Spire (SR) AI Stock Analysis

• Market Cap: $4.48B
• Dividend Yield: 4.13%
• Average Volume (3M): 453.57K
• Price to Earnings (P/E): 18.6
• Beta (1Y): 0.27
• Revenue Growth: -7.10%
• EPS Growth: 2.54%
• Country: US
• Employees: 3,475
• Sector: Utilities
• Sector Strength: 71
• Industry: Regulated Gas
• EPS (TTM): 3.60
• Shares Outstanding: 59,016,872
• 10 Day Avg. Volume: 436,984
• 30 Day Avg. Volume: 453,574
• PEG Ratio: -10.38
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.39
• Enterprise Value/Market Cap: 2.06
• Enterprise Value/Revenue: 0.91
• Enterprise Value/Gross Profit: 5.40
• Enterprise Value/Ebitda: 2.94
• 1Y Price Target: $80.60
• Price Target Upside: 6.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 72 Outperform
• Price Target: $82.00 ▲(8.74%Upside)

Spire's overall stock score is primarily driven by its solid financial performance and balanced earnings call outlook. The company's stable cash flow and strategic investments support long-term potential, despite challenges like weather and cost pressures. Valuation and technical analysis provide additional stability, making the stock an attractive option for income-focused investors in the regulated gas industry.

Positive Factors

Earnings Potential

Spire is well positioned to both raise earnings and narrow its valuation gap due to improvements in MO regulation and benefits from the SB4 legislation.

Investment Opportunity

The current discount on Spire's stock offers a significant re-rate opportunity, making it an attractive investment.

Regulatory Environment

Recent legislative efforts, such as SB4, support future test years, indicating an improving regulatory environment in Missouri.

Negative Factors

Earnings Volatility

Spire’s non-utility business segments are expected to continue to drive earnings volatility, reflected in 1Q25 by the weak Gas marketing performance.

Utility Earnings

Lower utility earnings contribution indicates continued impediments to growth at the utility from weather, financing, and dilution headwinds.

Weather Impact

Weather continues to be an uncontrolled headwind; Spire Inc faces headwinds from EPS volatility driven by weather.

Spire Business Overview & Revenue Model

Company Description

Spire Inc., together with its subsidiaries, engages in the purchase, retail distribution, and sale of natural gas to residential, commercial, industrial, and other end-users of natural gas in the United States. The company operates in two segments, Gas Utility and Gas Marketing. It is also involved in the marketing of natural gas. In addition, the company engages in the transportation of propane through its propane pipeline; compression of natural gas; risk management; and other activities. Further, it provides physical natural gas storage services. The company was formerly known as The Laclede Group, Inc. and changed its name to Spire Inc. in April 2016. Spire Inc. was founded in 1857 and is based in St. Louis, Missouri.

How the Company Makes Money

Spire Global, Inc. generates revenue through the sale of its space-based data and analytics services. The company monetizes its proprietary data by providing subscription-based access to its extensive datasets and analytics capabilities. Key revenue streams include services for weather forecasting, maritime and aviation tracking, which are crucial for sectors such as shipping, logistics, and meteorology. Additionally, Spire partners with governmental organizations and commercial enterprises, offering tailored solutions and licensing its data for specific applications. These partnerships and collaborations significantly enhance Spire's earnings potential, as they leverage its satellite technology to address complex challenges across multiple industries.

Spire Financial Statement Overview

Summary

Spire demonstrates solid financial health characterized by strong cash flow generation and stable profitability metrics. While leverage is carefully managed, the company should focus on boosting revenue growth and maintaining margins to ensure sustained long-term performance. The regulated nature of the utilities industry provides stability, though continuous monitoring of debt levels is advisable.

Income Statement

Spire shows a stable gross profit margin, indicating strong control over cost of goods sold relative to revenue. However, revenue growth has been slightly inconsistent, with a decline in the latest TTM period compared to the previous annual figure. Net profit margin is healthy, though there was a slight decrease in comparison to the prior annual period.

Balance Sheet

The company's debt-to-equity ratio appears moderate, showing a balanced approach to leverage. Return on equity is satisfactory, reflecting decent profitability relative to shareholder investments. However, the equity ratio suggests a substantial portion of assets are financed by liabilities, which could pose risks if not managed carefully.

Cash Flow

Operating cash flow is strong relative to net income, indicating efficient cash generation from operations. Free cash flow growth has been positive in the TTM period, a significant improvement from previous years, highlighting better cash management and potential for reinvestment or debt reduction.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	2.59B	2.67B	2.20B	2.24B	1.86B
Gross Profit	982.30M	887.90M	825.00M	823.40M	700.70M
EBITDA	789.10M	694.40M	636.80M	659.90M	403.80M
Net Income	250.90M	217.50M	220.80M	271.70M	88.60M
Balance Sheet
Total Assets	10.86B	10.31B	10.08B	9.36B	8.24B
Cash, Cash Equivalents and Short-Term Investments	4.50M	5.60M	6.50M	4.30M	4.10M
Total Debt	4.69B	4.67B	4.28B	3.67B	3.13B
Total Liabilities	7.62B	7.40B	7.25B	6.70B	5.72B
Stockholders Equity	3.23B	2.92B	2.82B	2.66B	2.52B
Cash Flow
Free Cash Flow	51.10M	-222.30M	-497.20M	-375.00M	-168.50M
Operating Cash Flow	912.40M	440.20M	55.00M	249.80M	469.90M
Investing Cash Flow	-1.03B	-695.50M	-546.70M	-622.00M	-631.60M
Financing Cash Flow	123.90M	260.60M	500.90M	379.40M	160.00M

Spire Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 75.41
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SR, the sentiment is Positive. The current price of 75.41 is above the 20-day moving average (MA) of 74.07, above the 50-day MA of 73.56, and above the 200-day MA of 70.50, indicating a bullish trend. The MACD of 0.55 indicates Negative momentum. The RSI at 59.79 is Neutral, neither overbought nor oversold. The STOCH value of 70.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SR.

Spire Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPK	77 Outperform	$2.83B	22.47	9.04%	2.26%	20.41%	13.64%
NJR	76 Outperform	$4.64B	11.10	17.83%	3.89%	20.30%	63.69%
SR	72 Outperform	$4.48B	18.61	7.30%	4.13%	-7.10%	2.54%
NWN	72 Outperform	$1.69B	16.58	7.36%	4.67%	3.88%	11.80%
OGS	71 Outperform	$4.36B	17.58	8.08%	3.67%	7.73%	2.36%
SWX	68 Neutral	$5.54B	24.68	6.49%	3.22%	-10.78%	16.27%
Sector *	61 Neutral	C$5.02B	-18.31	-18.56%	4.32%	11.65%	-69.08%

Spire Corporate Events

Spire Files New Shelf Registration for Equity Offering

On May 7, 2025, Spire Inc. filed a new shelf registration statement with the SEC, replacing a previous one from 2022. This filing includes a prospectus supplement for an ‘at-the-market’ equity offering program, allowing the company to issue and sell up to $123,613,839 in common stock, enhancing its financial flexibility.

Spire Reports Strong Q2 2025 Financial Results

On April 30, 2025, Spire Inc. reported its fiscal 2025 second quarter results, showing a net income of $209.3 million and adjusted earnings of $214.4 million, reflecting growth in gas utility and midstream earnings. The company highlighted its commitment to operational excellence and infrastructure investments, expecting fiscal 2025 earnings to remain within the guidance range of $4.40 to $4.60 per share.

Spire Appoints Scott Doyle as New CEO

On April 24, 2025, Spire Inc. announced the appointment of Scott Doyle as its new President and CEO, effective immediately, following the termination of Steve Lindsey’s employment. Doyle, who previously served as the company’s COO, brings extensive experience from his tenure at CenterPoint Energy. This leadership transition is expected to support Spire’s strategy of operational excellence and customer service, with no material financial events prompting the change.