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MGEE

MGE EnergyNasdaqGS:MGEE Stock Report

Market Cap

US$2.8b

7D

1.1%

1Y

12.9%

Updated

26 Oct, 2021

Data

Company Financials +
MGEE fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance5/6
Financial Health3/6
Dividends5/6

MGEE Overview

MGE Energy, Inc., through its subsidiaries, operates as a public utility holding company primarily in Wisconsin.

MGE Energy Competitors

Alliant Energy

NasdaqGS:LNT

US$14.2b

NRG Energy

NYSE:NRG

US$10.0b

Pinnacle West Capital

NYSE:PNW

US$7.6b

OGE Energy

NYSE:OGE

US$6.9b

Price History & Performance

Summary of all time highs, changes and price drops for MGE Energy
Historical stock prices
Current Share PriceUS$76.43
52 Week HighUS$63.00
52 Week LowUS$82.95
Beta0.60
1 Month Change1.43%
3 Month Change-2.23%
1 Year Change12.93%
3 Year Change19.16%
5 Year Change34.80%
Change since IPO637.00%

Recent News & Updates

Oct 21
MGE Energy (NASDAQ:MGEE) Is Paying Out A Larger Dividend Than Last Year

MGE Energy (NASDAQ:MGEE) Is Paying Out A Larger Dividend Than Last Year

MGE Energy, Inc. ( NASDAQ:MGEE ) will increase its dividend on the 15th of December to US$0.39. Even though the...

Oct 14
Is MGE Energy (NASDAQ:MGEE) Using Too Much Debt?

Is MGE Energy (NASDAQ:MGEE) Using Too Much Debt?

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...

Aug 23
MGE Energy's (NASDAQ:MGEE) Shareholders Will Receive A Bigger Dividend Than Last Year

MGE Energy's (NASDAQ:MGEE) Shareholders Will Receive A Bigger Dividend Than Last Year

MGE Energy, Inc.'s ( NASDAQ:MGEE ) dividend will be increasing to US$0.39 on 15th of September. Although the dividend...

Aug 17
Return Trends At MGE Energy (NASDAQ:MGEE) Aren't Appealing

Return Trends At MGE Energy (NASDAQ:MGEE) Aren't Appealing

What trends should we look for it we want to identify stocks that can multiply in value over the long term? Ideally, a...

Shareholder Returns

MGEEUS Electric UtilitiesUS Market
7D1.1%2.2%0.9%
1Y12.9%6.8%33.4%

Return vs Industry: MGEE exceeded the US Electric Utilities industry which returned 5.9% over the past year.

Return vs Market: MGEE underperformed the US Market which returned 33.4% over the past year.

Price Volatility

Is MGEE's price volatile compared to industry and market?
MGEE volatility
MGEE Beta0.60
Industry Beta0.40
Market Beta1

Stable Share Price: MGEE is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: MGEE's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1855n/aJeff Keeblerhttps://www.mgeenergy.com

MGE Energy, Inc., through its subsidiaries, operates as a public utility holding company primarily in Wisconsin. It operates through five segments: Regulated Electric Utility Operations; Regulated Gas Utility Operations; Nonregulated Energy Operations; Transmission Investments; and All Other. The company generates, purchases, and distributes electricity; owns or leases electric generation facilities located in Wisconsin and Iowa; and plans, constructs, operates, maintains, and expands transmission facilities to provide transmission services.

MGE Energy Fundamentals Summary

How do MGE Energy's earnings and revenue compare to its market cap?
MGEE fundamental statistics
Market CapUS$2.76b
Earnings (TTM)US$105.37m
Revenue (TTM)US$556.27m

26.2x

P/E Ratio

5.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MGEE income statement (TTM)
RevenueUS$556.27m
Cost of RevenueUS$342.17m
Gross ProfitUS$214.09m
ExpensesUS$108.72m
EarningsUS$105.37m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)2.91
Gross Margin38.49%
Net Profit Margin18.94%
Debt/Equity Ratio58.8%

How did MGEE perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

51%

Payout Ratio

Does MGEE pay a reliable dividends?

See MGEE dividend history and benchmarks
When do you need to buy MGEE by to receive an upcoming dividend?
MGE Energy dividend dates
Ex Dividend DateNov 30 2021
Dividend Pay DateDec 15 2021
Days until Ex dividend33 days
Days until Dividend pay date48 days

Does MGEE pay a reliable dividends?

See MGEE dividend history and benchmarks

Valuation

Is MGE Energy undervalued compared to its fair value and its price relative to the market?

26.23x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: MGEE ($76.43) is trading above our estimate of fair value ($45.12)

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


Price To Earnings Ratio

PE vs Industry: MGEE is poor value based on its PE Ratio (26.2x) compared to the US Electric Utilities industry average (21.1x).

PE vs Market: MGEE is poor value based on its PE Ratio (26.2x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: MGEE is poor value based on its PEG Ratio (12.8x)


Price to Book Ratio

PB vs Industry: MGEE is overvalued based on its PB Ratio (2.7x) compared to the US Electric Utilities industry average (1.9x).


Future Growth

How is MGE Energy forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MGEE's forecast earnings growth (2.1% per year) is above the savings rate (2%).

Earnings vs Market: MGEE's earnings (2.1% per year) are forecast to grow slower than the US market (14.7% per year).

High Growth Earnings: MGEE's earnings are forecast to grow, but not significantly.

Revenue vs Market: MGEE's revenue (4.9% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: MGEE's revenue (4.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MGEE's Return on Equity is forecast to be low in 3 years time (11.3%).


Past Performance

How has MGE Energy performed over the past 5 years?

5.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MGEE has high quality earnings.

Growing Profit Margin: MGEE's current net profit margins (18.9%) are higher than last year (17.3%).


Past Earnings Growth Analysis

Earnings Trend: MGEE's earnings have grown by 5% per year over the past 5 years.

Accelerating Growth: MGEE's earnings growth over the past year (14.4%) exceeds its 5-year average (5% per year).

Earnings vs Industry: MGEE earnings growth over the past year (14.4%) exceeded the Electric Utilities industry 1.6%.


Return on Equity

High ROE: MGEE's Return on Equity (10.5%) is considered low.


Financial Health

How is MGE Energy's financial position?


Financial Position Analysis

Short Term Liabilities: MGEE's short term assets ($191.4M) exceed its short term liabilities ($145.7M).

Long Term Liabilities: MGEE's short term assets ($191.4M) do not cover its long term liabilities ($1.1B).


Debt to Equity History and Analysis

Debt Level: MGEE's debt to equity ratio (58.8%) is considered high.

Reducing Debt: MGEE's debt to equity ratio has increased from 55.3% to 58.8% over the past 5 years.

Debt Coverage: MGEE's debt is well covered by operating cash flow (27.9%).

Interest Coverage: MGEE's interest payments on its debt are well covered by EBIT (5.8x coverage).


Balance Sheet


Dividend

What is MGE Energy current dividend yield, its reliability and sustainability?

2.03%

Current Dividend Yield


Upcoming Dividend Payment

TodayOct 27 2021Ex Dividend DateNov 30 2021Dividend Pay DateDec 15 202115 days from Ex DividendBuy in the next 33 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: MGEE's dividend (2.03%) is higher than the bottom 25% of dividend payers in the US market (1.27%).

High Dividend: MGEE's dividend (2.03%) is low compared to the top 25% of dividend payers in the US market (3.48%).


Stability and Growth of Payments

Stable Dividend: MGEE's dividends per share have been stable in the past 10 years.

Growing Dividend: MGEE's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.8%), MGEE's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MGEE's dividends in 3 years are forecast to be well covered by earnings (48.9% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

Jeff Keebler (49 yo)

4.58yrs

Tenure

US$2,711,113

Compensation

Mr. Jeffrey M. Keebler, also known as Jeff, serves as President and Chief Executive Officer of Madison Gas and Electric Company (“MGE”) and has been its Chairman of the Board since October 1, 2018. Mr. Kee...


CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD2.71M) is below average for companies of similar size in the US market ($USD5.16M).

Compensation vs Earnings: Jeff's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: MGEE's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: MGEE's board of directors are considered experienced (7.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: MGEE insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

MGE Energy, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: MGE Energy, Inc.
  • Ticker: MGEE
  • Exchange: NasdaqGS
  • Founded: 1855
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: US$2.764b
  • Shares outstanding: 36.16m
  • Website: https://www.mgeenergy.com

Location

  • MGE Energy, Inc.
  • 133 South Blair Street
  • Madison
  • Wisconsin
  • 53788
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/26 22:32
End of Day Share Price2021/10/26 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.