Ameren (AEE) AI Stock Analysis

• Market Cap: $26.90B
• Dividend Yield: 2.86%
• Average Volume (3M): 1.90M
• Price to Earnings (P/E): 19.1
• Beta (1Y): 0.18
• Revenue Growth: 22.71%
• EPS Growth: 22.86%
• Country: US
• Employees: 8,981
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 2.17
• Shares Outstanding: 270,494,900
• 10 Day Avg. Volume: 2,489,764
• 30 Day Avg. Volume: 1,898,507
• PEG Ratio: 17.63
• Price to Book (P/B): 1.96
• Price to Sales (P/S): 3.12
• P/FCF Ratio: -14.44
• Enterprise Value/Market Cap: 1.80
• Enterprise Value/Revenue: 5.42
• Enterprise Value/Gross Profit: 13.29
• Enterprise Value/Ebitda: 12.33
• 1Y Price Target: $111.45
• Price Target Upside: 12.18% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12
• EPS Forecast (FY): 5
• Revenue Forecast (FY): $8.20B

• Rating: 72 Outperform
• Price Target: $110.00 ▲(10.72% Upside)

Ameren's overall stock score reflects strong financial performance and promising growth prospects, particularly in infrastructure investments and data center agreements. However, technical analysis indicates potential bearish momentum, and cash flow management challenges pose risks. The valuation is reasonable, and the earnings call provides a positive outlook despite some regulatory and operational challenges.

Positive Factors

Infrastructure Investments

Significant infrastructure investments enhance service reliability and capacity, supporting long-term growth and competitive positioning.

Data Center Growth

Expansion in data center agreements indicates robust demand and potential for increased revenue, strengthening market position.

Leadership Changes

Leadership changes aim to enhance operational performance and strategic growth, potentially improving decision-making and resource allocation.

Negative Factors

Cash Flow Challenges

Persistent cash flow challenges can strain liquidity and limit investment capacity, impacting long-term financial health.

Regulatory Approval Needed

Pending regulatory approvals could delay strategic initiatives, affecting growth timelines and revenue potential.

Increased Costs

Rising maintenance costs can pressure margins, reducing profitability and potentially impacting financial performance.

Ameren Business Overview & Revenue Model

Company Description

Ameren Corporation, together with its subsidiaries, operates as a public utility holding company in the United States. It operates through four segments: Ameren Missouri, Ameren Illinois Electric Distribution, Ameren Illinois Natural Gas, and Ameren Transmission. The company engages in the rate-regulated electric generation, transmission, and distribution activities; and rate-regulated natural gas distribution and transmission businesses. It primarily generates electricity through coal, nuclear, and natural gas, as well as renewable sources, such as hydroelectric, wind, methane gas, and solar. The company serves residential, commercial, and industrial customers. Ameren Corporation was founded in 1881 and is headquartered in St. Louis, Missouri.

How the Company Makes Money

Ameren generates revenue primarily through the sale of electricity and natural gas to residential, commercial, and industrial customers. The company operates under regulated frameworks that allow it to earn returns on its investments in infrastructure, such as power plants, transmission lines, and gas distribution systems. Key revenue streams include electricity sales, natural gas sales, and various utility services such as energy efficiency programs and renewable energy credits. Additionally, Ameren may benefit from partnerships with state governments and regulatory bodies that support clean energy initiatives and infrastructure investments, further contributing to its earnings through incentives and grants.

Ameren Financial Statement Overview

Summary

Ameren demonstrates strong revenue and profit growth, supported by efficient operations and a stable balance sheet. However, challenges in cash flow management, particularly negative free cash flow, pose potential risks. The company should focus on improving cash flow generation to enhance financial stability.

Income Statement

Ameren's income statement shows strong revenue growth with a 6.24% increase in TTM, supported by a healthy net profit margin of 15.75%. The EBIT and EBITDA margins are robust at 25.06% and 43.96%, respectively, indicating efficient operations. However, the gross profit margin has decreased from previous years, suggesting rising costs or pricing pressures.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.23 in TTM, significantly improved from previous years. Return on equity is solid at 11.42%, indicating effective use of equity capital. However, the equity ratio is not explicitly provided, which could provide further insights into asset financing.

Cash Flow

Cash flow analysis reveals challenges with negative free cash flow growth of -24.34% in TTM, indicating potential liquidity issues. The operating cash flow to net income ratio is healthy at 1.15, suggesting good cash generation relative to net income. However, the negative free cash flow to net income ratio highlights ongoing cash flow management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.96B	7.62B	7.50B	7.96B	6.39B	5.79B
Gross Profit	3.65B	3.65B	3.47B	3.34B	2.99B	2.86B
EBITDA	3.94B	3.54B	3.41B	3.18B	2.81B	2.60B
Net Income	1.41B	1.18B	1.15B	1.07B	990.00M	871.00M
Balance Sheet
Total Assets	47.42B	44.60B	40.83B	37.90B	35.73B	32.03B
Cash, Cash Equivalents and Short-Term Investments	9.00M	7.00M	25.00M	250.00M	16.00M	139.00M
Total Debt	20.10B	18.72B	16.51B	15.10B	13.61B	11.58B
Total Liabilities	34.51B	32.35B	29.35B	27.27B	25.91B	22.95B
Stockholders Equity	12.78B	12.11B	11.35B	10.51B	9.70B	8.94B
Cash Flow
Free Cash Flow	-1.23B	-1.65B	-1.21B	-1.12B	-1.86B	-1.57B
Operating Cash Flow	3.21B	2.76B	2.56B	2.26B	1.66B	1.73B
Investing Cash Flow	-4.46B	-4.46B	-3.80B	-3.37B	-3.53B	-3.33B
Financing Cash Flow	1.36B	1.75B	1.29B	1.17B	1.72B	1.73B

Ameren Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 99.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AEE, the sentiment is Neutral. The current price of 99.35 is below the 20-day moving average (MA) of 100.19, below the 50-day MA of 102.06, and above the 200-day MA of 98.42, indicating a neutral trend. The MACD of -1.11 indicates Negative momentum. The RSI at 45.91 is Neutral, neither overbought nor oversold. The STOCH value of 71.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AEE.

Ameren Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AEE	72 Outperform	$26.90B	19.11	11.47%	2.86%	22.71%	22.86%
CMS	67 Neutral	$21.23B	20.21	12.34%	3.10%	10.96%	-0.77%
FE	67 Neutral	$25.66B	19.39	10.54%	3.94%	7.64%	48.61%
ES	66 Neutral	$24.78B	18.24	8.65%	4.56%	13.12%	―
PPL	66 Neutral	$25.65B	23.69	7.65%	3.13%	8.42%	32.48%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
DTE	65 Neutral	$26.65B	19.25	11.64%	3.46%	19.42%	-9.68%

Ameren Corporate Events

Ameren Elects Jamie Engstrom to Board of Directors

On December 12, 2025, Ameren Corporation announced the election of Jamie L. Engstrom to its Board of Directors, effective January 1, 2026. Engstrom, currently the Global Chief Information Officer at Caterpillar Inc., will also join Ameren’s Audit and Risk Committee and the Cybersecurity and Digital Technology Committee. Her extensive experience in information systems and digital transformations is expected to enhance Ameren’s strategic focus on technology and risk management, benefiting customers, shareholders, and the board.

Ameren Reports Strong Q3 2025 Financial Results

Ameren Corporation announced its third quarter 2025 financial results, reporting a significant increase in net income and earnings per share compared to the same period in 2024. The improved financial performance was attributed to increased infrastructure investments, new electric service rates, and higher retail sales, partially offset by higher interest and maintenance expenses. The company raised its 2025 earnings guidance and established a guidance range for 2026, reflecting confidence in its strategic initiatives and market conditions.

Ameren Announces Leadership Changes for Strategic Growth

On October 14, 2025, Ameren Corporation announced significant leadership changes effective January 1, 2026, aimed at enhancing operational performance and strategic growth. Michael L. Moehn will transition to Group President of Ameren Utilities, overseeing all operating utilities, while Leonard P. Singh will become Executive Vice President and Chief Financial Officer. These changes are part of Ameren’s strategy to improve decision-making and resource allocation, ultimately delivering better service to customers and value to shareholders.

Ameren Announces Leadership Change with Birk’s Retirement

On October 2, 2025, Mark C. Birk announced his retirement from his roles as Chairman and President of Union Electric Company, known as Ameren Missouri, and other positions within Ameren Corporation. Following his departure, Michael L. Moehn, the Senior Executive Vice President and Chief Financial Officer, was appointed as the Interim Chairman and President of Ameren Missouri, bringing his previous experience in these roles from 2014 to 2019.

Ameren Illinois Sells $350M in Mortgage Bonds

On September 26, 2025, Ameren Illinois sold $350 million of its 5.625% First Mortgage Bonds due 2055, adding to the same amount issued earlier in March 2025. The transaction, which was part of a registered offering, resulted in net proceeds of approximately $358.1 million for Ameren Illinois, before expenses, potentially strengthening its financial position.