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Market Cap

US$29.3b

Last Updated

2021/04/13 22:13 UTC

Data Sources

Company Financials +

Executive Summary

WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services in the United States. More Details


Snowflake Analysis

Established dividend payer with acceptable track record.


Similar Companies

Share Price & News

How has WEC Energy Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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

Volatility Over Time: WEC's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.3%

WEC

1.0%

US Integrated Utilities

1.3%

US Market


1 Year Return

-5.3%

WEC

4.7%

US Integrated Utilities

53.9%

US Market

Return vs Industry: WEC underperformed the US Integrated Utilities industry which returned 4.7% over the past year.

Return vs Market: WEC underperformed the US Market which returned 53.9% over the past year.


Shareholder returns

WECIndustryMarket
7 Day0.3%1.0%1.3%
30 Day6.3%6.1%2.8%
90 Day7.0%9.2%6.6%
1 Year-2.6%-5.3%8.5%4.7%56.6%53.9%
3 Year63.0%49.2%35.1%21.3%62.7%52.3%
5 Year85.8%59.0%55.0%29.7%120.5%95.9%

Long-Term Price Volatility Vs. Market

How volatile is WEC Energy Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

20.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WEC ($94.05) is trading below our estimate of fair value ($118.12)

Significantly Below Fair Value: WEC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: WEC is poor value based on its PE Ratio (24.7x) compared to the US Integrated Utilities industry average (22.8x).

PE vs Market: WEC is poor value based on its PE Ratio (24.7x) compared to the US market (22.3x).


Price to Earnings Growth Ratio

PEG Ratio: WEC is poor value based on its PEG Ratio (4.2x)


Price to Book Ratio

PB vs Industry: WEC is overvalued based on its PB Ratio (2.8x) compared to the US Integrated Utilities industry average (2x).


Future Growth

How is WEC Energy Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

5.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WEC's forecast earnings growth (5.9% per year) is above the savings rate (2%).

Earnings vs Market: WEC's earnings (5.9% per year) are forecast to grow slower than the US market (18.5% per year).

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

Revenue vs Market: WEC's revenue (3% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: WEC's revenue (3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WEC's Return on Equity is forecast to be low in 3 years time (12.4%).


Past Performance

How has WEC Energy Group performed over the past 5 years?

7.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WEC has high quality earnings.

Growing Profit Margin: WEC's current net profit margins (16.6%) are higher than last year (15.1%).


Past Earnings Growth Analysis

Earnings Trend: WEC's earnings have grown by 7.8% per year over the past 5 years.

Accelerating Growth: WEC's earnings growth over the past year (5.8%) is below its 5-year average (7.8% per year).

Earnings vs Industry: WEC earnings growth over the past year (5.8%) underperformed the Integrated Utilities industry 11.8%.


Return on Equity

High ROE: WEC's Return on Equity (11.3%) is considered low.


Financial Health

How is WEC Energy Group's financial position?


Financial Position Analysis

Short Term Liabilities: WEC's short term assets ($2.1B) do not cover its short term liabilities ($4.1B).

Long Term Liabilities: WEC's short term assets ($2.1B) do not cover its long term liabilities ($22.2B).


Debt to Equity History and Analysis

Debt Level: WEC's debt to equity ratio (133.5%) is considered high.

Reducing Debt: WEC's debt to equity ratio has increased from 119.3% to 133.5% over the past 5 years.

Debt Coverage: WEC's debt is not well covered by operating cash flow (15.4%).

Interest Coverage: WEC's interest payments on its debt are well covered by EBIT (3.6x coverage).


Balance Sheet


Dividend

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

2.88%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: WEC's dividend (2.88%) is higher than the bottom 25% of dividend payers in the US market (1.26%).

High Dividend: WEC's dividend (2.88%) is low compared to the top 25% of dividend payers in the US market (3.5%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (66.5%), WEC's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WEC's dividends in 3 years are forecast to be covered by earnings (67.4% payout ratio).


Next Steps

Management

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

2.5yrs

Average management tenure


CEO

Joseph Fletcher (61 yo)

2.17yrs

Tenure

US$18,136,171

Compensation

Mr. Joseph Kevin Fletcher has served as the been the President of WEC Energy Group Inc., since October 9, 2018 and has been its Chief Executive Officer since February 1, 2019. Mr. Fletcher has been a Direc...


CEO Compensation Analysis

Compensation vs Market: Joseph's total compensation ($USD18.14M) is above average for companies of similar size in the US market ($USD10.98M).

Compensation vs Earnings: Joseph's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: WEC's management team is considered experienced (2.5 years average tenure).


Board Members

Experienced Board: WEC's board of directors are considered experienced (8.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: WEC 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

WEC Energy Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: WEC Energy Group, Inc.
  • Ticker: WEC
  • Exchange: NYSE
  • Founded: 1981
  • Industry: Multi-Utilities
  • Sector: Utilities
  • Market Cap: US$29.320b
  • Shares outstanding: 315.43m
  • Website: https://www.wecenergygroup.com

Number of Employees


Location

  • WEC Energy Group, Inc.
  • 231 West Michigan Street
  • Milwaukee
  • Wisconsin
  • 53203
  • United States

Listings


Biography

WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services in the United States. The company operates through...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/13 22:13
End of Day Share Price2021/04/13 00:00
Earnings2020/12/31
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.