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AEE vs. MGEE: A Head-to-Head Stock Comparison

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Here’s a clear look at AEE and MGEE, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AEE’s market capitalization of 26.57 billion USD is substantially larger than MGEE’s 3.29 billion USD, indicating a significant difference in their market valuations.

MGEE carries a higher beta at 0.77, indicating it’s more sensitive to market moves, while AEE (beta: 0.51) exhibits greater stability.

SymbolAEEMGEE
Company NameAmeren CorporationMGE Energy, Inc.
CountryUSUS
SectorUtilitiesUtilities
IndustryRegulated ElectricDiversified Utilities
CEOMartin J. Lyons Jr.Jeffrey M. Keebler
Price96.02 USD90.05 USD
Market Cap26.57 billion USD3.29 billion USD
Beta0.510.77
ExchangeNYSENASDAQ
IPO DateJanuary 2, 1998March 17, 1980
ADRNoNo

Historical Performance

This chart compares the performance of AEE and MGEE by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AEE vs. MGEE: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AEE

10.15%

Regulated Electric Industry

Max
18.07%
Q3
12.49%
Median
10.00%
Q1
8.48%
Min
5.02%

AEE’s Return on Equity of 10.15% is on par with the norm for the Regulated Electric industry, indicating its profitability relative to shareholder equity is typical for the sector.

MGEE

10.58%

Diversified Utilities Industry

Max
17.95%
Q3
11.52%
Median
9.21%
Q1
6.89%
Min
1.90%

MGEE’s Return on Equity of 10.58% is on par with the norm for the Diversified Utilities industry, indicating its profitability relative to shareholder equity is typical for the sector.

AEE vs. MGEE: A comparison of their ROE against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Return on Invested Capital

AEE

3.42%

Regulated Electric Industry

Max
5.26%
Q3
4.57%
Median
3.97%
Q1
3.33%
Min
1.92%

AEE’s Return on Invested Capital of 3.42% is in line with the norm for the Regulated Electric industry, reflecting a standard level of efficiency in generating profits from its capital base.

MGEE

5.22%

Diversified Utilities Industry

Max
5.93%
Q3
5.01%
Median
4.05%
Q1
3.29%
Min
2.36%

In the upper quartile for the Diversified Utilities industry, MGEE’s Return on Invested Capital of 5.22% signifies a highly effective use of its capital to generate profits when compared to its peers.

AEE vs. MGEE: A comparison of their ROIC against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Net Profit Margin

AEE

15.31%

Regulated Electric Industry

Max
22.24%
Q3
15.98%
Median
13.10%
Q1
11.03%
Min
3.79%

AEE’s Net Profit Margin of 15.31% is aligned with the median group of its peers in the Regulated Electric industry. This indicates its ability to convert revenue into profit is typical for the sector.

MGEE

18.22%

Diversified Utilities Industry

Max
22.37%
Q3
17.08%
Median
12.67%
Q1
9.69%
Min
0.50%

A Net Profit Margin of 18.22% places MGEE in the upper quartile for the Diversified Utilities industry, signifying strong profitability and more effective cost management than most of its peers.

AEE vs. MGEE: A comparison of their Net Profit Margin against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Operating Profit Margin

AEE

19.93%

Regulated Electric Industry

Max
31.57%
Q3
25.65%
Median
21.93%
Q1
17.87%
Min
8.99%

AEE’s Operating Profit Margin of 19.93% is around the midpoint for the Regulated Electric industry, indicating that its efficiency in managing core business operations is typical for the sector.

MGEE

22.51%

Diversified Utilities Industry

Max
27.96%
Q3
22.82%
Median
19.04%
Q1
13.03%
Min
7.89%

MGEE’s Operating Profit Margin of 22.51% is around the midpoint for the Diversified Utilities industry, indicating that its efficiency in managing core business operations is typical for the sector.

AEE vs. MGEE: A comparison of their Operating Margin against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Profitability at a Glance

SymbolAEEMGEE
Return on Equity (TTM)10.15%10.58%
Return on Assets (TTM)2.65%4.52%
Return on Invested Capital (TTM)3.42%5.22%
Net Profit Margin (TTM)15.31%18.22%
Operating Profit Margin (TTM)19.93%22.51%
Gross Profit Margin (TTM)61.78%56.45%

Financial Strength

Current Ratio

AEE

0.86

Regulated Electric Industry

Max
1.48
Q3
1.06
Median
0.86
Q1
0.73
Min
0.28

AEE’s Current Ratio of 0.86 aligns with the median group of the Regulated Electric industry, indicating that its short-term liquidity is in line with its sector peers.

MGEE

2.07

Diversified Utilities Industry

Max
2.07
Q3
1.38
Median
1.19
Q1
0.81
Min
0.57

MGEE’s Current Ratio of 2.07 is in the upper quartile for the Diversified Utilities industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

AEE vs. MGEE: A comparison of their Current Ratio against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Debt-to-Equity Ratio

AEE

0.00

Regulated Electric Industry

Max
2.38
Q3
1.97
Median
1.65
Q1
1.28
Min
0.27

At 0.00, AEE’s Debt-to-Equity Ratio is unusually low for the Regulated Electric industry. This highlights a conservative capital structure, suggesting the company prioritizes financial stability over aggressive growth funded by debt.

MGEE

0.61

Diversified Utilities Industry

Max
1.54
Q3
1.19
Median
0.73
Q1
0.63
Min
0.23

Falling into the lower quartile for the Diversified Utilities industry, MGEE’s Debt-to-Equity Ratio of 0.61 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

AEE vs. MGEE: A comparison of their D/E Ratio against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Interest Coverage Ratio

AEE

2.30

Regulated Electric Industry

Max
3.07
Q3
2.63
Median
2.41
Q1
2.30
Min
1.87

AEE’s Interest Coverage Ratio of 2.30 is positioned comfortably within the norm for the Regulated Electric industry, indicating a standard and healthy capacity to cover its interest payments.

MGEE

4.88

Diversified Utilities Industry

Max
6.39
Q3
3.88
Median
2.56
Q1
1.73
Min
1.25

MGEE’s Interest Coverage Ratio of 4.88 is in the upper quartile for the Diversified Utilities industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

AEE vs. MGEE: A comparison of their Interest Coverage against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Financial Strength at a Glance

SymbolAEEMGEE
Current Ratio (TTM)0.862.07
Quick Ratio (TTM)0.621.49
Debt-to-Equity Ratio (TTM)0.000.61
Debt-to-Asset Ratio (TTM)0.000.27
Net Debt-to-EBITDA Ratio (TTM)-0.002.87
Interest Coverage Ratio (TTM)2.304.88

Growth

The following charts compare key year-over-year (YoY) growth metrics for AEE and MGEE. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AEE vs. MGEE: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AEE vs. MGEE: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AEE vs. MGEE: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AEE

2.87%

Regulated Electric Industry

Max
6.60%
Q3
4.03%
Median
3.30%
Q1
3.06%
Min
0.00%

AEE’s Dividend Yield of 2.87% is in the lower quartile for the Regulated Electric industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

MGEE

2.00%

Diversified Utilities Industry

Max
18.26%
Q3
5.83%
Median
4.74%
Q1
2.93%
Min
0.00%

MGEE’s Dividend Yield of 2.00% is in the lower quartile for the Diversified Utilities industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

AEE vs. MGEE: A comparison of their Dividend Yield against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Dividend Payout Ratio

AEE

60.08%

Regulated Electric Industry

Max
123.06%
Q3
69.07%
Median
62.27%
Q1
52.66%
Min
0.00%

AEE’s Dividend Payout Ratio of 60.08% is within the typical range for the Regulated Electric industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

MGEE

50.30%

Diversified Utilities Industry

Max
89.06%
Q3
77.28%
Median
56.48%
Q1
42.75%
Min
0.00%

MGEE’s Dividend Payout Ratio of 50.30% is within the typical range for the Diversified Utilities industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AEE vs. MGEE: A comparison of their Payout Ratio against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Dividend at a Glance

SymbolAEEMGEE
Dividend Yield (TTM)2.87%2.00%
Dividend Payout Ratio (TTM)60.08%50.30%

Valuation

Price-to-Earnings Ratio

AEE

21.43

Regulated Electric Industry

Max
26.46
Q3
21.71
Median
19.07
Q1
17.74
Min
12.74

AEE’s P/E Ratio of 21.43 is within the middle range for the Regulated Electric industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

MGEE

25.62

Diversified Utilities Industry

Max
25.08
Q3
19.50
Median
15.21
Q1
11.42
Min
2.74

At 25.62, MGEE’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Diversified Utilities industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

AEE vs. MGEE: A comparison of their P/E Ratio against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Forward P/E to Growth Ratio

AEE

2.80

Regulated Electric Industry

Max
4.21
Q3
3.10
Median
2.78
Q1
2.34
Min
1.46

AEE’s Forward PEG Ratio of 2.80 is within the middle range of its peers in the Regulated Electric industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

MGEE

4.48

Diversified Utilities Industry

Max
3.39
Q3
2.59
Median
2.31
Q1
1.97
Min
1.69

MGEE’s Forward PEG Ratio of 4.48 is exceptionally high for the Diversified Utilities industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

AEE vs. MGEE: A comparison of their Forward PEG Ratio against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Price-to-Sales Ratio

AEE

3.36

Regulated Electric Industry

Max
3.88
Q3
3.19
Median
2.68
Q1
1.96
Min
0.27

AEE’s P/S Ratio of 3.36 is in the upper echelon for the Regulated Electric industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

MGEE

4.67

Diversified Utilities Industry

Max
3.68
Q3
2.25
Median
1.75
Q1
0.80
Min
0.47

With a P/S Ratio of 4.67, MGEE trades at a valuation that eclipses even the highest in the Diversified Utilities industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AEE vs. MGEE: A comparison of their P/S Ratio against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Price-to-Book Ratio

AEE

2.12

Regulated Electric Industry

Max
2.95
Q3
2.37
Median
1.89
Q1
1.43
Min
0.55

AEE’s P/B Ratio of 2.12 is within the conventional range for the Regulated Electric industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

MGEE

2.61

Diversified Utilities Industry

Max
2.56
Q3
1.75
Median
1.29
Q1
1.12
Min
0.31

At 2.61, MGEE’s P/B Ratio is at an extreme premium to the Diversified Utilities industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AEE vs. MGEE: A comparison of their P/B Ratio against their respective Regulated Electric and Diversified Utilities industry benchmarks.

Valuation at a Glance

SymbolAEEMGEE
Price-to-Earnings Ratio (P/E, TTM)21.4325.62
Forward PEG Ratio (TTM)2.804.48
Price-to-Sales Ratio (P/S, TTM)3.364.67
Price-to-Book Ratio (P/B, TTM)2.122.61
Price-to-Free Cash Flow Ratio (P/FCF, TTM)-14.6565.78
EV-to-EBITDA (TTM)7.4115.74
EV-to-Sales (TTM)3.365.71