Ameren Corporation (AEE) Stock Guide

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Before we start: if you're looking for AEE stock price, you can quickly find it out by visiting Finny and typing "AEE quote". If you're looking for a quick scoop on AEE stock (chart, price target, market cap, news and buy or sell analysis), go to Finny and look for "AEE". You'll get all this info in one place. Or you can just type "AEE news" to get the latest stock news.

Looking to buy or sell Ameren Corporation (AEE)? Interested in getting the full scoop on AEE, including earnings and dividends, stock forecast, buy or sell analysis and key stats? If so, you came to the right place.

In this AEE stock guide, we'll address key questions about AEE, above and beyond what you can find on Yahoo Finance, Zacks, MarketWatch or Morningstar.

Here is what you'll be able to find in this guide:

Earnings and Dividends: earnings, earnings date, dividend rate and dividend yield;
Analyst Predictions: stock forecast and analyst ratings;
Analysis: Finny Score and buy or sell analysis;
Key Stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio, industry, sector, and number of employees.

And here is the list of questions we'll answer:
1. What are AEE earnings?
2. When is AEE earnings date?
3. What is AEE dividend?
4. What is AEE dividend yield?
5. What is AEE stock forecast (i.e., prediction)?
6. AEE buy or sell? What is AEE Finny Score?
7. What are the reasons to buy AEE? Why should I buy AEE stock?
8. What are the reasons to sell AEE? Why should I sell AEE stock?
9. What are AEE key stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

So let's start. Scroll down to the question that interests you the most.

Earnings and Dividends

1. What are AEE earnings?

AEE trailing 12-month earnings per share (EPS) is $3.35.

2. When is AEE earnings date?

AEE earnings date is July 31, 2020.

3. What is AEE dividend?

AEE forward dividend is $1.98.

4. What is AEE dividend yield?

AEE forward dividend yield is 2.9%.

Analyst Predictions

5. What is AEE stock forecast (i.e., prediction)?

Based on AEE analyst price targets, AEE stock forecast is $84.70 (for a year from now). That means the average analyst price target for AEE stock is $84.70. The prediction is based on 9 analyst estimates.

The low price target for AEE is $76.00, while the high price target is $92.00.

AEE analyst rating is Hold.

Analysis

6. AEE buy or sell? What is AEE Finny Score?

Our quantitative analysis shows 4 reasons to buy and 4 reasons to sell AEE, resulting in Finny Score of 50.

7. What are the reasons to buy AEE? Why should I buy AEE stock?

Here are the reasons to buy AEE stock:

  • Ameren's regulatory relationships have improved in Illinois. The IMAP provides regulatory stability through 2017.
  • Upcoming transmission projects offer higher returns than the company's state-regulated asset base and should support modest earnings growth.
  • Ameren's healthy dividend provides some downside protection for shareholders.
  • Over the long term, the company currently expects to spend up to $11.4 billion, comprising up to $4.5 billion, $6.6 billion and $0.3 billion for Ameren Missouri, Ameren Illinois and ATXI, respectively, during 2018-2022. These investments are aimed to support overall system reliability, environmental compliance, and electric and natural gas utility infrastructure improvements. Within Ameren Illinois, the company aims to invest $2.4 billion for electric distribution, $2.3 billion for transmission and $1.6 billion for natural gas.
  • Ameren continues to invest in FERC-regulated electric transmission. ATXI has three MISO-approved multi-value projects for construction of transmission lines, the Illinois Rivers, Spoon River, and Mark Twain projects. Construction activities for the Illinois Rivers project, from eastern Missouri across Illinois to western Indiana, are continuing on schedule, and the last section of this project is expected to be completed by the end of 2019.
  • In renewables, Ameren plans to offer electricity through cleaner and more diverse sources of energy generation, including solar, wind, natural gas, hydro and nuclear power. Notably, the company aims at expanding renewable sources by adding at least 700 megawatts (MW) of wind generation by 2020 in Missouri and neighboring states and adding 100 MW of solar generation over the next 10 years. These new renewable energy sources will facilitate Ameren Missouri’s compliance with the state of Missouri’s requirement of achieving 15% of native load sales from renewable energy sources by 2021, subject to customer rate increase limitations.
  • A stable financial position enables Ameren to maximize shareholder value through the payment of regular dividends and repurchase of shares. Notably, the company’s cash from operating activities at the end of first-quarter 2018 was $258 million.
  • AEE profitability is improving. The YoY profit margin change was 4.39 percentage points. See AEE profitability chart.
  • AEE forward dividend yield is 2.90%, higher than the industry (1.60%) and sector (1.33%) forward dividend yields. See AEE forward dividend chart.
  • AEE PEG ratio (P/E adjusted for growth) is 3.25, which is low compared to its industry peers’ PEG ratios. See AEE PEG chart.
  • AEE average analyst price target ($84.70) is above its current price ($74.54). See AEE price target chart.

8. What are the reasons to sell AEE? Why should I sell AEE stock?

Let's look at the reasons to sell AEE stock (i.e., the bear case):

  • Missouri remains one of the tougher regulatory environments in the nation, and recent state legislation promising more constructive regulation recently failed.
  • Given its large investment program, Ameren must request frequent rate increases with the potential for unfavorable opinions from regulators.
  • Ameren's $10.8 billion capital investment plan through 2021 at its regulated utilities could limit cash available for dividend growth.
  • Ameren Corp.'s aging infrastructure may pose risks to system reliability and force the company to incur unplanned capital expenditures and operating costs. All of Ameren Missouri’s coal-fired energy centers were constructed prior to 1978, and the Callaway nuclear energy center began operating in 1984. The age of these energy centers increases the risks of unplanned outages, reduced generation output and higher maintenance expenses.
  • Ameren's generation and delivery facilities are subject to risks associated with breakdown or failure of equipment or processes due to fuel supply or transportation disruptions, accidents and labor disputes or work stoppages by employees. The company will face operational difficulties in case of any such event. Ameren’s businesses are also commodity price sensitive.
  • Ameren has to bear high expenditure to comply with air emission regulations including burning ultra-low-sulfur coal and installing new or optimizing existing pollution control equipment. Ameren and Ameren Missouri estimate that they will need to make capital expenditures of $325-$425 million in the aggregate from 2018 through 2022 in order to comply with existing environmental regulations. Additional environmental controls beyond 2022 may be required, which if implemented will push up the company’s overall capital expenses.
  • AEE quarterly revenue growth was -7.20%, lower than the industry and sector average revenue growth (1.08% and 1.59%, respectively). See AEE revenue growth chart.
  • AEE short share of float is 5.90%. The stock is much more frequently shorted than the average industry, sector or S&P 500 stock. See AEE short share of float chart.
  • AEE short interest (days to cover the shorts) ratio is 7.3. The stock garners more short interest than the average industry, sector or S&P 500 stock. See AEE short interest ratio chart.
  • AEE cash to debt ratio is 0.00, lower than the average industry (0.05) and sector (0.06) cash to debt ratio. See AEE cash to debt chart.

Key Stats

9. What are AEE key stats : revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

Let's look at the key statistics for AEE:

Metrics AEE
Price $74.55
Average Price Target / Upside $84.70 / 13.62%
Average Analyst Rating Hold
Forward Dividend Yield 2.90%
Industry Utilities - Regulated Electric
Sector Utilities
Number of Employees 8,838
Market Cap $16.97B
Forward P/E Ratio 18.23
Price/Book Ratio 3.01
Revenue (TTM) $5.65B
YoY Quarterly Revenue Growth -7.20%
Profit Margin 14.67%

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