Otter Tail Valuation
Is OTTR undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
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 OTTR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: OTTR ($79.65) is trading above our estimate of fair value ($27.54)
Significantly Below Fair Value: OTTR is trading above our estimate of fair value.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for OTTR?
Key metric: As OTTR is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is OTTR's PE Ratio? | |
|---|---|
| PE Ratio | 10.9x |
| Earnings | US$304.58m |
| Market Cap | US$3.35b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 3x |
| Enterprise Value/EBITDA | 8.2x |
| PEG Ratio | -0.6x |
Price to Earnings Ratio vs Peers
How does OTTR's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 22.8x | ||
MGEE MGE Energy | 31.7x | n/a | US$3.8b |
ALE ALLETE | 20.7x | 15.1% | US$3.7b |
TXNM TXNM Energy | 24.4x | 12.8% | US$4.3b |
POR Portland General Electric | 14.4x | 7.4% | US$4.9b |
OTTR Otter Tail | 10.9x | -17.3% | US$3.3b |
Price-To-Earnings vs Peers: OTTR is good value based on its Price-To-Earnings Ratio (10.9x) compared to the peer average (22.8x).
Price to Earnings Ratio vs Industry
How does OTTR's PE Ratio compare vs other companies in the US Electric Utilities Industry?
| 0 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|
| 0 Companies | Estimated Growth | Market Cap |
|---|
Price-To-Earnings vs Industry: OTTR is good value based on its Price-To-Earnings Ratio (10.9x) compared to the US Electric Utilities industry average (21x).
Price to Earnings Ratio vs Fair Ratio
What is OTTR'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 10.9x |
| Fair PE Ratio | 15.3x |
Price-To-Earnings vs Fair Ratio: OTTR is good value based on its Price-To-Earnings Ratio (10.9x) 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?
Analyst Forecast: Insufficient data to show price forecast.
Discover undervalued companies
Evergy
US$14.7b
Engages in the generation, transmission, distribution, and sale of electricity in the United States.
EVRG
US$64.37
7D
1.6%
1Y
26.6%
Portland General Electric
US$4.9b
An integrated electric utility company, engages in the generation, wholesale purchase, transmission, distribution, and retail sale of electricity in the state of Oregon.
POR
US$46.88
7D
1.2%
1Y
13.8%
Engie Brasil Energia
R$32.0b
Generates, sells, and trades in electrical energy in Brazil.
EGIE.Y
R$6.70
7D
0.8%
1Y
-24.5%