Stock Analysis & Valuation MINT S.a. (ALBUD.PA)

• Previous Close: €3.58
• Sector Valuation Confidence Level: High

Valuation method	Value, €	Upside, %
Artificial intelligence (AI)	n/a	n/a
Intrinsic value (DCF)		n/a
Graham-Dodd Method		n/a
Graham Formula		n/a

Strategic Investment Analysis

Company Overview

MINT SA (ALBUD.PA) is a French renewable electricity provider headquartered in Montpellier, France. Formerly known as Budget Telecom S.A., the company rebranded to MINT SA in January 2020, reflecting its shift toward sustainable energy solutions. Operating under the parent company Mercure Energie, MINT SA specializes in delivering renewable electricity, positioning itself in the growing green energy sector within France. With a market capitalization of approximately €21.1 million and revenue of €156.99 million in FY 2022, MINT SA plays a niche role in France's transition to cleaner energy. The company’s financials indicate a net income of €3.96 million and diluted EPS of €0.67, showcasing profitability despite its relatively small scale. MINT SA’s zero dividend policy suggests reinvestment into growth initiatives, aligning with the broader industry trend of capitalizing on renewable energy expansion. As part of the Communication Services sector, MINT SA stands out for its focus on sustainability, differentiating itself from traditional telecom providers.

Investment Summary

MINT SA presents a mixed investment profile. On the positive side, the company operates in the high-growth renewable energy sector, benefiting from France’s push toward sustainability. Its profitability (net income of €3.96 million in FY 2022) and strong cash position (€62.38 million) provide financial stability. However, the company’s small market cap (~€21.1 million) and beta of 1.107 indicate higher volatility and limited liquidity, which may deter risk-averse investors. The lack of dividends suggests capital is being retained for expansion, but the absence of reported operating cash flow and capital expenditures raises questions about cash management. Investors bullish on renewable energy in Europe may find MINT SA an intriguing micro-cap play, but its niche focus and limited scale relative to industry giants pose risks.

Competitive Analysis

MINT SA’s competitive positioning hinges on its specialization in renewable electricity within France, differentiating it from traditional telecom and broader utility players. The company’s rebranding from Budget Telecom to MINT SA reflects a strategic pivot toward sustainability, capitalizing on regulatory tailwinds favoring green energy. However, its small scale (€156.99 million revenue) limits its ability to compete with vertically integrated energy giants. MINT SA’s subsidiary status under Mercure Energie provides some operational backing but may also constrain independent growth opportunities. The company’s lack of disclosed operating cash flow and capex makes it difficult to assess its reinvestment efficiency compared to peers. Its competitive advantage lies in its focused renewable energy offering, but this niche may also expose it to higher volatility if policy or market conditions shift. Given its modest market share, MINT SA likely competes on regional agility rather than pricing or infrastructure breadth.

Major Competitors

• Engie SA (ENGI.PA): Engie is a French multinational utility giant with a strong focus on renewable energy, making it a direct competitor to MINT SA. Engie’s vast scale (€93.9 billion revenue in 2022) and diversified energy portfolio give it significant pricing power and infrastructure advantages. However, its size may limit agility in niche markets where MINT operates. Engie’s global reach also exposes it to geopolitical risks, unlike MINT’s France-centric model.
• Electricité de France SA (EDF.PA): EDF is a state-backed French energy behemoth, dominating the country’s electricity market. Its nuclear and renewable assets dwarf MINT SA’s operations, but EDF’s reliance on nuclear power creates regulatory and cost challenges. MINT’s pure-play renewable focus could appeal to ESG-focused investors, though EDF’s state support provides unmatched stability.
• Neoen SA (NEOEN.PA): Neoen is an independent French renewable energy producer with a strong international presence (€460.2 million revenue in 2022). Unlike MINT, Neoen owns and operates large-scale wind, solar, and storage projects, giving it asset-backed revenue streams. MINT’s smaller scale may allow for faster adaptation in local markets, but Neoen’s project pipeline is far more robust.
• Orsted A/S (ORA.PA): Orsted is a global leader in offshore wind energy, with limited overlap in MINT’s onshore renewable focus. Orsted’s technological expertise and economies of scale make it a formidable player, but its primary markets (Northern Europe, US) reduce direct competition with MINT in France. Orsted’s higher capex requirements also create different risk profiles.