XCEL ENERGY INC (XEL) Stock Fundamental Analysis
USA - NASDAQ:XEL - US98389B1008 - Common Stock
79.82 USD
-0.87 (-1.08%)
77.64 USD
-2.18 (-2.73%)
Overall XEL gets a fundamental rating of 3 out of 10. We evaluated XEL against 47 industry peers in the Electric Utilities industry. While XEL is still in line with the averages on profitability rating, there are concerns on its financial health. XEL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
XEL had positive earnings in the past year.
XEL had a positive operating cash flow in the past year.
XEL had positive earnings in each of the past 5 years.
In the past 5 years XEL always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of XEL (2.75%) is comparable to the rest of the industry.
XEL has a Return On Equity (9.89%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 2.82%, XEL is not doing good in the industry: 87.23% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for XEL is in line with the industry average of 4.90%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.75% | ||
| ROE | 9.89% | ||
| ROIC | 2.82% |
ROA(3y)2.79%
ROA(5y)2.77%
ROE(3y)10.13%
ROE(5y)10.14%
ROIC(3y)3.27%
ROIC(5y)3.27%
1.3 Margins
The Profit Margin of XEL (14.85%) is comparable to the rest of the industry.
XEL's Profit Margin has improved in the last couple of years.
XEL has a worse Operating Margin (18.00%) than 65.96% of its industry peers.
XEL's Operating Margin has been stable in the last couple of years.
XEL has a Gross Margin of 92.80%. This is amongst the best in the industry. XEL outperforms 97.87% of its industry peers.
XEL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18% | ||
| PM (TTM) | 14.85% | ||
| GM | 92.8% |
OM growth 3Y2.67%
OM growth 5Y-0.62%
PM growth 3Y6.6%
PM growth 5Y3.89%
GM growth 3Y0.42%
GM growth 5Y0.25%
2. Health
2.1 Basic Checks
XEL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for XEL has been increased compared to 1 year ago.
XEL has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, XEL has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.98, we must say that XEL is in the distress zone and has some risk of bankruptcy.
XEL has a Altman-Z score (0.98) which is in line with its industry peers.
A Debt/Equity ratio of 1.53 is on the high side and indicates that XEL has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.53, XEL is in line with its industry, outperforming 40.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.53 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.98 |
ROIC/WACC0.43
WACC6.64%
2.3 Liquidity
A Current Ratio of 0.96 indicates that XEL may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.96, XEL is in line with its industry, outperforming 59.57% of the companies in the same industry.
A Quick Ratio of 0.85 indicates that XEL may have some problems paying its short term obligations.
XEL has a Quick ratio of 0.85. This is comparable to the rest of the industry: XEL outperforms 59.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
XEL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.69%.
The Earnings Per Share has been growing slightly by 5.68% on average over the past years.
The Revenue has been growing slightly by 1.28% in the past year.
The Revenue has been growing slightly by 3.12% on average over the past years.
EPS 1Y (TTM)3.69%
EPS 3Y5.54%
EPS 5Y5.68%
EPS Q2Q%38.89%
Revenue 1Y (TTM)1.28%
Revenue growth 3Y0.02%
Revenue growth 5Y3.12%
Sales Q2Q%8.55%
3.2 Future
XEL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.23% yearly.
The Revenue is expected to grow by 5.24% on average over the next years.
EPS Next Y10.81%
EPS Next 2Y9.38%
EPS Next 3Y9.1%
EPS Next 5Y8.23%
Revenue Next Year2.92%
Revenue Next 2Y4.9%
Revenue Next 3Y5.34%
Revenue Next 5Y5.24%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.87, which indicates a rather expensive current valuation of XEL.
68.09% of the companies in the same industry are cheaper than XEL, based on the Price/Earnings ratio.
XEL is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.83, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 19.17, the valuation of XEL can be described as rather expensive.
63.83% of the companies in the same industry are cheaper than XEL, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.88. XEL is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.87 | ||
| Fwd PE | 19.17 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of XEL indicates a slightly more expensive valuation: XEL is more expensive than 72.34% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.18 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates XEL does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.02
PEG (5Y)3.85
EPS Next 2Y9.38%
EPS Next 3Y9.1%
5. Dividend
5.1 Amount
XEL has a Yearly Dividend Yield of 2.83%.
XEL's Dividend Yield is slightly below the industry average, which is at 3.23.
Compared to an average S&P500 Dividend Yield of 2.30, XEL pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
5.2 History
The dividend of XEL is nicely growing with an annual growth rate of 6.45%!
XEL has been paying a dividend for at least 10 years, so it has a reliable track record.
XEL has decreased its dividend recently.
Dividend Growth(5Y)6.45%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
59.09% of the earnings are spent on dividend by XEL. This is a bit on the high side, but may be sustainable.
The dividend of XEL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP59.09%
EPS Next 2Y9.38%
EPS Next 3Y9.1%
79.82
-0.87 (-1.08%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners90.66%
Inst Owner Change-0.15%
Ins Owners0.14%
Ins Owner Change0.4%
Market Cap47.21B
Revenue(TTM)13.96B
Net Income(TTM)2.07B
Analysts81.05
Price Target82.45 (3.29%)
Short Float %3.72%
Short Ratio4.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
Yearly Dividend2.08
Dividend Growth(5Y)6.45%
DP59.09%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.56%
Min EPS beat(2)-9.55%
Max EPS beat(2)14.67%
EPS beat(4)1
Avg EPS beat(4)-1.19%
Min EPS beat(4)-9.55%
Max EPS beat(4)14.67%
EPS beat(8)3
Avg EPS beat(8)-0.13%
EPS beat(12)5
Avg EPS beat(12)-1.02%
EPS beat(16)6
Avg EPS beat(16)-1.08%
Revenue beat(2)1
Avg Revenue beat(2)-0.14%
Min Revenue beat(2)-1.66%
Max Revenue beat(2)1.39%
Revenue beat(4)1
Avg Revenue beat(4)-6.63%
Min Revenue beat(4)-18.13%
Max Revenue beat(4)1.39%
Revenue beat(8)1
Avg Revenue beat(8)-8.96%
Revenue beat(12)4
Avg Revenue beat(12)-3.02%
Revenue beat(16)8
Avg Revenue beat(16)-0.65%
PT rev (1m)4.56%
PT rev (3m)6.66%
EPS NQ rev (1m)-3.67%
EPS NQ rev (3m)-4.53%
EPS NY rev (1m)0.02%
EPS NY rev (3m)0.15%
Revenue NQ rev (1m)0.36%
Revenue NQ rev (3m)-0.03%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.87 | ||
| Fwd PE | 19.17 | ||
| P/S | 3.38 | ||
| P/FCF | N/A | ||
| P/OCF | 10.47 | ||
| P/B | 2.25 | ||
| P/tB | 2.25 | ||
| EV/EBITDA | 14.18 |
EPS(TTM)3.65
EY4.57%
EPS(NY)4.16
Fwd EY5.22%
FCF(TTM)-6.6
FCFYN/A
OCF(TTM)7.63
OCFY9.55%
SpS23.6
BVpS35.44
TBVpS35.44
PEG (NY)2.02
PEG (5Y)3.85
Graham Number53.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.75% | ||
| ROE | 9.89% | ||
| ROCE | 3.62% | ||
| ROIC | 2.82% | ||
| ROICexc | 2.88% | ||
| ROICexgc | 2.88% | ||
| OM | 18% | ||
| PM (TTM) | 14.85% | ||
| GM | 92.8% | ||
| FCFM | N/A |
ROA(3y)2.79%
ROA(5y)2.77%
ROE(3y)10.13%
ROE(5y)10.14%
ROIC(3y)3.27%
ROIC(5y)3.27%
ROICexc(3y)3.28%
ROICexc(5y)3.28%
ROICexgc(3y)3.28%
ROICexgc(5y)3.28%
ROCE(3y)4.2%
ROCE(5y)4.2%
ROICexgc growth 3Y-3.22%
ROICexgc growth 5Y-4%
ROICexc growth 3Y-3.22%
ROICexc growth 5Y-4%
OM growth 3Y2.67%
OM growth 5Y-0.62%
PM growth 3Y6.6%
PM growth 5Y3.89%
GM growth 3Y0.42%
GM growth 5Y0.25%
F-Score5
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.53 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.84 | ||
| Cap/Depr | 283.39% | ||
| Cap/Sales | 60.26% | ||
| Interest Coverage | 2.1 | ||
| Cash Conversion | 82.3% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 0.98 |
F-Score5
WACC6.64%
ROIC/WACC0.43
Cap/Depr(3y)221.93%
Cap/Depr(5y)222.34%
Cap/Sales(3y)42.1%
Cap/Sales(5y)40.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.69%
EPS 3Y5.54%
EPS 5Y5.68%
EPS Q2Q%38.89%
EPS Next Y10.81%
EPS Next 2Y9.38%
EPS Next 3Y9.1%
EPS Next 5Y8.23%
Revenue 1Y (TTM)1.28%
Revenue growth 3Y0.02%
Revenue growth 5Y3.12%
Sales Q2Q%8.55%
Revenue Next Year2.92%
Revenue Next 2Y4.9%
Revenue Next 3Y5.34%
Revenue Next 5Y5.24%
EBIT growth 1Y-7.82%
EBIT growth 3Y2.7%
EBIT growth 5Y2.48%
EBIT Next Year112.39%
EBIT Next 3Y38.49%
EBIT Next 5Y26.57%
FCF growth 1Y-388.85%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y2.52%
OCF growth 3Y28.47%
OCF growth 5Y7.3%
XCEL ENERGY INC / XEL FAQ
Can you provide the ChartMill fundamental rating for XCEL ENERGY INC?
ChartMill assigns a fundamental rating of 3 / 10 to XEL.
What is the valuation status of XCEL ENERGY INC (XEL) stock?
ChartMill assigns a valuation rating of 1 / 10 to XCEL ENERGY INC (XEL). This can be considered as Overvalued.
How profitable is XCEL ENERGY INC (XEL) stock?
XCEL ENERGY INC (XEL) has a profitability rating of 5 / 10.
How financially healthy is XCEL ENERGY INC?
The financial health rating of XCEL ENERGY INC (XEL) is 1 / 10.
Can you provide the dividend sustainability for XEL stock?
The dividend rating of XCEL ENERGY INC (XEL) is 5 / 10 and the dividend payout ratio is 59.09%.