CenterPoint Energy
Market Cap
US$13.1b
Last Updated
2020/11/23 23:46 UTC
Data Sources
Company Financials +
Executive Summary
CenterPoint Energy, Inc. operates as a public utility holding company in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
Moderate growth potential unattractive dividend payer.
Similar Companies
Share Price & News
How has CenterPoint Energy's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CNP is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: CNP's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-4.4%
CNP
-5.2%
US Integrated Utilities
-0.06%
US Market
1 Year Return
-3.3%
CNP
-2.8%
US Integrated Utilities
19.0%
US Market
Return vs Industry: CNP matched the US Integrated Utilities industry which returned -2.8% over the past year.
Return vs Market: CNP underperformed the US Market which returned 19% over the past year.
Shareholder returns
| CNP | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.4% | -5.2% | -0.06% |
| 30 Day | 7.9% | -1.5% | 4.4% |
| 90 Day | 19.8% | 5.7% | 6.3% |
| 1 Year | -0.06%-3.3% | 0.7%-2.8% | 21.7%19.0% |
| 3 Year | -9.0%-18.8% | 18.8%6.5% | 46.4%36.7% |
| 5 Year | 73.0%41.5% | 72.0%44.0% | 91.0%69.9% |
Long-Term Price Volatility Vs. Market
How volatile is CenterPoint Energy's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
CenterPoint Energy (NYSE:CNP) Has Compensated Shareholders With A Respectable 63% Return On Their Investment1 month ago | Simply Wall St
Investors In CenterPoint Energy, Inc. (NYSE:CNP) Should Consider This, First2 months ago | Simply Wall St
Need To Know: CenterPoint Energy, Inc. (NYSE:CNP) Insiders Have Been Buying SharesValuation
Is CenterPoint Energy undervalued compared to its fair value and its price relative to the market?
2.2x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: CNP ($23.98) is trading above our estimate of fair value ($13.71)
Significantly Below Fair Value: CNP is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: CNP is unprofitable, so we can't compare its PE Ratio to the US Integrated Utilities industry average.
PE vs Market: CNP is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate CNP's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: CNP is overvalued based on its PB Ratio (2.2x) compared to the US Integrated Utilities industry average (2x).
Next Steps
Future Growth
How is CenterPoint Energy forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
26.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CNP is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).
Earnings vs Market: CNP is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: CNP's is expected to become profitable in the next 3 years.
Revenue vs Market: CNP's revenue (1.2% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: CNP's revenue (1.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CNP's Return on Equity is forecast to be low in 3 years time (10.3%).
Next Steps
Past Performance
How has CenterPoint Energy performed over the past 5 years?
7.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CNP is currently unprofitable.
Growing Profit Margin: CNP is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: CNP is unprofitable, but has reduced losses over the past 5 years at a rate of 7.3% per year.
Accelerating Growth: Unable to compare CNP's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: CNP is unprofitable, making it difficult to compare its past year earnings growth to the Integrated Utilities industry (5.9%).
Return on Equity
High ROE: CNP has a negative Return on Equity (-6.5%), as it is currently unprofitable.
Next Steps
Financial Health
How is CenterPoint Energy's financial position?
Financial Position Analysis
Short Term Liabilities: CNP's short term assets ($2.8B) do not cover its short term liabilities ($3.8B).
Long Term Liabilities: CNP's short term assets ($2.8B) do not cover its long term liabilities ($20.5B).
Debt to Equity History and Analysis
Debt Level: CNP's debt to equity ratio (158.3%) is considered high.
Reducing Debt: CNP's debt to equity ratio has reduced from 213.9% to 158.3% over the past 5 years.
Debt Coverage: CNP's debt is not well covered by operating cash flow (15%).
Interest Coverage: CNP is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Next Steps
Dividend
What is CenterPoint Energy current dividend yield, its reliability and sustainability?
2.50%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CNP's dividend (2.5%) is higher than the bottom 25% of dividend payers in the US market (1.5%).
High Dividend: CNP's dividend (2.5%) is low compared to the top 25% of dividend payers in the US market (4.15%).
Stability and Growth of Payments
Stable Dividend: CNP's dividend payments have been volatile in the past 10 years.
Growing Dividend: CNP's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: CNP is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: CNP's dividends in 3 years are forecast to be well covered by earnings (45.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.3yrs
Average management tenure
CEO
Dave Lesar (66 yo)
0.33
Tenure
Mr. David John Lesar, also known as Dave, B.Sc., C.P.A. & M.B.A., serves as Director of CenterPoint Energy Resources Corp. since May 2020 and its President and Chief Executive Officer since July 1, 2020. M...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 18.17yrs | US$3.26m | 0.024% $ 3.1m | |
| Executive Vice President of Natural Gas | 3.67yrs | US$1.55m | 0.0076% $ 986.4k | |
| President | 0.33yr | no data | 0.0047% $ 610.1k | |
| Executive VP & CFO | 0.17yr | no data | no data | |
| Senior VP & Chief Accounting Officer | 0.83yr | no data | 0.010% $ 1.3m | |
| Senior VP & Chief Information Officer | no data | no data | no data | |
| Director of Investor Relations | no data | no data | no data | |
| Chief Ethics & Compliance Officer | no data | no data | no data | |
| Senior VP & General Counsel | 0.33yr | no data | 0.0019% $ 250.8k | |
| Vice President of Corporate Communications & Public Affairs | no data | no data | no data | |
| Senior VP & Chief Human Resources Officer | 0.33yr | no data | 0.0040% $ 529.1k | |
| Senior Vice President of Electric Operations | no data | no data | 0.014% $ 1.8m |
0.3yrs
Average Tenure
58yo
Average Age
Experienced Management: CNP's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 18.17yrs | US$3.26m | 0.024% $ 3.1m | |
| President | 0.33yr | no data | 0.0047% $ 610.1k | |
| Independent Director | 12.33yrs | US$271.83k | 0.012% $ 1.6m | |
| Independent Director | 6.92yrs | US$256.83k | 0.0073% $ 957.7k | |
| Independent Director | 5.58yrs | US$271.83k | 0.0059% $ 774.7k | |
| Independent Director | 6.67yrs | US$276.83k | 0.0081% $ 1.1m | |
| Independent Director | 2.58yrs | US$256.83k | 0.0035% $ 458.6k | |
| Director | 0.50yr | no data | 0.0048% $ 631.0k | |
| Independent Director | 2.58yrs | US$256.83k | 0.0035% $ 458.6k | |
| Independent Director | 0.33yr | no data | 0.0015% $ 192.1k |
4.1yrs
Average Tenure
63yo
Average Age
Experienced Board: CNP's board of directors are considered experienced (4.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.5%.
Top Shareholders
Company Information
CenterPoint Energy, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: CenterPoint Energy, Inc.
- Ticker: CNP
- Exchange: NYSE
- Founded: 1866
- Industry: Multi-Utilities
- Sector: Utilities
- Market Cap: US$13.065b
- Shares outstanding: 544.82m
- Website: https://www.centerpointenergy.com
Number of Employees
Location
- CenterPoint Energy, Inc.
- 1111 Louisiana Street
- Houston
- Texas
- 77002
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CNP | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| HOU | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| 0HVF | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1968 |
| A194ZK | DB (Deutsche Boerse AG) | 6.125%-FRN SUB PERP USD 'A' | DE | USD | Aug 2018 | |
| CNP.PRB | NYSE (New York Stock Exchange) | DEP RP PFD CV B | US | USD | Sep 2018 | |
| C1NP34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM NPV | BR | BRL | Dec 2019 |
Biography
CenterPoint Energy, Inc. operates as a public utility holding company in the United States. The company’s Houston Electric T&D segment electric transmission and distribution services to electric utility. I...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/11/23 23:46 |
| End of Day Share Price | 2020/11/23 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.