Companhia Energética de Minas Gerais

UNDERVALUEDCIG-C · NYSE · Utilities
CIG-C·NYSE·Utilities
UNDERVALUED
Companhia Energética de Minas Gerais
14.1%upside
MARKET PRICE
$3.40
FAIR PRICE
$3.88
MARGIN
$0.48
UNDERVALUEDFAIROVERVALUED
P/E RATIO
9.6x
DIV. YIELD
N/A
ROE
17.3%
MARKET CAP
$47B
FPI
fairpriceindex.com

FAIR PRICE VALUATION

14.1%upside

Updated daily

Model: DCF 50% · Relative 30% · Consensus 20%

MARKET PRICE

$3.40

FAIR PRICE

$3.88

MARGIN

$0.48

UNDERVALUEDFAIROVERVALUED

P/E Ratio

9.6x

What is P/E? →

Div. Yield

N/A

ROE

17.3%

Strong

Market Cap

$47B

Large-cap

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FPI RATING

7.4/ 10

High-quality fundamentals and low debt levels, but volatile earnings pattern and weak profitability margins.

Analytical data, not an investment recommendation. Updated daily.

How we calculate this ↗

MARGIN OF SAFETY

A 20% margin of safety below fair value — the conservative entry level for risk-aware investors.

$3.10CONSERVATIVE ENTRY
$3.88FAIR PRICE
$3.40MARKET PRICE

SAFETY MARGIN

20%

Below fair value

ENTRY LEVEL

$3.10

Fair price × 0.80

DISTANCE

8.7%

Price to entry level

At the current price of $3.40, CIG-C trades 8.7% above the conservative entry level of $3.10. This entry level represents a 20% margin of safety below the calculated fair price of $3.88 — a buffer that accounts for estimation uncertainty in the valuation model.

Margin of safety is a risk management concept, not an investment recommendation. The 20% threshold follows Benjamin Graham's value investing framework. Fair price and entry levels are model-based estimates updated daily. Learn more about Margin of Safety ↗

VALUATION HISTORY

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P/E RATIO HISTORY

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METHODOLOGY

How we calculate CIG-C's fair price

Companhia Energética de Minas Gerais's fair price of $3.88 is derived from a blended model that combines DCF analysis (50%), relative valuation against Utilities peers using metrics like P/E and EV/EBITDA (30%), and analyst consensus (20%). At the current market price of $3.40, CIG-C trades 14.1% below its calculated fair value.

DCF MODEL · 50%

Discounted free cash flow analysis based on projected cash flows, discounted at a rate reflecting CIG-C's risk profile.

RELATIVE · 30%

Comparing CIG-C's valuation multiples against Utilities peers to determine if the stock is over or undervalued relative to its industry.

ANALYST · 20%

Aggregated analyst price targets for CIG-C, weighted by recency and analyst accuracy.

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Want to test your own assumptions? Use our free calculators to estimate CIG-C's fair value with your own inputs.

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FAQ

What is the fair price of CIG-C?+

Based on our blended model combining DCF analysis (50%), relative valuation against Utilities peers (30%), and analyst consensus (20%), the fair price for Companhia Energética de Minas Gerais is $3.88. At the current market price of $3.40, CIG-C trades 14.1% below its calculated fair value.

Is CIG-C overvalued or undervalued?+

Companhia Energética de Minas Gerais is currently undervalued based on our valuation model. The stock trades at $3.40, which is 14.1% below the fair price of $3.88. The P/E ratio of 9.6x is a key metric in the valuation.

What is the margin of safety for CIG-C?+

With a 20% margin of safety applied to the fair price of $3.88, the conservative entry level for CIG-C is $3.10. At the current market price of $3.40, the stock trades 8.7% above this entry level. Margin of safety is a risk management concept from Benjamin Graham's value investing framework, not an investment recommendation.

How often is CIG-C's fair price updated?+

We update fair price calculations for CIG-C daily after market close. The current fair price of $3.88 incorporates the latest market data and sector multiples.

What factors affect CIG-C's fair price calculation?+

CIG-C's fair price of $3.88 is derived from DCF analysis (50% weight), relative valuation against Utilities peers (30% weight), and analyst consensus (20% weight). Key metrics include P/E of 9.6x, ROE of 17.3%.

Is CIG-C a good buy right now?+

At $3.40, CIG-C trades 14.1% below our fair value estimate of $3.88. The stock is currently undervalued. ROE stands at 17.3% (strong). Fair Price Index provides valuation data — always do your own research before investing.

Does CIG-C pay dividends?+

CIG-C does not currently pay a dividend.

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Fair Price Index is for informational purposes only and does not constitute investment advice. Fair value calculations are model-based estimates and may not reflect actual market conditions. Always conduct your own research before making investment decisions.