MER:PSEManila Electric Co. Analysis
Data as of 2026-03-14 - not real-time
$1.61
Latest Price
6/10Risk
Risk Level: Medium
Executive Summary
Technical outlook: The stock is trading above both its short‑term and mid‑term moving averages, with momentum indicators showing a neutral‑to‑slightly‑bearish bias – RSI sits in the upper half of the neutral zone and the MACD histogram is marginally negative. Volume is on an upward trend, supporting the current bullish market direction, while the price remains close to a identified support level and has upside toward a clear resistance zone.
Valuation and sentiment: A price‑to‑book ratio below one suggests the market may be undervaluing the company’s net assets, and the Fear‑Greed Index is in the “Greed” region, indicating bullish sentiment. Recent material news – notably Water Tower Research’s initiation of coverage highlighting West Africa assets, the company’s 2025 financial disclosures, and announced offshore drilling plans for 2026 – provide a narrative of operational expansion that could unlock further value.
Valuation and sentiment: A price‑to‑book ratio below one suggests the market may be undervaluing the company’s net assets, and the Fear‑Greed Index is in the “Greed” region, indicating bullish sentiment. Recent material news – notably Water Tower Research’s initiation of coverage highlighting West Africa assets, the company’s 2025 financial disclosures, and announced offshore drilling plans for 2026 – provide a narrative of operational expansion that could unlock further value.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 6/10
Key Factors
- Price near immediate support with limited upside
- MACD bearish crossover signaling short‑term caution
- Increasing volume but volatility remains elevated
Medium Term
1–3 yearsPositive
Model confidence: 7/10
Key Factors
- Technical alignment above key moving averages
- Undervalued price‑to‑book ratio
- Positive news flow on offshore growth and asset base
Long Term
> 3 yearsPositive
Model confidence: 8/10
Key Factors
- Strategic exposure to West African energy assets
- Low beta indicating defensive market behavior
- Potential for earnings upside as 2026 drilling plans materialize
Key Metrics & Analysis
Financial Health
P/B Ratio0.8
Technical Analysis
TrendBullish
RSI57.6
Support$1.50
Resistance$1.78
MA 20$1.62
MA 50$1.52
MA 200$1.34
MACDBearish
VolumeIncreasing
Fear & Greed Index72.88
Valuation
GradeUndervalued
TypeBlend
Risk Assessment
Beta0.25
Volatility49.33%
Sector RiskMedium
Reg. RiskMedium
Geo RiskHigh
Currency RiskLow
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.