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Engie (ENXTPA:ENGI) drew fresh attention after NTT DATA announced a long term partnership focused on renewable power and low carbon energy solutions for its expanding global data center and AI infrastructure.
See our latest analysis for Engie.
The NTT DATA partnership comes at a time when Engie’s share price has eased in the short term, with the stock down over the past week and quarter. However, this is alongside a positive year to date share price return and strong multi year total shareholder returns, which indicate that momentum has been building over a longer horizon.
If this AI driven energy deal has caught your attention, it could be a good moment to widen your watchlist with data center and grid enablers using our 34 power grid technology and infrastructure stocks
Engie appears to be a solid utility heavyweight with a diverse range of low carbon businesses and new AI-linked demand supporting its position. After the recent share price pullback and a period of strong multi-year returns, how is the stock actually priced today?
Most Popular Narrative: 15% Undervalued
Engie’s latest fair value narrative sits at €30.54 per share, compared with the last close of €25.97. That gap is built on a detailed view of long term renewables and storage growth, backed by specific earnings and margin assumptions.
Strategic expansion in renewables and energy storage highlighted by nearly 53 GW of installed renewables/BESS capacity and a 118 GW development pipeline diversified across multiple geographies positions Engie to capture an outsized share of the multi decade shift to clean energy, supporting sustainable top-line and earnings growth.
Want to see how this renewables build out feeds into Engie’s valuation story? The narrative is based on steady revenue expansion, firmer margins and a future earnings profile that is expected to support its target multiple. The full breakdown connects those moving parts into one pricing roadmap.
Result: Fair Value of €30.54 (UNDERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, Engie’s story still carries real execution risk around large renewables and hydrogen projects, and revenue sensitivity to energy market normalization and weather could quickly challenge this valuation case.
Find out about the key risks to this Engie narrative.
Another View on Engie’s Valuation
The earlier fair value of €30.54 for Engie is built from analyst earnings and margin assumptions. A separate SWS DCF model that focuses purely on future cash flows arrives at a value of €13.89 per share, which would frame the current €25.97 price as expensive rather than cheap.
This gap between earnings based fair value and our DCF model raises a simple question: which set of assumptions do you think best fits how Engie will actually generate cash over time, and which one will you lean on when sizing any position?
Look into how the SWS DCF model arrives at its fair value.
ENGI Discounted Cash Flow as at Jul 2026
Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Engie for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 250 high quality undervalued stocks. If you save a screener we even alert you when new companies match – so you never miss a potential opportunity.
Next Steps
If this mix of potential upside and risk around Engie has you thinking, it makes sense to move quickly. Review the underlying data and form your own view with the 2 key rewards and 2 important warning signs
Looking for more Engie style investment ideas?
If Engie has sharpened your focus, do not stop here. The next strong addition to your watchlist could be sitting in one of these curated stock lists.
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 ENGI.PA.
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