Empresa Distribuidora y Comercializadora Norte SA ADR logo

Empresa Distribuidora y Comercializadora Norte SA ADR(EDN)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL
1-STAR RATING
PASS
LAST CLOSE
$23.9
09/15/2026
(24-hour delay)

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Upturn Advisory & Investor View for EDN

09/15/2026: EDN (1-star) is currently NOT-A-BUY. Pass it for now.

Empresa Distribuidora y Comercializadora Norte (EDN) is a major electricity distribution utility operating in the Buenos Aires metropolitan area of Argentina. The company's primary strength lies in its role as an essential provider with a captive customer base. Its main investment story is tied to potential tariff normalization and economic stabilization within Argentina, which could drive value. However, the company faces significant risks from regulatory price controls, macroeconomic instability, and inflation. This stock is best suited for experienced investors with a high tolerance for emerging market volatility who closely monitor regulatory developments in the energy sector.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorWeak fitThe company's growth is constrained by regulatory limits on tariffs and broader macroeconomic challenges in Argentina.
Momentum investorMixed fitThis style is conditional on positive political or regulatory developments that trigger significant short-term price appreciation.
Value investorMixed fitWhile assets may be priced low relative to replacement value, the regulatory and macro risks make valuation assessment complex.
Dividend investorWeak fitDividend consistency is low due to regulatory and financial constraints inherent in the Argentine utility sector.
Low-risk investorWeak fitThe company is subject to high levels of country risk, currency volatility, and regulatory uncertainty.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityHighThe stock price is extremely sensitive to changes in Argentine political, economic, and regulatory policies.
Valuation riskMedium / highValuations are difficult to anchor due to the impact of hyperinflation and non-standard accounting adjustments.
Competition risk (Regulatory)MediumWhile there is no product competition, the company faces high risks regarding regulatory decisions that favor end-user affordability.
Business qualityMediumThe operational quality is high in terms of infrastructure, but financial quality is often hampered by the macro environment.
Dividend incomeLowDividends are not a reliable source of income for investors.
Execution riskMedium / highThe company must navigate complex, changing regulatory frameworks to maintain financial health.

Price Behavior

Downtrend
PRICE PATH

Downtrend

The stock has experienced a sustained decline in price over recent periods.

Moderately Choppy
PRICE STABILITY

Moderately Choppy

The stock has experienced noticeable price swings while retaining some directional structure.

Analysis of Past Performance

Type Stock
Historic Profit 56.07%
Avg. Invested days 30
Today’s Advisory PASS
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 3.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/15/2026

Upturn Scorecard

Upturn Star Rating

EDN receives a 3-star rating, supported by solid analyst coverage. The rating is constrained by weak unit economics, and weak price momentum.

Company Fundamentals

EDN has moderate overall fundamentals (3 stars), with moderate financial health, moderate growth momentum, and soft ownership. In FY2025 versus FY2024, solid revenue growth (+11.3%) is partially offset by negative earnings growth (-33.2%), soft cash generation (FCF margin -5.9%), soft profitability (net margin 8.0%).

Financial Health Rating

EDN's financial health is supported by solid cash strength, including free-cash-flow generation of $-176.4B (-5.9% of revenue). Profitability is moderate (3 stars), which helps explain the 3-star overall score.

Growth Momentum Score

Revenue growth is EDN's strongest growth driver at +11.3% FY2025 versus FY2024 (solid, 4 stars). By comparison, while earnings growth (-33.2%, negative) and free-cash-flow growth (-17.6%, negative) hold the profile back, so recent growth is not broad-based across the business.

Ownership

Institutional ownership is 9.0% and approximately 41.0% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership is only 0.00%, which materially reduces the ownership score.

Top 5 Institutional Investors

Helikon Investments Ltd 1.39%
MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. 1.13%
Ping Capital Management, Inc. 0.54%
Morgan Stanley - Brokerage Accounts 0.36%
Wexford Capital LP 0.19%

Unit Economics (Per $1K Revenue)

EDN generates approximately $228 of gross profit, $50 of operating income, and $-59 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

Effective Tax Rate: 17.88%

Quantitative Style Profile

EDN has a relatively low-volatility profile. Weak momentum is the primary drawback.

Style Classification

Quality Focused

Value-OrientedLow VolatilitySmall / Mid Cap RiskShort Squeeze Risk

Key Highlights

Company Size Small-Cap Stock
Market Capitalization 1.16B USD
Price to earnings Ratio 7.48
1Y Target Price 38.5
Price to earnings Ratio 7.48
1Y Target Price 38.5
Volume (30-day avg) 89.1K shares
Beta -0.1
52 Weeks Range 14.38 - 36.70
Updated Date 09/15/2026
52 Weeks Range 14.38 - 36.70
Updated Date 09/15/2026
Dividends yield (FY) -
Basic EPS (TTM) 3.26

How Company Makes Money

Business areaWhat it includesRetail investor read
Electricity DistributionRevenue generated from transporting and distributing electricity to residential and commercial customers within the northern BA concession.The company makes money by acting as the local utility pipeline, with rates heavily regulated by the government.
Geography (Argentina)Focus on the metropolitan Buenos Aires area.Performance is tied directly to the economic health and regulatory climate of Argentina.
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Valuation

Trailing PE 7.48
Forward PE 8.75
Enterprise Value 1.37B
Price to Sales(TTM) -
Enterprise Value 1.37B
Price to Sales(TTM) -
Enterprise Value to Revenue 0.69
Enterprise Value to EBITDA 2.74
Shares Outstanding 20.59M
Shares Floating 8.43M
Shares Outstanding 20.59M
Shares Floating 8.43M
Percent Insiders -
Percent Institutions 9.04

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Empresa Distribuidora y Comercializadora Norte SA ADR

Exchange NYSE
Headquarters -
IPO Launch date 2007-04-26
Chairman & CEO Mr. Daniel Marx
Sector Utilities
Industry Utilities - Regulated Electric
Full time employees 4576
Full time employees 4576

Empresa Distribuidora y Comercializadora Norte Sociedad Anónima engages in the distribution and sale of electricity in Argentina. The company operates an electrical power distribution system that consists of 85 transformation substations and interconnections with high voltage customers with 20,295 MVA of installed power and 1,594 km of high voltage networks; and MV/LV and MV/MV distribution system comprises 19,845 transformers with 10,137 MVA of installed power, 12,732 km of medium voltage networks, and 28,590 km of low voltage networks. It serves approximately 3.39 million customers. The company was formerly known as Empresa Distribuidora Norte Sociedad Anónima and changed its name to Empresa Distribuidora y Comercializadora Norte Sociedad Anónima in January 1997. The company was founded in 1992 and is based in Buenos Aires, Argentina. Empresa Distribuidora y Comercializadora Norte Sociedad Anónima operates as a subsidiary of Empresa de Energía del Cono Sur S.A.