 1443 companies where insiders are betting big on explosive growth.
Earlier we mentioned that there is an even better way to understand valuation, so let’s introduce you to Narratives. A Narrative is your own story about a company that connects what you believe about its business, industry changes, and trends with the actual numbers, such as fair value, future revenue, earnings, and profit margins.
Rather than simply relying on historic data or a single metric, Narratives let you link what is happening in the real world to a financial forecast and, ultimately, to what you believe is a fair price for the stock. This approach is accessible and easy to use for investors of all experience levels on Simply Wall St, right from the Community page used by millions.
Narratives empower you to decide when to buy or sell, making it simple to see at a glance how your fair value compares to the current price. Because they update automatically with new information, such as news, earnings reports, or industry developments, your view is always relevant and up to date.
For example, when it comes to Eni, some investors are optimistic and see a fair value as high as €17.5, while others, more cautious, estimate just €13.5. This illustrates how Narratives capture the range of real investor perspectives and make stock decisions more intuitive and personal.
Do you think there’s more to the story for Eni? Head over to our Community to see what others are saying!
BIT:ENI Community Fair Values as at Nov 2025
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include ENI.MI.
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