NYSE:PEG

Stock Analysis Report

Public Service Enterprise Group

Executive Summary

Public Service Enterprise Group Incorporated, through its subsidiaries, operates as an energy company primarily in the Northeastern and Mid- Atlantic United States.

Snowflake

Fundamentals

Established dividend payer and slightly overvalued.


Similar Companies

Share Price & News

How has Public Service Enterprise Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.6%

PEG

2.1%

US Integrated Utilities

-0.6%

US Market


1 Year Return

18.5%

PEG

19.5%

US Integrated Utilities

0.7%

US Market

PEG underperformed the Integrated Utilities industry which returned 19.5% over the past year.

PEG outperformed the Market in United States of America which returned 0.7% over the past year.


Share holder returns

PEGIndustryMarket
7 Day1.6%2.1%-0.6%
30 Day5.7%4.4%4.9%
90 Day1.1%3.1%1.7%
1 Year22.3%18.5%23.7%19.5%3.0%0.7%
3 Year56.8%41.1%38.4%24.4%44.8%35.4%
5 Year97.1%64.4%81.4%45.7%62.0%44.3%

Price Volatility Vs. Market

How volatile is Public Service Enterprise Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

2 weeks ago | Simply Wall St

Derek DiRisio Just Sold A Bunch Of Shares In Public Service Enterprise Group Incorporated (NYSE:PEG)

Valuation

Is Public Service Enterprise Group undervalued based on future cash flows and its price relative to the stock market?

21.28x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Public Service Enterprise Group's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Public Service Enterprise Group's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Public Service Enterprise Group is good value based on earnings compared to the US Integrated Utilities industry average.

Public Service Enterprise Group is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Public Service Enterprise Group is poor value based on expected growth next year.


Price Based on Value of Assets

Public Service Enterprise Group is good value based on assets compared to the US Integrated Utilities industry average.


Next Steps

Future Growth

How is Public Service Enterprise Group expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

6.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Public Service Enterprise Group's revenue is expected to grow by 1.5% yearly, however this is not considered high growth (20% yearly).

Public Service Enterprise Group's earnings are expected to grow by 6.4% yearly, however this is not considered high growth (20% yearly).

Public Service Enterprise Group's revenue growth is positive but not above the United States of America market average.

Public Service Enterprise Group's earnings growth is positive but not above the United States of America market average.

Public Service Enterprise Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Public Service Enterprise Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Public Service Enterprise Group performed over the past 5 years?

1.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Public Service Enterprise Group's year on year earnings growth rate has been positive over the past 5 years.

Public Service Enterprise Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Public Service Enterprise Group's 1-year earnings growth is negative, it can't be compared to the US Integrated Utilities industry average.


Return on Equity

Public Service Enterprise Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Public Service Enterprise Group used its assets less efficiently than the US Integrated Utilities industry average last year based on Return on Assets.


Return on Capital Employed

Public Service Enterprise Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Public Service Enterprise Group's financial position?


Financial Position Analysis

Public Service Enterprise Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Public Service Enterprise Group's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Public Service Enterprise Group's level of debt (106.6%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (76.2% vs 106.6% today).

Debt is not well covered by operating cash flow (19.7%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 5.4x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.2x debt.


Next Steps

Dividend

What is Public Service Enterprise Group's current dividend yield, its reliability and sustainability?

3.19%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Public Service Enterprise Group's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Public Service Enterprise Group's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.6x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.7x coverage).


Next Steps

Management

What is the CEO of Public Service Enterprise Group's salary, the management and board of directors tenure and is there insider trading?

3.9yrs

Average management tenure


CEO

Ralph Izzo (61yo)

12.4yrs

Tenure

US$10,419,291

Compensation

Dr. Ralph Izzo, Ph.D., has been the Chief Executive Officer and President of Public Service Enterprise Group Incorporated since April 1, 2007. Dr. Izzo has been the Chief Executive Officer of Public Servic ...


CEO Compensation Analysis

Ralph's remuneration is about average for companies of similar size in United States of America.

Ralph's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

3.9yrs

Average Tenure

56yo

Average Age

The tenure for the Public Service Enterprise Group management team is about average.


Board Age and Tenure

7.4yrs

Average Tenure

65yo

Average Age

The tenure for the Public Service Enterprise Group board of directors is about average.


Insider Trading

Public Service Enterprise Group individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$130,70903 Sep 19
Derek DiRisio
EntityIndividual
Shares2,175.59
Max PriceUS$60.08
BuyUS$15002 Apr 19
Rose Chernick
EntityIndividual
Shares2.82
Max PriceUS$53.12
SellUS$354,43705 Mar 19
Stuart Black
EntityIndividual
Shares6,000
Max PriceUS$59.07
SellUS$1,271,66905 Feb 19
Ralph Izzo
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares23,415
Max PriceUS$54.31
SellUS$1,391,69903 Dec 18
Ralph LaRossa
EntityIndividual
Role
Unit Board Member
President & COO of PSEG Power
Shares25,046
Max PriceUS$55.57
SellUS$121,93505 Nov 18
Derek DiRisio
EntityIndividual
Shares2,300
Max PriceUS$53.02

Ownership Breakdown


Management Team

  • Ralph Izzo (61yo)

    Chairman

    • Tenure: 12.4yrs
    • Compensation: US$10.42m
  • Ralph LaRossa (56yo)

    President & COO of PSEG Power

    • Tenure: 0yrs
    • Compensation: US$7.51m
  • Scott Jennings

    Senior Vice President of Corporate Planning

    • Tenure: 0.5yrs
  • Rick Thigpen

    Senior Vice President of Corporate Citizenship

    • Tenure: 1.2yrs
  • Tamara Linde (54yo)

    Executive VP & General Counsel

    • Tenure: 5.2yrs
    • Compensation: US$2.45m
  • Dan Cregg (55yo)

    Executive VP & CFO

    • Tenure: 3.9yrs
    • Compensation: US$2.55m
  • Karen Cleeve

    Vice President of Corporate Communications

    • Tenure: 2.1yrs
  • Dave Daly (57yo)

    Chairman of PSEG Long Island

    • Tenure: 1.9yrs
    • Compensation: US$1.91m
  • Sheila Rostiac

    Senior VP of Human Resources & Chief Human Resources Officer

    • Tenure: 0yrs
  • Carlotta Chan

    Vice President of Investor Relations

    • Tenure: 1.3yrs

Board Members

  • Susan Tomasky (66yo)

    Independent Director

    • Tenure: 7.4yrs
    • Compensation: US$280.19k
  • Dick Swift (75yo)

    Independent Director

    • Tenure: 24.8yrs
    • Compensation: US$310.04k
  • David Lilley (72yo)

    Independent Director

    • Tenure: 10.6yrs
    • Compensation: US$258.94k
  • Bill Hickey (74yo)

    Independent Director

    • Tenure: 17.9yrs
    • Compensation: US$290.04k
  • Shirley Jackson (72yo)

    Lead Director

    • Tenure: 0.4yrs
    • Compensation: US$315.04k
  • Al Zollar (64yo)

    Independent Director

    • Tenure: 7.3yrs
    • Compensation: US$289.18k
  • Ralph Izzo (61yo)

    Chairman

    • Tenure: 12.4yrs
    • Compensation: US$10.42m
  • Willie Deese (64yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$290.04k
  • Ralph LaRossa (56yo)

    President & COO of PSEG Power

    • Tenure: 0yrs
    • Compensation: US$7.51m
  • Dave Daly (57yo)

    Chairman of PSEG Long Island

    • Tenure: 1.9yrs
    • Compensation: US$1.91m

Company Information

Public Service Enterprise Group Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Public Service Enterprise Group Incorporated
  • Ticker: PEG
  • Exchange: NYSE
  • Founded: 1985
  • Industry: Multi-Utilities
  • Sector: Utilities
  • Market Cap: US$31.248b
  • Shares outstanding: 505.64m
  • Website: https://www.pseg.com

Number of Employees


Location

  • Public Service Enterprise Group Incorporated
  • 80 Park Plaza
  • Newark
  • New Jersey
  • 7102
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PEGNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
PSEDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
0KS2LSE (London Stock Exchange)YesCommon StockGBUSDJan 1968

Biography

Public Service Enterprise Group Incorporated, through its subsidiaries, operates as an energy company primarily in the Northeastern and Mid- Atlantic United States. It operates through two segments, PSE&G  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/22 23:37
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.