Latest news with #AmerenCorporation
Yahoo
23-07-2025
- Business
- Yahoo
What You Need To Know Ahead of Ameren's Earnings Release
Saint Louis, Missouri-based Ameren Corporation (AEE) generates and distributes electricity and natural gas to residential, commercial, industrial, and wholesale end markets in Missouri and Illinois. With a market cap of $26.8 billion, Ameren operates through Ameren Missouri, Ameren Illinois Electric Distribution, Ameren Illinois Natural Gas, and Ameren Transmission segments. The utilities major is set to unveil its Q2 results after the market closes on Thursday, Jul. 31. Ahead of the event, analysts expect AEE to report a non-GAAP profit of $1.01 per share, 4.1% up from $0.97 per share reported in the year-ago quarter. While the company has surpassed Wall Street's earnings projections once over the past four quarters, it has missed the estimates on three other occasions. More News from Barchart Opendoor Stock Is Surging Higher in a Frenzied Retail Rally. How Should You Play OPEN Shares Here? Nvidia Stock Warning: This NVDA Challenger Just Scored a Major Customer Analysts Are Cutting Their Price Targets for UnitedHealth Stock Before Q2 Earnings. Is It Time to Ditch Shares? Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! For the full fiscal 2025, AEE is expected to deliver an EPS of $4.94, up 6.7% from $4.63 reported in fiscal 2024. In fiscal 2026, its earnings are expected to further grow 7.5% year-over-year to $5.31 per share. Ameren's stock prices have soared 33.3% over the past 52 weeks, significantly outperforming the S&P 500 Index's ($SPX) 13.4% returns and the Utilities Select Sector SPDR Fund's (XLU) 20.3% gains during the same time frame. Ameren's stock prices gained 1.4% in the trading session after the release of its mixed Q1 results on May 1. The company's operating revenues from electric sales soared 18.9% year-over-year to $1.6 billion, along with a notable uptick in natural gas sales to $475 million. This led to its overall revenues growing 15.5% year-over-year to $2.1 billion, surpassing the consensus estimates by 5.7%. However, Ameren's profitability didn't flare as expected, due to an increase in operating and interest expenses. Its non-GAAP EPS grew by a modest 4.9% compared to the year-ago quarter to $1.07, and missed the Street's expectations by 93 bps. Nevertheless, the stock maintains a consensus 'Moderate Buy' rating overall. Of the 15 analysts covering the AEE stock, opinions include nine 'Strong Buys' and six 'Holds.' Its mean price target of $105 suggests a modest 4% upside potential from current price levels. On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Yahoo
31-05-2025
- Business
- Yahoo
Calculating The Fair Value Of Ameren Corporation (NYSE:AEE)
The projected fair value for Ameren is US$91.75 based on Dividend Discount Model Current share price of US$96.88 suggests Ameren is potentially trading close to its fair value Our fair value estimate is 11% lower than Ameren's analyst price target of US$103 Today we will run through one way of estimating the intrinsic value of Ameren Corporation (NYSE:AEE) by taking the expected future cash flows and discounting them to today's value. We will take advantage of the Discounted Cash Flow (DCF) model for this purpose. Models like these may appear beyond the comprehension of a lay person, but they're fairly easy to follow. We generally believe that a company's value is the present value of all of the cash it will generate in the future. However, a DCF is just one valuation metric among many, and it is not without flaws. If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. We have to calculate the value of Ameren slightly differently to other stocks because it is a integrated utilities company. Instead of using free cash flows, which are hard to estimate and often not reported by analysts in this industry, dividends per share (DPS) payments are used. This often underestimates the value of a stock, but it can still be good as a comparison to competitors. The 'Gordon Growth Model' is used, which simply assumes that dividend payments will continue to increase at a sustainable growth rate forever. The dividend is expected to grow at an annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.9%. We then discount this figure to today's value at a cost of equity of 6.4%. Relative to the current share price of US$96.9, the company appears around fair value at the time of writing. The assumptions in any calculation have a big impact on the valuation, so it is better to view this as a rough estimate, not precise down to the last cent. Value Per Share = Expected Dividend Per Share / (Discount Rate - Perpetual Growth Rate) = US$3.2 / (6.4% – 2.9%) = US$91.8 Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Ameren as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 6.4%, which is based on a levered beta of 0.800. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. View our latest analysis for Ameren Strength Earnings growth over the past year exceeded the industry. Weakness Earnings growth over the past year is below its 5-year average. Interest payments on debt are not well covered. Dividend is low compared to the top 25% of dividend payers in the Integrated Utilities market. Opportunity Annual earnings are forecast to grow for the next 3 years. Good value based on P/E ratio compared to estimated Fair P/E ratio. Threat Debt is not well covered by operating cash flow. Paying a dividend but company has no free cash flows. Annual earnings are forecast to grow slower than the American market. Whilst important, the DCF calculation is only one of many factors that you need to assess for a company. It's not possible to obtain a foolproof valuation with a DCF model. Rather it should be seen as a guide to "what assumptions need to be true for this stock to be under/overvalued?" For example, changes in the company's cost of equity or the risk free rate can significantly impact the valuation. For Ameren, we've put together three further aspects you should further research: Risks: Every company has them, and we've spotted 3 warning signs for Ameren (of which 1 can't be ignored!) you should know about. Future Earnings: How does AEE's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing! PS. Simply Wall St updates its DCF calculation for every American stock every day, so if you want to find the intrinsic value of any other stock just search here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
23-05-2025
- Business
- Yahoo
Ameren commits $1 million for storm victims
Contributions focused on community recovery and assistance to impacted customers ST. LOUIS, May 23, 2025 /PRNewswire/ -- Ameren Corporation announced today a $1 million donation to assist in recovery efforts from the powerful storms and tornado that struck the St. Louis metropolitan region and surrounding areas on Friday, May 16. "These devastating storms struck at the heart of our communities, impacting our customers, employees, neighbors and friends," said Martin J. Lyons Jr., chairman, president and chief executive officer of Ameren. "Seeing the damage firsthand is heartbreaking, but our crews are working tirelessly to rebuild what's been lost. This $1 million commitment is one more way we're standing shoulder to shoulder with the communities we serve as they begin the long road to recovery." Ameren will provide $750,000 to community organizations to help assist in the ongoing recovery efforts. Partner organizations receiving the recovery funds are the United Way of Greater St. Louis, the American Red Cross, The Salvation Army, the Urban League of Metropolitan St. Louis and the City of St. Louis Tornado Response Fund. These relief efforts will include critical services, such as relocation assistance, tree removal, property cleanup, emergency repairs, temporary housing, food, clothing, essential supplies and transportation. Ameren will provide $250,000 in energy assistance support for income eligible customers in Missouri and Illinois directly impacted by the storms. These funds will be administered through select Dollar More agencies in Missouri (visit Illinois customers can contact the Salvation Army Midland Division at 1-800-Sal-Army. For more information about additional energy assistance options visit Since the severe weather first moved in last Friday afternoon, Ameren workers have been repairing damage and rebuilding critical infrastructure, including power lines, poles and substations. As of Thursday evening, 285,000 customers have been restored in Missouri and Illinois, which is more than 95% of those affected customers, and crews are continuing to make repairs efficiently while prioritizing safety. Funds allocated from Ameren's Charitable Trust come from corporate earnings and are not part of a business expense charged to customers. About Ameren Corporation St. Louis-based Ameren Corporation powers the quality of life for 2.5 million electric customers and more than 900,000 natural gas customers in a 64,000-square-mile area through its Ameren Missouri and Ameren Illinois rate-regulated utility subsidiaries. Ameren Illinois provides electric transmission and distribution service and natural gas distribution service. Ameren Missouri provides electric generation, transmission and distribution services, as well as natural gas distribution service. Ameren Transmission Company of Illinois develops, owns and operates rate-regulated regional electric transmission projects in the Midcontinent Independent System Operator, Inc. For more information, visit or follow us on X at @AmerenCorp, or View original content to download multimedia: SOURCE Ameren Corporation Sign in to access your portfolio
Yahoo
23-05-2025
- Business
- Yahoo
Ameren commits $1 million for storm victims
Contributions focused on community recovery and assistance to impacted customers ST. LOUIS, May 23, 2025 /PRNewswire/ -- Ameren Corporation announced today a $1 million donation to assist in recovery efforts from the powerful storms and tornado that struck the St. Louis metropolitan region and surrounding areas on Friday, May 16. "These devastating storms struck at the heart of our communities, impacting our customers, employees, neighbors and friends," said Martin J. Lyons Jr., chairman, president and chief executive officer of Ameren. "Seeing the damage firsthand is heartbreaking, but our crews are working tirelessly to rebuild what's been lost. This $1 million commitment is one more way we're standing shoulder to shoulder with the communities we serve as they begin the long road to recovery." Ameren will provide $750,000 to community organizations to help assist in the ongoing recovery efforts. Partner organizations receiving the recovery funds are the United Way of Greater St. Louis, the American Red Cross, The Salvation Army, the Urban League of Metropolitan St. Louis and the City of St. Louis Tornado Response Fund. These relief efforts will include critical services, such as relocation assistance, tree removal, property cleanup, emergency repairs, temporary housing, food, clothing, essential supplies and transportation. Ameren will provide $250,000 in energy assistance support for income eligible customers in Missouri and Illinois directly impacted by the storms. These funds will be administered through select Dollar More agencies in Missouri (visit Illinois customers can contact the Salvation Army Midland Division at 1-800-Sal-Army. For more information about additional energy assistance options visit Since the severe weather first moved in last Friday afternoon, Ameren workers have been repairing damage and rebuilding critical infrastructure, including power lines, poles and substations. As of Thursday evening, 285,000 customers have been restored in Missouri and Illinois, which is more than 95% of those affected customers, and crews are continuing to make repairs efficiently while prioritizing safety. Funds allocated from Ameren's Charitable Trust come from corporate earnings and are not part of a business expense charged to customers. About Ameren Corporation St. Louis-based Ameren Corporation powers the quality of life for 2.5 million electric customers and more than 900,000 natural gas customers in a 64,000-square-mile area through its Ameren Missouri and Ameren Illinois rate-regulated utility subsidiaries. Ameren Illinois provides electric transmission and distribution service and natural gas distribution service. Ameren Missouri provides electric generation, transmission and distribution services, as well as natural gas distribution service. Ameren Transmission Company of Illinois develops, owns and operates rate-regulated regional electric transmission projects in the Midcontinent Independent System Operator, Inc. For more information, visit or follow us on X at @AmerenCorp, or View original content to download multimedia: SOURCE Ameren Corporation
Yahoo
14-04-2025
- Business
- Yahoo
Institutional investors are Ameren Corporation's (NYSE:AEE) biggest bettors and were rewarded after last week's US$861m market cap gain
Institutions' substantial holdings in Ameren implies that they have significant influence over the company's share price 51% of the business is held by the top 9 shareholders Insiders have been selling lately Our free stock report includes 3 warning signs investors should be aware of before investing in Ameren. Read for free now. If you want to know who really controls Ameren Corporation (NYSE:AEE), then you'll have to look at the makeup of its share registry. We can see that institutions own the lion's share in the company with 82% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn). And last week, institutional investors ended up benefitting the most after the company hit US$26b in market cap. One-year return to shareholders is currently 41% and last week's gain was the icing on the cake. In the chart below, we zoom in on the different ownership groups of Ameren. See our latest analysis for Ameren Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index. We can see that Ameren does have institutional investors; and they hold a good portion of the company's stock. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at Ameren's earnings history below. Of course, the future is what really matters. Investors should note that institutions actually own more than half the company, so they can collectively wield significant power. We note that hedge funds don't have a meaningful investment in Ameren. The company's largest shareholder is T. Rowe Price Group, Inc., with ownership of 16%. The Vanguard Group, Inc. is the second largest shareholder owning 12% of common stock, and BlackRock, Inc. holds about 7.6% of the company stock. We did some more digging and found that 9 of the top shareholders account for roughly 51% of the register, implying that along with larger shareholders, there are a few smaller shareholders, thereby balancing out each others interests somewhat. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. Quite a few analysts cover the stock, so you could look into forecast growth quite easily. The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO. Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group. Our data suggests that insiders own under 1% of Ameren Corporation in their own names. As it is a large company, we'd only expect insiders to own a small percentage of it. But it's worth noting that they own US$86m worth of shares. It is always good to see at least some insider ownership, but it might be worth checking if those insiders have been selling. With a 17% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Ameren. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders. I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Case in point: We've spotted 3 warning signs for Ameren you should be aware of, and 1 of them is significant. But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter future. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
