WEC Energy Group (WEC) AI Stock Analysis

• Market Cap: $36.10B
• Dividend Yield: 3.19%
• Average Volume (3M): 2.17M
• Price to Earnings (P/E): 21.0
• Beta (1Y): 0.05
• Revenue Growth: 11.88%
• EPS Growth: 29.76%
• Country: US
• Employees: 7,000
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 0.83
• Shares Outstanding: 325,294,250
• 10 Day Avg. Volume: 2,209,911
• 30 Day Avg. Volume: 2,168,284
• PEG Ratio: 1.39
• Price to Book (P/B): 2.39
• Price to Sales (P/S): 3.46
• P/FCF Ratio: 69.04
• Enterprise Value/Market Cap: 1.63
• Enterprise Value/Revenue: 6.17
• Enterprise Value/Gross Profit: 12.44
• Enterprise Value/Ebitda: 14.02
• 1Y Price Target: $124.18
• Price Target Upside: 10.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15
• EPS Forecast (FY): 5.24
• Revenue Forecast (FY): $9.35B

• Rating: 70 Outperform
• Price Target: $124.00 ▲(10.82% Upside)

WEC Energy Group's overall stock score reflects strong earnings call guidance and a robust balance sheet, offset by challenges in cash flow management and mixed technical indicators. The company's strategic investments and growth projections are promising, but liquidity and cost management remain areas to watch.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective business strategy, supporting long-term financial stability.

Capital Investment Plan

Significant capital investment supports infrastructure expansion and future growth, enhancing competitive advantage and market presence.

Market Expansion

Anticipated demand growth driven by major corporate investments indicates strong market expansion potential, boosting long-term revenue.

Negative Factors

Cash Flow Challenges

Negative free cash flow highlights potential liquidity issues, which could constrain financial flexibility and impact operational capabilities.

Rising Operating Expenses

Increased operating expenses can pressure profit margins and reduce overall profitability, affecting long-term financial health.

Nuclear Plant Negotiations

Uncertainty in nuclear plant negotiations poses risks to capacity planning and could necessitate costly capacity replacements.

WEC Energy Group Business Overview & Revenue Model

Company Description

WEC Energy Group (WEC) is a diversified energy company headquartered in Milwaukee, Wisconsin. It operates through several subsidiaries, primarily in the sectors of electric and natural gas utility services, renewable energy generation, and energy-related infrastructure. The company serves millions of customers across Wisconsin, Minnesota, and Michigan, providing essential services that include electricity and natural gas distribution, as well as the generation of renewable energy from wind and solar sources.

How the Company Makes Money

WEC Energy Group generates revenue primarily through the provision of utility services to residential, commercial, and industrial customers. Its key revenue streams include regulated electric and gas utility operations, where the company earns money through the sale of electricity and natural gas, as well as infrastructure investments. WEC also profits from its renewable energy projects, which benefit from long-term power purchase agreements (PPAs) and federal tax incentives for renewable energy generation. Moreover, the company has strong partnerships with various local and state governments and regulatory bodies, which allow it to secure funding for infrastructure projects and maintain stable pricing models. Additionally, WEC's investment in energy efficiency programs and demand-side management initiatives contributes to its revenue by incentivizing customers to reduce consumption, thereby optimizing the company's energy production and distribution operations.

WEC Energy Group Financial Statement Overview

Summary

WEC Energy Group demonstrates solid financial health with strong profitability and a stable balance sheet. However, cash flow management requires attention due to negative free cash flow, which could impact liquidity.

Income Statement

WEC Energy Group shows a stable revenue growth rate of 2.58% in the TTM, recovering from a decline in previous years. The gross profit margin remains strong at 43.24%, and the net profit margin is healthy at 17.73%. However, the EBIT margin has decreased compared to previous years, indicating potential cost pressures.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.09 in the TTM, significantly improved from previous years, indicating strong financial stability. The return on equity is moderate at 8.70%, suggesting efficient use of equity capital. The equity ratio is solid, reflecting a strong asset base.

Cash Flow

Cash flow analysis reveals challenges with a negative free cash flow in the TTM, indicating potential liquidity issues. The operating cash flow to net income ratio is reasonable at 0.74, but the negative free cash flow to net income ratio highlights the need for improved cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.55B	8.60B	8.89B	9.60B	8.32B	7.24B
Gross Profit	4.73B	3.79B	3.60B	3.30B	3.00B	2.89B
EBITDA	4.20B	3.92B	3.53B	3.37B	3.04B	2.90B
Net Income	1.70B	1.53B	1.33B	1.41B	1.30B	1.20B
Balance Sheet
Total Assets	49.81B	47.36B	43.94B	41.87B	38.99B	37.03B
Cash, Cash Equivalents and Short-Term Investments	51.10M	9.80M	42.90M	28.90M	16.30M	24.80M
Total Debt	21.19B	20.33B	18.80B	17.37B	15.59B	14.29B
Total Liabilities	35.80B	34.56B	31.87B	30.26B	27.88B	26.37B
Stockholders Equity	13.60B	12.43B	11.75B	11.41B	10.94B	10.50B
Cash Flow
Free Cash Flow	-404.90M	430.70M	525.50M	-254.20M	-220.10M	-42.80M
Operating Cash Flow	3.54B	3.21B	3.02B	2.06B	2.03B	2.20B
Investing Cash Flow	-5.32B	-3.80B	-3.56B	-2.64B	-2.31B	-2.81B
Financing Cash Flow	1.54B	467.70M	522.80M	676.40M	294.00M	601.10M

WEC Energy Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 111.89
• 50DMA: Negative
• 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 WEC, the sentiment is Positive. The current price of 111.89 is below the 20-day moving average (MA) of 112.49, below the 50-day MA of 112.12, and above the 200-day MA of 106.26, indicating a neutral trend. The MACD of -0.47 indicates Positive momentum. The RSI at 49.02 is Neutral, neither overbought nor oversold. The STOCH value of 42.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WEC.

WEC Energy Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PCG	73 Outperform	$36.24B	14.06	9.21%	0.61%	-0.27%	-7.65%
AEE	72 Outperform	$28.41B	20.20	11.47%	2.67%	22.71%	22.86%
WEC	70 Outperform	$36.10B	20.97	13.19%	3.19%	11.88%	29.76%
ETR	70 Neutral	$42.45B	23.46	11.33%	2.58%	6.71%	-0.12%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
ED	65 Neutral	$36.69B	17.76	8.84%	3.30%	10.35%	7.64%
DTE	65 Neutral	$28.47B	20.54	11.64%	3.17%	19.42%	-9.68%

WEC Energy Group Corporate Events

WEC Energy Group Reports Strong Third-Quarter Earnings

WEC Energy Group Inc., a leading energy company based in Milwaukee, operates in the utilities sector, providing electricity and natural gas services to 4.7 million customers across Wisconsin, Illinois, Michigan, and Minnesota. The company is a Fortune 500 entity and part of the S&P 500 index, known for its significant investments in renewable energy infrastructure.

WEC Energy Group Highlights Strategic Initiatives and Growth

WEC Energy Group announced its participation in upcoming investor meetings, highlighting its robust financial performance and strategic initiatives. The company has consistently exceeded earnings guidance for 21 years and continues to demonstrate strong dividend growth, with a 6.9% increase in January 2025. WEC is also focusing on regional growth, with significant projects like the Wisconsin Very Large Customer Tariff and partnerships with major corporations like Microsoft, which is developing a $3.3 billion data center in Mount Pleasant. These initiatives are expected to drive substantial demand and economic growth in the region.

The most recent analyst rating on (WEC) stock is a Buy with a $110.00 price target. To see the full list of analyst forecasts on WEC Energy Group stock, see the WEC Stock Forecast page.

WEC Energy Group Engages Investors on Future Plans

WEC Energy Group is engaging with investors to discuss its future plans and performance. The company has consistently achieved strong earnings and dividend growth, with a 6.9% increase in dividends in January 2025. It is also focusing on meeting the needs of very large customers through a new tariff filed with the Public Service Commission of Wisconsin, which is expected to support significant regional growth and energy demand, particularly with projects like Microsoft’s data center in Mount Pleasant.

The most recent analyst rating on (WEC) stock is a Hold with a $97.00 price target. To see the full list of analyst forecasts on WEC Energy Group stock, see the WEC Stock Forecast page.

WEC Energy Group’s Earnings Call Highlights Growth Amid Challenges

The recent earnings call for WEC Energy Group Inc. painted a generally positive picture for the company’s future, highlighting strong earnings growth and robust economic development initiatives. Despite these optimistic signals, the company acknowledged several challenges, including increased operational expenses, storm damage impacts, and higher interest expenses, which could pose hurdles in the coming quarters.

WEC Energy Group Reports Strong Q2 2025 Results

WEC Energy Group Inc., a leading energy company based in Milwaukee, operates in the utilities sector, providing electricity and natural gas to 4.7 million customers across Wisconsin, Illinois, Michigan, and Minnesota. The company is recognized for its significant infrastructure investments and commitment to renewable energy generation.