DTE Energy (DTE) AI Stock Analysis

• Market Cap: $28.15B
• Dividend Yield: 3.22%
• Average Volume (3M): 1.01M
• Price to Earnings (P/E): 20.3
• Beta (1Y): 0.15
• Revenue Growth: 19.42%
• EPS Growth: -9.68%
• Country: US
• Employees: 4,750
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 2.25
• Shares Outstanding: 207,683,010
• 10 Day Avg. Volume: 1,122,611
• 30 Day Avg. Volume: 1,006,303
• PEG Ratio: 120.53
• Price to Book (P/B): 2.14
• Price to Sales (P/S): 2.01
• P/FCF Ratio: -30.33
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $151.13
• Price Target Upside: 11.50% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 67 Neutral
• Price Target: $147.00 ▲(8.46% Upside)

DTE Energy's overall score reflects strong financial performance and growth potential, particularly in the data center segment, which is expected to drive future earnings. However, high leverage, negative free cash flow, and bearish technical indicators pose risks. The company's valuation is fair, with a reasonable P/E ratio and attractive dividend yield, but challenges in the DTE Gas segment and increased equity issuance requirements could impact future performance.

Positive Factors

Data Center Expansion

The expansion in the data center segment positions DTE Energy for substantial growth, leveraging increased demand for data infrastructure and supporting long-term revenue growth.

EPS Growth Outlook

The strong EPS growth outlook indicates robust future profitability, driven by strategic investments and operational efficiencies, enhancing shareholder value over the long term.

Commitment to Customer Affordability

By focusing on customer affordability, DTE Energy strengthens its market position and customer loyalty, ensuring stable revenue streams and competitive advantage.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth opportunities and weather economic downturns.

Negative Free Cash Flow

Negative free cash flow highlights challenges in cash management, which could constrain the company's ability to fund operations and capital projects without additional financing.

Increased Equity Issuance

Increased equity issuance may lead to shareholder dilution, affecting existing shareholders' value and potentially impacting the company's stock performance.

DTE Energy Business Overview & Revenue Model

Company Description

DTE Energy (DTE) is a diversified energy company based in Detroit, Michigan, primarily engaged in the generation, distribution, and sale of electricity and natural gas. It operates through two main segments: Electric and Gas, serving millions of residential, commercial, and industrial customers. DTE is committed to providing reliable energy services while also investing in renewable energy sources and infrastructure improvements to support sustainability and environmental stewardship.

How the Company Makes Money

DTE Energy generates revenue primarily through the sale of electricity and natural gas to its customers. The Electric segment is responsible for the bulk of the company's earnings, with revenue derived from residential, commercial, and industrial electricity sales, as well as from transmission and distribution services. The Gas segment contributes revenue through the sale and distribution of natural gas, including residential heating and commercial usage. Additionally, DTE earns income from regulated utility operations, which are supported by rate structures set by state regulatory bodies. The company also has investments in renewable energy projects, adding to its revenue base by participating in the growing market for green energy solutions. Partnerships with local governments and businesses for energy efficiency programs further bolster DTE's earnings by creating additional service offerings and enhancing customer engagement.

DTE Energy Financial Statement Overview

Summary

DTE Energy exhibits strong revenue growth and profitability with consistent margins. However, the balance sheet shows high leverage, and cash flow management is challenged by significant capital expenditures. Improving cash flow sustainability and managing debt levels are crucial for enhancing financial flexibility.

Income Statement

The income statement shows a solid gross profit margin of 44.09% and a net profit margin of 10.16% for the TTM period. Revenue growth is strong at 14.01% compared to the previous annual period. However, there is a slight decrease in EBIT margin to 14.95% from 16.79% the previous year, indicating some pressure on operating efficiency. Overall, the company demonstrates strong revenue growth and maintains healthy profitability metrics.

Balance Sheet

The balance sheet reflects a debt-to-equity ratio of 2.05, indicating significant leverage, which is typical in the regulated utility industry. The equity ratio is 23.33%, showing a reasonable level of equity financing. Return on equity is moderate at 12.31%, signaling satisfactory returns to shareholders despite the high leverage. The company's financial stability is adequate but could be improved by reducing debt levels.

Cash Flow

Cash flow analysis indicates a challenging situation with a negative free cash flow of $-644 million for the TTM period, although there is an improvement in operating cash flow to net income ratio of 2.48. The free cash flow to net income ratio remains negative, highlighting a need for better cash management or reduced capital expenditures. Despite robust operating cash generation, high capital expenditures impact overall cash flow health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.82B	12.46B	12.74B	19.23B	14.96B	11.42B
Gross Profit	6.31B	4.34B	4.33B	3.67B	3.34B	3.28B
EBITDA	4.26B	4.05B	3.96B	3.25B	2.75B	3.13B
Net Income	968.01M	1.40B	1.40B	1.08B	907.00M	1.37B
Balance Sheet
Total Assets	0.00	48.85B	44.76B	42.68B	39.72B	45.50B
Cash, Cash Equivalents and Short-Term Investments	0.00	24.00M	26.00M	33.00M	28.00M	472.00M
Total Debt	815.00M	23.24B	20.97B	19.24B	18.25B	19.61B
Total Liabilities	39.87B	37.14B	33.70B	32.28B	31.01B	32.91B
Stockholders Equity	12.16B	11.70B	11.05B	10.40B	8.71B	12.43B
Cash Flow
Free Cash Flow	1.70B	-824.00M	-714.00M	-1.40B	-705.00M	-160.00M
Operating Cash Flow	2.95B	3.64B	3.22B	1.98B	3.07B	3.70B
Investing Cash Flow	-2.98B	-4.95B	-4.09B	-3.43B	-3.86B	-4.07B
Financing Cash Flow	-914.00M	1.34B	883.00M	1.46B	315.00M	796.00M

DTE Energy Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 135.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DTE, the sentiment is Negative. The current price of 135.54 is below the 20-day moving average (MA) of 140.96, below the 50-day MA of 138.44, and above the 200-day MA of 132.97, indicating a neutral trend. The MACD of -0.13 indicates Positive momentum. The RSI at 33.81 is Neutral, neither overbought nor oversold. The STOCH value of 7.63 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DTE.

DTE Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AEE	―	$27.59B	22.41	10.29%	2.74%	17.32%	3.35%
PCG	―	$35.08B	13.60	9.21%	0.63%	-0.27%	-7.65%
FE	―	$26.47B	19.91	10.54%	3.80%	7.64%	48.61%
DTE	―	$28.15B	20.31	11.64%	3.22%	19.42%	-9.68%
PPL	―	$27.01B	27.45	6.96%	2.94%	6.62%	17.35%
Sector *	―	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
ES	―	$27.39B	31.77	5.63%	4.03%	14.44%	―

DTE Energy Corporate Events

DTE Energy’s Earnings Call Highlights Growth and Challenges

DTE Energy’s recent earnings call painted a picture of robust financial performance and promising growth potential, particularly within the data center segment. The company expressed a positive outlook for operating EPS growth, although it acknowledged challenges in the DTE Gas segment and the need for increased equity issuance as areas of concern.

DTE Energy Reports Strong Investments and Earnings

DTE Energy Company, a Detroit-based diversified energy company, operates in the electric and natural gas sectors, serving millions of customers across Michigan with a focus on clean energy and infrastructure improvements.

DTE Energy Secures New Credit Agreement with Citibank

On October 22, 2025, DTE Energy, along with its subsidiaries DTE Electric and DTE Gas, entered into a sixth amended and restated five-year unsecured revolving credit agreement with Citibank and a syndicate of lenders. The agreements, which replace previous credit arrangements, allow for significant borrowing limits and include conditions such as maintaining specific debt to capitalization ratios. These facilities, which expire in 2030 with options for extension, are intended to support general corporate purposes, reflecting DTE’s strategic financial planning.

The most recent analyst rating on (DTE) stock is a Buy with a $157.00 price target. To see the full list of analyst forecasts on DTE Energy stock, see the DTE Stock Forecast page.

DTE Energy Completes $600M Debentures Sale

On September 17, 2025, DTE Energy Company completed the sale of $600 million in 2025 Series H 6.25% Junior Subordinated Debentures due in 2085. This financial move is part of DTE Energy’s strategic efforts to manage its capital structure, potentially impacting its financial stability and market positioning.

The most recent analyst rating on (DTE) stock is a Hold with a $146.00 price target. To see the full list of analyst forecasts on DTE Energy stock, see the DTE Stock Forecast page.

DTE Energy Enhances Executive Severance Benefits

On September 10, 2025, DTE Energy‘s Benefit Plan Administration Committee approved an amendment to the Executive Severance Allowance Plan, enhancing severance benefits for the CEO, including 24 months of COBRA coverage and a lump sum of 200% of base pay upon termination without cause. Additionally, on September 11, 2025, DTE Energy entered into new Change in Control Severance Agreements and Indemnification Agreements with its executives and non-employee directors, ensuring management continuity and aligning executive and shareholder interests during corporate changes.

The most recent analyst rating on (DTE) stock is a Hold with a $148.00 price target. To see the full list of analyst forecasts on DTE Energy stock, see the DTE Stock Forecast page.

DTE Energy Faces Legal Challenges in EPA Case

On September 5, 2025, DTE Energy Company updated its previous disclosure regarding an ongoing environmental legal matter involving its subsidiary, EES Coke Battery, LLC. The U.S. Environmental Protection Agency (EPA) had issued findings of violation against EES Coke for non-compliance with the Clean Air Act, leading to a legal complaint filed by the U.S. Department of Justice in 2022. The court recently granted a motion for partial summary judgment on liability against EES Coke, and a trial concerning remedies is scheduled for September 15, 2025. DTE Energy, now included as a defendant, is appealing the decision, but the financial impact remains uncertain.

The most recent analyst rating on (DTE) stock is a Hold with a $144.00 price target. To see the full list of analyst forecasts on DTE Energy stock, see the DTE Stock Forecast page.

DTE Energy to Discuss 2025 Earnings Guidance

DTE Energy announced it will meet with investors on August 20, 2025, to discuss its 2025 operating earnings guidance. The company noted that certain items affecting the 2025 reported results might be excluded from operating results, as these items can fluctuate significantly and impact reported earnings.

The most recent analyst rating on (DTE) stock is a Buy with a $137.00 price target. To see the full list of analyst forecasts on DTE Energy stock, see the DTE Stock Forecast page.