CenterPoint Energy, Inc.

LSE:0HVF Stock Report

Market Cap: US$20.7b

CenterPoint Energy Valuation

Is 0HVF undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0HVF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0HVF ($31.99) is trading above our estimate of fair value ($27.89)

Significantly Below Fair Value: 0HVF is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0HVF?

Key metric: As 0HVF is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0HVF. This is calculated by dividing 0HVF's market cap by their current earnings.
What is 0HVF's PE Ratio?
PE Ratio21.3x
EarningsUS$963.00m
Market CapUS$20.67b

Price to Earnings Ratio vs Peers

How does 0HVF's PE Ratio compare to its peers?

The above table shows the PE ratio for 0HVF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average14.8x
NG. National Grid
26.2x15.7%UK£45.3b
CNA Centrica
5.8x-10.0%UK£6.4b
TEP Telecom Plus
18x12.0%UK£1.4b
SSE SSE
9.3x5.3%UK£17.7b
0HVF CenterPoint Energy
21.3x10.1%US$20.7b

Price-To-Earnings vs Peers: 0HVF is expensive based on its Price-To-Earnings Ratio (21.3x) compared to the peer average (14.8x).

Price to Earnings Ratio vs Industry

How does 0HVF's PE Ratio compare vs other companies in the Global Integrated Utilities Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
0HVF 21.3xIndustry Avg. 16.7xNo. of Companies9PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0HVF is expensive based on its Price-To-Earnings Ratio (21.3x) compared to the Global Integrated Utilities industry average (16.9x).

Price to Earnings Ratio vs Fair Ratio

What is 0HVF's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0HVF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.3x
Fair PE Ratio15.3x

Price-To-Earnings vs Fair Ratio: 0HVF is expensive based on its Price-To-Earnings Ratio (21.3x) compared to the estimated Fair Price-To-Earnings Ratio (15.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0HVF forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$31.75
US$32.11
+1.1%
7.0%US$37.00US$29.00n/a17
Dec ’25US$32.62
US$31.28
-4.1%
5.1%US$34.00US$29.00n/a16
Nov ’25US$28.97
US$30.78
+6.2%
4.4%US$33.00US$29.00n/a16
Oct ’25US$29.64
US$29.70
+0.2%
5.7%US$34.00US$28.00n/a16
Sep ’25US$27.08
US$29.61
+9.3%
5.5%US$34.00US$28.00n/a15
Aug ’25US$28.09
US$30.89
+9.9%
4.4%US$34.00US$29.00n/a16
Jul ’25US$30.65
US$31.01
+1.2%
5.0%US$34.00US$29.00n/a16
Jun ’25US$30.17
US$31.01
+2.8%
4.7%US$34.00US$29.00n/a16
May ’25US$29.30
US$30.76
+5.0%
4.7%US$34.00US$29.00n/a16
Apr ’25US$28.49
US$30.66
+7.6%
4.6%US$34.00US$28.00n/a17
Mar ’25US$27.33
US$30.50
+11.6%
4.9%US$34.00US$28.00n/a17
Feb ’25US$28.29
US$30.61
+8.2%
5.2%US$34.00US$28.00n/a17
Jan ’25US$28.45
US$30.19
+6.1%
5.4%US$34.00US$27.00n/a16
Dec ’24US$28.54
US$30.25
+6.0%
6.3%US$34.00US$27.00US$32.6216
Nov ’24US$27.08
US$30.31
+11.9%
6.0%US$34.00US$27.00US$28.9716
Oct ’24US$26.77
US$32.00
+19.6%
6.6%US$34.00US$28.00US$29.6415
Sep ’24US$27.73
US$32.27
+16.4%
6.0%US$34.00US$28.00US$27.0815
Aug ’24US$29.72
US$32.50
+9.4%
4.9%US$34.00US$29.00US$28.0914
Jul ’24US$28.81
US$31.93
+10.8%
4.9%US$35.00US$29.00US$30.6514
Jun ’24US$28.17
US$32.29
+14.6%
4.9%US$35.00US$29.00US$30.1714
May ’24US$30.69
US$32.29
+5.2%
4.9%US$35.00US$29.00US$29.3014
Apr ’24US$28.89
US$31.50
+9.1%
4.8%US$33.00US$28.00US$28.4914
Mar ’24US$27.33
US$31.87
+16.6%
4.3%US$34.00US$29.00US$27.3315
Feb ’24US$29.96
US$32.00
+6.8%
4.7%US$35.00US$29.00US$28.2915
Jan ’24US$30.12
US$31.69
+5.2%
5.8%US$35.00US$29.00US$28.4516
Dec ’23US$31.00
US$31.13
+0.4%
4.9%US$34.00US$29.00US$28.5416

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/18 03:47
End of Day Share Price 2024/12/18 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

CenterPoint Energy, Inc. is covered by 35 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Gary HovisArgus Research Company
Nicholas CampanellaBarclays
Daniel FordBarclays