Update shared on 07 Nov 2025
Fair value Increased 1.78%Analysts have raised their fair value estimate for Evergy from $80.61 to $82.05. They cite adjusted growth assumptions, improved profit margin outlook, and a refreshed business plan as key drivers behind the higher price target.
Analyst Commentary
Bullish Takeaways- Several analysts have raised their price targets on Evergy, reflecting increased confidence in the company’s refreshed business plan and long-term growth trajectory.
- The company has achieved significant progress with regulatory outcomes and customer expansion, contributing to year-to-date outperformance compared to other utility peers.
- Upward revisions to consensus estimates suggest analysts anticipate an improvement in earnings potential over the next several years.
- Bulls highlight the utility sector’s undervaluation. Current market conditions and structural tailwinds are viewed as positive catalysts for Evergy’s continued re-rating.
- Some analysts maintain a more cautious stance, assigning neutral ratings due to valuation concerns or a desire for clearer evidence that growth prospects will translate to sustained earnings gains.
- Expectations for a quieter upcoming quarterly report suggest that near-term catalysts may be limited. Investors may be awaiting further updates before reassessing the company’s trajectory.
- While longer-term growth prospects are acknowledged, some believe current valuations may already reflect much of the anticipated improvement. This warrants a more measured approach in the short run.
What's in the News
- Evergy's Board of Directors declared a dividend of $0.6950 per share. The dividend is payable on December 19, 2025, to shareholders of record as of November 21, 2025 (Company Announcement).
- The company filed a $1 billion Follow-on Equity Offering. The security type is listed as Common Stock (Company Announcement).
- Evergy's service territory in Kansas is being considered for a potential advanced nuclear power plant in connection with a memorandum of understanding with TerraPower, Inc. and the Kansas Department of Commerce. The collaboration will explore the siting and technical design of TerraPower's Natrium reactor and energy storage system (Company Announcement).
Valuation Changes
- Fair Value Estimate has increased moderately, rising from $80.61 to $82.05 per share.
- Discount Rate has risen slightly, moving from 6.78% to 6.96%.
- Revenue Growth Forecast is up marginally, now at 5.89% compared to the previous 5.72%.
- Net Profit Margin is projected to improve, increasing from 16.63% to 17.00%.
- Future P/E Ratio is nearly unchanged and has moved slightly higher from 19.53x to 19.62x.
Disclaimer
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