Terna - Rete Elettrica Nazionale Società per Azioni (TERRF)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Terna - Rete Elettrica Nazionale Società per Azioni (TERRF) trades at $12.60 with AI Score 56/100 (Grade B). Terna S. p. A. Market cap: $25.27B, Sector: Utilities.
Price live · AI analysis from Mar 16, 2026Analyst Coverage for TERRF: TERRF does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates TERRF against Utilities peers across nine fundamental dimensions and assigns a mixed fundamental profile based on the underlying data.
TERRF: 1/4 perspectives are bearish. Dominant signal: Seth Klarman bearish.
How is this calculated? →Terna - Rete Elettrica Nazionale Società per Azioni (TERRF) Utility Operations & Dividend Profile
Terna S.p.A., a regulated electric utility based in Italy, manages the national transmission grid, playing a crucial role in electricity infrastructure. With a strong market capitalization and a focus on grid modernization, Terna facilitates energy transmission across Italy and Europe, boasting a solid dividend yield and profitability.
What Is the Investment Thesis for TERRF?
Terna presents a compelling investment case due to its strategic role in Italy's electricity infrastructure and its expansion into international markets. With a market capitalization of $25.27B and a P/E ratio of 18.7, Terna demonstrates financial stability. The company's high profit margin of 38.5% and gross margin of 60.5% indicate efficient operations. A dividend yield of 3.95% offers investors a steady income stream. Growth catalysts include investments in grid modernization and renewable energy projects. However, potential risks include regulatory changes and economic downturns in Italy and Europe. Terna's beta of 0.65 suggests lower volatility compared to the overall market.
Based on FMP financials and quantitative analysis
TERRF Key Highlights
- Market capitalization of $25.27B, reflecting substantial investor confidence.
- P/E ratio of 18.7, indicating a reasonable valuation relative to earnings.
- Profit margin of 38.5%, showcasing strong profitability in the regulated electric sector.
- Gross margin of 60.5%, highlighting efficient operations and cost management.
- Dividend yield of 3.95%, providing a steady income stream for investors.
Who Are TERRF's Competitors?
TERRF is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| CKISF CK Infrastructure Holdings Limited | $8.60 | +0.00% | $21.67B | 45 |
| CKISY CK Infrastructure Holdings Limited | $43.70 | +0.46% | $22.02B | 45 |
| CLPHF CLP Holdings Limited | $9.28 | +2.77% | $23.44B | — |
| CLPHY CLP Holdings Limited | $9.56 | +2.03% | $24.15B | 45 |
| CZAVF CEZ, a. s. | $54.95 | +0.00% | $29.50B | 43 |
| CNLPM The Connecticut Light and Power Company | $32.99 | +1.29% | $315.00M | 72 |
| CNTHP The Connecticut Light and Power Company | $52.70 | +0.55% | $318.06M | 69 |
| CNLHP The Connecticut Light and Power Company | $36.95 | +0.00% | $223.00M | 68 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are TERRF's Key Strengths?
- Dominant position in the Italian electricity transmission market.
- High profit and gross margins.
- Stable dividend yield.
- Extensive infrastructure network.
What Are TERRF's Weaknesses?
- Exposure to regulatory risks in Italy.
- Dependence on government policies and energy targets.
- Limited geographic diversification.
- Potential for disruptions from technological changes.
What Could Drive TERRF Stock Higher?
- Investments in grid modernization to enhance efficiency and reliability.
- Integration of renewable energy sources into the grid.
- Expansion into new international markets.
- Development of private interconnector projects to connect with other European countries.
- Implementation of smart grid technologies to improve grid management.
What Are the Key Risks for TERRF?
- Financial-distress signal — its Altman Z-Score of 1.01 sits in the distress zone (elevated bankruptcy risk).
- Regulatory changes in Italy affecting electricity transmission tariffs.
- Economic downturns in Italy and Europe impacting electricity demand.
- Cybersecurity threats to the electricity transmission grid.
- Delays in infrastructure development projects.
- Competition from other grid operators in international markets.
What Are the Growth Opportunities for TERRF?
- Grid Modernization: Terna is investing heavily in modernizing its transmission grid to improve efficiency and reliability. This includes upgrading existing infrastructure and deploying smart grid technologies. The European Union's focus on energy transition and the integration of renewable energy sources is driving demand for grid modernization. The market for smart grid technologies is expected to reach $61.3 billion by 2028, offering significant growth potential for Terna.
- Renewable Energy Integration: As Italy increases its reliance on renewable energy sources, Terna plays a crucial role in integrating these sources into the grid. This involves developing new transmission infrastructure and implementing advanced grid management systems. The Italian government's commitment to renewable energy targets and the EU's Green Deal are driving investments in renewable energy integration. This represents a substantial growth opportunity for Terna.
- International Expansion: Terna is expanding its operations into other countries, particularly in Europe and South America. This includes developing new transmission infrastructure projects and providing consulting services to other grid operators. The global market for electricity transmission infrastructure is expected to grow significantly in the coming years, driven by increasing demand for electricity and the need for grid interconnections. This provides Terna with opportunities to diversify its revenue streams and expand its geographic footprint.
- Non-Regulated Services: Terna is expanding its non-regulated services, such as telecommunications, energy solutions, and manufacturing of power transformers and cables. These services offer higher margins and are less subject to regulatory constraints. The market for these services is growing, driven by increasing demand for energy efficiency and grid reliability. This provides Terna with opportunities to increase its profitability and reduce its reliance on regulated activities.
- Private Interconnector Projects: Terna is undertaking private interconnector projects to connect the Italian grid with other European countries. These projects increase the security and reliability of the Italian grid and facilitate the exchange of electricity with neighboring countries. The European Union is promoting the development of interconnector projects to create a more integrated and resilient energy market. This represents a strategic growth opportunity for Terna.
What Opportunities Does TERRF Have?
- Expansion into international markets.
- Investments in grid modernization and smart grid technologies.
- Integration of renewable energy sources.
- Development of private interconnector projects.
What Threats Does TERRF Face?
- Economic downturns in Italy and Europe.
- Changes in government regulations and energy policies.
- Competition from other grid operators.
- Cybersecurity threats to critical infrastructure.
What Are TERRF's Competitive Advantages?
- Monopoly position as the primary transmission system operator in Italy.
- Extensive network of high-voltage transmission lines.
- Strong relationships with government regulators and industry stakeholders.
- Technical expertise in grid management and infrastructure development.
What Does TERRF Do?
Founded in 1999 and headquartered in Rome, Italy, Terna - Rete Elettrica Nazionale Società per Azioni has evolved into Italy's primary electricity transmission system operator. The company is responsible for the planning, development, operation, and maintenance of the Italian high-voltage electricity transmission grid. Terna operates through three segments: Regulated, Non-Regulated, and International. The Regulated segment focuses on the core business of electricity transmission and dispatching in Italy. The Non-Regulated segment includes activities such as telecommunications services, energy solutions, and the manufacturing of power transformers and cables. The International segment involves developing and managing electricity infrastructure projects in other countries. Terna's infrastructure is critical for ensuring the secure and efficient flow of electricity throughout Italy and for connecting the Italian grid with the broader European network. The company also invests in renewable energy projects and private interconnector projects, further solidifying its position in the energy sector.
What Products and Services Does TERRF Offer?
- Manages Italy's national high-voltage electricity transmission grid.
- Ensures the secure and efficient flow of electricity across Italy.
- Connects the Italian grid with the European electricity network.
- Plans, develops, and maintains electricity infrastructure.
- Offers telecommunications systems and equipment.
- Provides energy solutions and operation and maintenance services.
- Manufactures power transformers and cables.
How Does TERRF Make Money?
- Generates revenue from regulated electricity transmission activities.
- Earns fees for dispatching electricity across the grid.
- Provides telecommunications and energy solutions to customers.
- Manufactures and sells power transformers and cables.
What Industry Does TERRF Operate In?
Terna operates within the regulated electric utility industry, which is characterized by stable demand and significant infrastructure investments. The industry is undergoing a transformation driven by the increasing integration of renewable energy sources and the need for grid modernization. Terna's position as the primary transmission system operator in Italy gives it a significant competitive advantage. Competitors include other European transmission system operators and companies involved in energy infrastructure development. The market is influenced by government regulations, energy policies, and technological advancements in grid management and renewable energy integration.
Who Are TERRF's Key Customers?
- Electricity generators (e.g., power plants).
- Electricity distributors.
- Industrial customers.
- Other grid operators.
- Telecommunications companies.
How Terna - Rete Elettrica Nazionale Società per Azioni Is Valued
Terna - Rete Elettrica Nazionale Società per Azioni carries a market capitalization of $25.27B, placing it in the large-cap category. Relative to its peer group, TERRF's quantitative score of 56/100 is above the peer average of 45/100.
Company Profile
Terna - Rete Elettrica Nazionale Società per Azioni operates in the Regulated Electric industry within the Utilities sector. It is headquartered in Rome, IT. The company is led by CEO Giuseppina Di Foggia. TERRF has traded publicly since 2013.
ROE 15%Key Financial Metrics
Return on equity for Terna - Rete Elettrica Nazionale Società per Azioni stands at 14.6%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 3.7%, showing how much profit it generates from its asset base. TERRF trades at a trailing price-to-earnings ratio of 18.74, below the Utilities sector average of ~28x. Its free cash flow yield is -1.5%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.92 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 5.4%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 5/9Financial Health
Terna - Rete Elettrica Nazionale Società per Azioni's Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.01 places it in the distress zone, a signal of elevated financial risk.
FY2026 estForward Outlook
Wall Street analysts project Terna - Rete Elettrica Nazionale Società per Azioni revenue of about $4.29B for fiscal 2026, with EPS near $0.53. The estimate reflects 18 contributing analysts.
TERRF Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Dominant position in the Italian electricity transmission market.
- High profit and gross margins.
- Stable dividend yield.
- Extensive infrastructure network.
Bear Case
- Exposure to regulatory risks in Italy.
- Dependence on government policies and energy targets.
- Limited geographic diversification.
- Potential for disruptions from technological changes.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · July 2026
TERRF Latest News
No recent news available for TERRF.
TERRF Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for TERRF.
Price Targets
Wall Street price target analysis for TERRF.
TERRF MoonshotScore
What does this score mean?
The MoonshotScore rates TERRF's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Giuseppina Di Foggia
Chief Executive Officer
Giuseppina Di Foggia has a strong background in the energy sector, with extensive experience in management and strategic planning. She has held various leadership positions in prominent energy companies, demonstrating her expertise in navigating complex regulatory environments and driving business growth. Her career includes roles focused on infrastructure development, energy transition, and sustainable solutions. She is known for her strategic vision and commitment to innovation within the energy industry.
Track Record: Since assuming the role of CEO, Giuseppina Di Foggia has focused on strengthening Terna's position in the energy transition, emphasizing grid modernization and the integration of renewable energy sources. Under her leadership, Terna has expanded its international presence and invested in innovative technologies to enhance grid reliability and efficiency. She has also prioritized sustainability initiatives, aligning the company's operations with environmental goals and promoting responsible energy practices.
TERRF OTC Market Information
The OTC Other tier represents the lowest tier of the OTC market, indicating that the company may not meet the minimum financial standards or reporting requirements of higher tiers like OTCQX or OTCQB. Companies on this tier may have limited information available, and there may be concerns about their financial viability or regulatory compliance compared to companies listed on major exchanges like the NYSE or NASDAQ. Investors should exercise caution and conduct thorough due diligence before investing in companies on the OTC Other tier.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited information availability due to the OTC Other tier status.
- Potential for price volatility due to low trading volume.
- Higher risk of fraud or manipulation compared to major exchanges.
- Uncertainty regarding the company's financial health and reporting practices.
- Regulatory risks associated with operating on the OTC market.
- Verify the company's registration and legal standing.
- Attempt to locate and review any available financial statements.
- Research the company's management team and their track record.
- Assess the company's business model and competitive landscape.
- Understand the risks associated with investing in OTC stocks.
- Consult with a financial advisor before making any investment decisions.
- The company is a major utility operator in Italy.
- Terna is a well-established company with a long operating history.
- The company is subject to regulatory oversight in Italy.
- Terna has a significant market capitalization, suggesting substantial operations.
What Investors Ask About Terna - Rete Elettrica Nazionale Società per Azioni (TERRF) — Utilities
What does Terna - Rete Elettrica Nazionale Società per Azioni do?
Terna S.p.A. is the primary electricity transmission system operator (TSO) in Italy, responsible for managing and maintaining the national high-voltage electricity grid. The company ensures the secure and efficient flow of electricity across Italy and connects the Italian grid with the broader European network. Terna's activities include planning, developing, operating, and maintaining electricity infrastructure, as well as offering telecommunications and energy solutions. The company plays a crucial role in integrating renewable energy sources into the grid and promoting energy efficiency.
What do analysts say about TERRF stock?
Analyst coverage of TERRF is limited due to its OTC listing. However, considering Terna's position as the primary TSO in Italy, analysts generally view the company as a stable, regulated utility with long-term growth potential. Key valuation metrics include the P/E ratio and dividend yield, which are often compared to those of other European utilities. Growth considerations include investments in grid modernization, renewable energy integration, and international expansion. It is important to note that analyst opinions may vary and should be considered alongside other factors when making investment decisions.
What are the main risks for TERRF?
The main risks for TERRF include regulatory changes in Italy, which could impact electricity transmission tariffs and profitability. Economic downturns in Italy and Europe could reduce electricity demand and revenue. Cybersecurity threats pose a risk to the electricity transmission grid, potentially disrupting operations. Delays in infrastructure development projects could also negatively affect the company's growth prospects. Additionally, competition from other grid operators in international markets could limit Terna's expansion opportunities. These risks should be carefully considered by investors.
What are the key factors to evaluate for TERRF?
Terna - Rete Elettrica Nazionale Società per Azioni (TERRF) holds an AI score of 56/100 (moderate). P/E: 18.7x vs the S&P 500's ~20-25x. Not financial advice.
How frequently does TERRF data refresh on this page?
TERRF prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven TERRF's recent stock price performance?
Terna - Rete Elettrica Nazionale Società per Azioni (TERRF) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Dominant position in the Italian electricity transmission market. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider TERRF overvalued or undervalued right now?
Terna - Rete Elettrica Nazionale Società per Azioni (TERRF) trades at 18.7x earnings. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying TERRF?
Before investing in Terna - Rete Elettrica Nazionale Società per Azioni (TERRF), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- OTC market data may be less reliable than major exchange data.
- Analyst coverage may be limited due to the OTC listing.