Evergy (EVRG) AI Stock Analysis

• Market Cap: $19.03B
• Dividend Yield: 3.72%
• Average Volume (3M): 2.24M
• Price to Earnings (P/E): 19.5
• Beta (1Y): 0.16
• Revenue Growth: 0.11%
• EPS Growth: -0.52%
• Country: US
• Employees: 4,731
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 0.42
• Shares Outstanding: 230,281,590
• 10 Day Avg. Volume: 2,185,248
• 30 Day Avg. Volume: 2,241,115
• PEG Ratio: -9.25
• Price to Book (P/B): 1.63
• Price to Sales (P/S): 2.82
• P/FCF Ratio: -22.23
• Enterprise Value/Market Cap: 1.81
• Enterprise Value/Revenue: 5.82
• Enterprise Value/Gross Profit: 18.02
• Enterprise Value/Ebitda: 12.69
• 1Y Price Target: $87.75
• Price Target Upside: 6.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): 4.25
• Revenue Forecast (FY): $6.22B

• Rating: 66 Neutral
• Price Target: $90.00 ▲(8.92% Upside)
• Action: Reiterated Date: 03/11/26
• Date: Action: Reiterated 03/11/26

The score is mainly constrained by middling financial quality driven by negative free cash flow and meaningful leverage, despite steady utility earnings. Offsetting positives include supportive technical momentum and a generally constructive earnings-call outlook with raised multi-year growth targets and strengthened contracted load visibility, while valuation is moderately favorable due to the dividend yield but not especially cheap on P/E.

Positive Factors

Rate-base growth via multi-year capital plan

A funded $21.6B 2026–2030 capex program that targets 11.5% annualized rate-base growth materially expands the regulated asset base. In a cost-of-service utility model, higher rate base tends to support allowed returns and predictable long-term earnings as investments are placed in service and recovered through rates.

Contracted large-load ESAs and deep customer pipeline

Binding ESAs for 1.9 GW and a 15+ GW pipeline provide structural load and revenue visibility. Minimum-bill protections and ramp schedules reduce volume risk and underpin long-term cash flow predictability, improving the utility's ability to justify and recover new infrastructure investments.

Regulatory and legislative protections boosting returns

New LLPS tariffs and Missouri SB 4 create premium demand pricing (15%–20% higher) and stronger customer protections, improving revenue recoverability on large loads. Structural regulatory wins reduce regulatory execution risk and strengthen the linkage between capital spending and allowed returns.

Negative Factors

Persistent negative free cash flow

Sustained negative free cash flow driven by heavy capital investment implies reliance on external financing to fund growth and dividends. Over multiple years this limits internal flexibility to delever, raises execution risk on the capex program, and constrains options for accelerating balance-sheet repair.

Elevated leverage and balance-sheet sensitivity

Debt consistently exceeding equity increases sensitivity to interest rates and refinancing cycles despite utility cash flows. Elevated leverage tightens credit metric headroom, heightens downgrade risk if earnings or recovery are disrupted, and makes rate-case timing and execution more critical to maintain financial flexibility.

Sizeable financing requirements and execution risk

A multi-billion financing plan with material debt, hybrid and equity raises increases execution and market-timing risk. Frequent capital raises can dilute shareholders, pressure credit metrics, and require sustained market access; failure to secure cost-efficient financing would strain the pace of planned investments and rate-base growth.

Evergy Business Overview & Revenue Model

Company Description

Evergy, Inc., together with its subsidiaries, engages in the generation, transmission, distribution, and sale of electricity in Kansas and Missouri, the United States. It generates electricity through coal, hydroelectric, landfill gas, uranium, and natural gas and oil sources, as well as solar, wind, other renewable sources. The company has approximately 10,100 circuit miles of transmission lines; 39,800 circuit miles of overhead distribution lines; and 13,000 circuit miles of underground distribution lines. It serves approximately 1,620,400 customers, including residences, commercial firms, industrials, municipalities, and other electric utilities. Evergy, Inc. was incorporated in 2017 and is headquartered in Kansas City, Missouri.

How the Company Makes Money

Evergy makes money primarily through regulated electric utility revenues. The core revenue stream is the sale and delivery of electricity to retail customers within its franchised service territories. Customer bills generally include charges for (1) energy (the electricity supplied, sourced from company-owned generation and purchased power) and (2) delivery service (transmission and distribution). Because these operations are regulated, the company’s earnings are largely driven by rates approved by state public utility commissions. Rates are designed to allow recovery of prudently incurred costs (such as fuel and purchased power, generation and grid operations, maintenance, and administrative expenses) and to provide an allowed return on invested capital (rate base), which includes long-lived utility infrastructure like power plants, transmission lines, substations, meters, and distribution networks. As Evergy invests in and places new infrastructure into service, its rate base can increase, which can support higher allowed earnings over time, subject to regulatory approval. In addition to retail service, Evergy also earns revenue from wholesale activities, which can include transmission service provided under federally regulated tariffs and, where applicable, sales of electricity into wholesale markets or to other utilities and counterparties. Another contributor can be regulatory mechanisms that adjust customer charges for specific cost categories (e.g., certain fuel or purchased-power costs) or riders for particular programs or investments when approved by regulators; if specific mechanisms apply in a given jurisdiction or period, their effect is to align revenues with permitted cost recovery. Overall, Evergy’s profitability is most influenced by regulatory outcomes (rate cases and approved returns), load/customer growth and usage patterns, operating and fuel/power procurement costs, and the timing and recovery of capital investments.

Evergy Financial Statement Overview

Summary

Steady regulated-utility revenue and resilient profitability support the score, but it’s held back by persistent negative free cash flow (capex intensity) and elevated leverage. Data anomalies in 2025 (margin and debt figures) also reduce confidence in the financial picture.

Income Statement

Revenue has been relatively steady with modest growth most years, though the trajectory has had a couple of down years (2020 and 2023). Profitability looks solid for a regulated utility, with net margins generally in the low-to-mid teens and improving earnings versus 2023. A notable data inconsistency appears in 2025 (gross margin spikes and EBIT margin is shown as 0), which reduces confidence in that period’s margin quality and tempers the score.

Balance Sheet

Leverage appears elevated and fairly consistent from 2020–2024, with debt running above equity (debt-to-equity ~1.18–1.41), which is common in regulated utilities but still increases sensitivity to rates and refinancing. Equity returns are steady (roughly mid-to-high single digits), indicating stable profitability on the capital base. 2025 shows an unusually low debt figure versus prior years, suggesting either a one-time change or a data issue, so the balance sheet strength is scored as moderate rather than high.

Cash Flow

Operating cash flow is consistently strong and generally rising, supporting the core earnings profile. However, free cash flow is negative in most years (2021–2025) and has been meaningfully negative recently, implying heavy capital spending and/or investment needs typical of utilities. While 2025 shows stronger cash generation relative to net income, the persistent free-cash-flow deficits remain the key weakness.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.92B	5.82B	5.49B	5.86B	5.59B
Gross Profit	1.91B	1.90B	1.67B	1.70B	1.74B
EBITDA	2.73B	2.64B	2.42B	2.19B	2.32B
Net Income	855.60M	873.50M	731.30M	752.70M	879.70M
Balance Sheet
Total Assets	35.44B	32.28B	30.98B	29.49B	28.52B
Cash, Cash Equivalents and Short-Term Investments	25.40M	22.00M	27.70M	25.20M	26.20M
Total Debt	15.44B	14.07B	13.15B	12.04B	11.17B
Total Liabilities	25.17B	22.29B	21.29B	20.00B	19.28B
Stockholders Equity	10.22B	9.96B	9.66B	9.48B	9.24B
Cash Flow
Free Cash Flow	-751.70M	-352.90M	-353.80M	-364.60M	-620.80M
Operating Cash Flow	2.05B	1.98B	1.98B	1.80B	1.35B
Investing Cash Flow	-2.57B	-2.26B	-2.47B	-2.15B	-1.91B
Financing Cash Flow	522.00M	280.30M	494.00M	349.30M	443.40M

Evergy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 82.63
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EVRG, the sentiment is Positive. The current price of 82.63 is above the 20-day moving average (MA) of 81.84, above the 50-day MA of 77.83, and above the 200-day MA of 72.85, indicating a bullish trend. The MACD of 1.22 indicates Positive momentum. The RSI at 60.74 is Neutral, neither overbought nor oversold. The STOCH value of 27.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EVRG.

Evergy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PPL	67 Neutral	$28.93B	21.95	8.16%	3.13%	8.42%	32.48%
EVRG	66 Neutral	$19.03B	19.53	8.47%	3.72%	0.11%	-0.52%
CMS	66 Neutral	$23.85B	19.63	12.33%	3.10%	10.96%	-0.77%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
PNW	65 Neutral	$12.44B	17.22	8.91%	4.15%	5.70%	-8.25%
OGE	64 Neutral	$9.97B	31.15	9.89%	3.82%	18.03%	29.46%
LNT	61 Neutral	$18.72B	20.63	11.22%	3.11%	7.76%	23.48%

Evergy Corporate Events

Evergy Prices $350 Million Notes to Support Funding

On March 10, 2026, Evergy issued $350 million of 4.250% notes due 2029 under a previously filed shelf registration, with a syndicate of major investment banks acting as underwriters. The notes were sold pursuant to an underwriting agreement dated March 5, 2026, bolstering the company’s funding capacity for general corporate purposes and signaling continued access to long-term debt markets.

The transaction underscores Evergy’s use of fixed-rate debt to manage its capital structure and finance utility operations in a rising-rate environment. For bond investors and other stakeholders, the deal highlights the company’s reliance on investment-grade debt issuance to support regulated utility spending and maintain liquidity over the medium term.

The most recent analyst rating on (EVRG) stock is a Buy with a $89.00 price target. To see the full list of analyst forecasts on Evergy stock, see the EVRG Stock Forecast page.

Evergy Outlines 2026 Guidance and Long-Term Growth Plan

On February 19, 2026, Evergy reported full-year 2025 GAAP earnings of $855.6 million, or $3.66 per share, down from $3.79 in 2024, while adjusted EPS edged up to $3.83 from $3.81 as regulated investment recovery and weather-normalized demand growth offset higher depreciation, operations, maintenance and interest costs amid milder weather. The utility declared a quarterly dividend of $0.695 per share, highlighted approval of new large load power service tariffs in Kansas and Missouri, announced electric service agreements for four major customer projects, and unveiled a $21.6 billion 2026-2030 capital plan alongside 2026 adjusted EPS guidance of $4.14-$4.34 and a 6%-8%+ long-term earnings growth target through 2030, underscoring expectations for stronger growth, increased large-customer load and potential affordability benefits for existing customers.

The most recent analyst rating on (EVRG) stock is a Hold with a $88.00 price target. To see the full list of analyst forecasts on Evergy stock, see the EVRG Stock Forecast page.

Evergy Secures New $500 Million Term Loan Facility

On February 11, 2026, Evergy, Inc. entered into a new $500 million unsecured term loan credit agreement with a syndicate of lenders led by Wells Fargo Bank, replacing a smaller $55 million unsecured term loan arranged in January 2026. The new facility, which matures on February 10, 2027, includes customary covenants capping the ratio of total indebtedness to total capitalization at 0.65 to 1.00 on a consolidated basis.

Evergy plans to use the proceeds for working capital, capital expenditures, permitted acquisitions and other general corporate purposes, including repaying the prior term loan in full. Concurrent with the new agreement on February 11, 2026, Evergy terminated the earlier facility, which carried no early termination penalties, signaling a refinancing that increases available liquidity and extends near-term financing flexibility without immediate added cost from the prior credit line.

The most recent analyst rating on (EVRG) stock is a Buy with a $82.00 price target. To see the full list of analyst forecasts on Evergy stock, see the EVRG Stock Forecast page.

Evergy Enters New Term Loan and Repurchases Convertible Notes

On January 7, 2026, Evergy entered into a $55 million unsecured term loan facility with Bank of America that matures on January 6, 2027, providing additional liquidity for working capital, capital expenditures, permitted acquisitions and other general corporate purposes under customary leverage covenants. On the same date, the utility agreed to repurchase approximately $244.1 million in principal amount of its 4.50% convertible notes due 2027 for about $302.5 million in cash, a transaction that will modestly reduce its outstanding convertible debt to roughly $1.16 billion and could influence trading dynamics in Evergy’s common stock as noteholders adjust associated hedging and arbitrage positions.

The most recent analyst rating on (EVRG) stock is a Hold with a $76.00 price target. To see the full list of analyst forecasts on Evergy stock, see the EVRG Stock Forecast page.