A Fresh Look at Exelon’s (EXC) Valuation After Its 24% One-Year Total Return

Exelon (EXC) has quietly reshaped its profile over the past year, and the stock’s move reflects that shift. With shares up roughly 24% over the past year, investors are asking what comes next.

See our latest analysis for Exelon.

At a latest share price of $44.28, Exelon’s steady 1 year to date share price return of 17.6 percent and 1 year total shareholder return of 24.0 percent signal gradually building momentum rather than a speculative surge.

If Exelon’s move has you rethinking your utilities exposure, it might be worth scanning beyond the sector and checking out fast growing stocks with high insider ownership.

With modest revenue and earnings growth, a solid value score, and shares still trading at a discount to analyst targets and intrinsic estimates, the key question now is whether Exelon is a buy or if markets already anticipate the upside.

Most Popular Narrative Narrative: 11% Undervalued

With Exelon last closing at $44.28 against a narrative fair value of $49.75, the current setup assumes more earnings power than the market is pricing in.

The significant identified pipeline ($10B to $15B) in future transmission projects, combined with proven success in competitive bidding, provides clear visibility for outsized capital investment prospects that are expected to increase the regulated asset base and deliver compounding earnings and cash flow growth.

Read the complete narrative.

Want to see what kind of earnings climb and margin uplift could justify that higher valuation anchor? The narrative spells out a surprisingly ambitious roadmap.

Result: Fair Value of $49.75 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, regulatory setbacks or rising grid investment costs without timely recovery could quickly compress margins and derail the optimistic earnings trajectory that underpins that valuation.

Find out about the key risks to this Exelon narrative.

Build Your Own Exelon Narrative

If you are not fully aligned with this outlook or would rather dig into the numbers yourself, you can shape a personalized view in just minutes, Do it your way.

A great starting point for your Exelon research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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