Overview
Tenaga Nasional is one of Malaysia’s major electricity businesses, spanning power generation, transmission and distribution. Its regulated-utility exposure gives the company a central role in the energy system, while its generation assets and related businesses leave earnings sensitive to costs, regulation and investment needs. The supplied figures show revenue growth of 15.40%, alongside a 6.69% profit margin.
Tenaga Nasional is a large Malaysian electricity utility, with a market capitalisation of MYR 75.2 billion. It generates, transmits and distributes electricity, and operates and maintains power plants and the National Grid. Its broader activities include energy services, district cooling, electrical equipment and infrastructure work. While Malaysia is its core market, the business also has operations and activities in the United Kingdom, Kuwait, Ireland, Australia and elsewhere, extending its reach beyond a single domestic utility market.
Key facts
- Ticker
- 5347
- Exchange
- KLSE
- ISIN
- MYL5347OO009
- Sector
- Utilities
- Industry
- Utilities – Regulated Electric
- Country
- Malaysia
- Currency
- MYR
- Market cap
- 75.2B
- 52W low
- MYR 12.02
- 52W high
- MYR 14.62
Price and trend
- 52W range
- MYR 12.02 – MYR 14.62
- 50-day SMA
- MYR 13.91
- 200-day SMA
- MYR 14.14
Valuation
- P/E
- 16.75
- PEG
- 1.11
- EPS
- 0.77
- Dividend yield
- 4.08%
- Beta
- 0.31
Tenaga Nasional is valued at 16.75 times earnings, with a PEG ratio of 1.11. These figures offer context for the share’s valuation but need to be weighed against earnings quality, growth and the capital demands of a utility business. The supplied dividend yield is 4.08%, although dividend payments and yield can change.
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Profitability and growth
- Revenue growth
- 15.40%
- Revenue TTM
- 67.9B
- Profit margin
- 6.69%
Analyst view
- Target price
- MYR 15.88
The business combines a core electricity network and generation operation with a range of related energy and infrastructure activities. Supplied revenue growth of 15.40% points to expansion, while the 6.69% profit margin provides an important counterpoint on how that growth translates into earnings. Its scale and essential-service role are balanced by exposure to regulation, costs and ongoing infrastructure requirements.
Risks
Tenaga Nasional’s scale and essential electricity role do not remove exposure to regulation, fuel and operating costs, changing power demand, or the substantial upkeep and investment needs of generation and grid infrastructure. International operations add exposure to conditions across several markets. The 6.69% profit margin also shows why revenue growth should be considered alongside profitability and costs.
FAQ
What does Tenaga Nasional do?
Tenaga Nasional generates, transmits and distributes electricity, primarily serving customers in Malaysia. Its activities also include power and energy services, infrastructure and electricity-related operations in several other countries.
How has Tenaga Nasional’s revenue been growing?
The supplied figures show revenue of MYR 67.9 billion and revenue growth of 15.40%. Growth is a useful measure of business momentum, but it does not by itself show how much additional revenue is retained as profit.
What is Tenaga Nasional’s dividend profile?
The supplied dividend yield is 4.08%, with a dividend per share of MYR 0.53. Dividends can change, and the yield may vary with the share price.
What are the main risks to consider?
Tenaga Nasional’s results may be affected by electricity demand, operating and fuel costs, regulation, and the investment required to maintain and develop power infrastructure. Its operations across multiple markets also add exposure to differing business conditions.
*This content is aimed to provide general information only, and does not take your personal objectives, financial situation or needs into account.
