Should I Buy ELPC? ELPC 2026 Analysis

Should You Buy Companhia Paranaense de Energia (ELPC) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

10.320

1 Day change

1.57%

52 Week Range

10.630

Analysis Updated At

2026/02/04

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Not a good buy right now for an impatient buyer: the near-term statistical edge points slightly down (next day/week negative bias) and momentum is fading.
Upside to the lone analyst target is limited (~$10.40 vs $10.05), while recent profitability deterioration makes the risk/reward less attractive for a quick entry.
Intellectia Proprietary Trading Signals
- AI Stock Picker: no signal on given stock today.
- SwingMax: No signal on given stock recently.

Technical Analysis

Trend/MAs: Bullish structure with SMA_5 > SMA_20 > SMA_200, indicating the broader trend is still constructive.
Momentum: MACD histogram is positive (0.0414) but contracting, suggesting upside momentum is weakening rather than accelerating.
RSI: RSI_6 at 47.2 is neutral—no oversold bounce signal and no strong bullish momentum.
Levels: Pivot 10.22 is the key reclaim level; support at S1 9.899 (then S2 9.701). Resistance at R1 10.541 (then R2 10.739).
Price action context: Down ~3.9% today and also weaker pre-market, consistent with a short-term pullback within a longer uptrend.

Positive Catalysts

- Analyst initiation: Goldman Sachs started coverage with a Buy and $10.40 target, citing improved shareholder remuneration plus selective growth opportunities.
- Revenue growth: 2025/Q3 revenue up +20.89% YoY supports top-line momentum.
- Technical backdrop: Long-term moving averages remain bullish, which can help support rebounds if price holds near ~9.90.

Neutral/Negative Catalysts

- Profitability deterioration: 2025/Q3 net income down -67.93% YoY and EPS down -71.43% YoY; margins also declined.
- Momentum cooling: Positive but contracting MACD plus a sharp down day signals weakening demand.
- Limited near-term edge: Pattern-based outlook indicates a modest negative drift over the next day/week.
- No near-term news catalysts reported in the last week to reverse sentiment quickly.

Financial Performance

Latest quarter: 2025/Q3.
Revenue: 1,250,345,848.91 (+20.89% YoY) — strong top-line growth.
Net income: 70,532,652.84 (-67.93% YoY) — major earnings compression.
EPS: 0.02 (-71.43% YoY) — confirms earnings weakness.
Gross margin: 18.53 (down -8.31% YoY) — profitability trend is negative despite revenue growth.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Recent rating/target change: On 2026-01-28, Goldman Sachs initiated coverage with Buy and a $10.40 price target.
Wall Street pro view (pros): Expectation of higher shareholder remuneration and selective value-accretive growth.
Wall Street pro view (cons): Current price is already close to the target, and the latest quarter shows sharp earnings and margin declines, which can cap near-term upside.

Analyst Rating

Wall Street analysts forecast ELPC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ELPC is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

Buy

Hold

Sell

Current: 10.160

Low

Averages

High

Current: 10.160

Low

Averages

High

Goldman Sachs

Bruno Amorim

Buy

initiated

$10.40

AI Analysis

2026-01-28

Reason