Enagas: Dividend optionality and affiliates reorganization

Research evidence excerpt

Enagas: Dividend optionality and affiliates reorganization

23 July 2026

Jorge Alonso Suils

+34 915 893 913

European Utilities & Clean Energy jorge.alonso@bernsteinsg.com

Ken-Ree ChoongEnagas +44 20 7676 8243

Rating ken-ree.choong@bernsteinsg.com

Outperform Bartlomiej Kubicki

+49 69 717 4418

Price Target bartlomiej.kubicki@bernsteinsg.com

ENG.SQ 18.90 EUR (18.50 OLD) Specialist Sales

Gareth Williams

+44 20 7762 5256

gareth.b.williams@bernsteinsg.com

Enagas 1H26 results confirmed guidance and acquired 20% in Saggas. Results were Close Date 22 Jul 2026

ahead of expectations on higher income for other activities and lower costs (although impacted

ENG.SQ Close Price (EUR) 17.45

by calendar effect). The tax rate was lower and €9.5m of capital gains were accounted.

Price Target (EUR) 18.90

Guidance for 2026 was confirmed.

Upside/(Downside) 8%

The delay in green hydrogen provides room for a dividend increase. If investment in green 52-Week Range 17.94/13.00

hydrogen infrastructure is pushed back by several years beyond 2030, we believe there would EDME 1,605.29

be meaningful headroom to enhance the dividend policy. Under such a scenario, the company FYE Dec

could sustain either a one-off ~30% increase in DPS (to ~€1.3) or annual DPS growth of around Div Yield 5.7%

5%, without compromising the balance sheet. The key determinant, however, remains the Market Cap (EUR) (M) 4,572

visibility and timing of future green hydrogen capex commitments. EV (EUR) (M) 7,228

Performance YTD 1M 6M 12M

Affiliates reorganization would be a positive catalyst. A potential deal could see Enagas Absolute (%) 32.7 (2.2) 27.5 28.7

acquire Snam's 40.5% stake in Teréga, gaining full control of the asset, while transferring its EDME (%) 9.2 1.8 6.4 17.9

stakes in DESFA (13.2%) and TAP (20%) to Snam.