We are raising our fair value estimate for DTE Energy to $119 from $117 after management added $2 billion, or about 11%, to their five-year capital investment plan. The $25 billion plan for 2024-28 is slightly higher than we had forecast. We are reaffirming our narrow moat rating.
Shareholders received a 7% annual dividend increase for 2024. We expect similar annual dividend growth for the foreseeable future.
Although changes to Michigan's regulatory framework were signed into law in late 2016, DTE still faces regulatory lag based on the timing of rate case filings.
|
Metric
|
DTE
|
WEC
|
CMS
|
|---|---|---|---|
Price/Earnings (Normalized) | 21.15 | 19.63 | 21.78 |
Price/Book Value | 2.04 | 2.28 | 2.43 |
Price/Sales | 1.59 | 2.91 | 2.16 |
Price/Cash Flow | 7.14 | 10.66 | 9.63 |
|
Metric
|
DTE
|
WEC
|
CMS
|
|---|---|---|---|
Quick Ratio | 0.40 | 0.32 | 0.31 |
Current Ratio | 0.85 | 0.60 | 0.90 |
Interest Coverage | 2.70 | 3.35 | 2.35 |
|
Metric
|
DTE
|
WEC
|
CMS
|
|---|---|---|---|
Return on Assets (Normalized) | 2.83% | 3.16% | 2.32% |
Return on Equity (Normalized) | 11.77% | 11.59% | 10.70% |
Return on Invested Capital (Normalized) | 6.13% | 6.53% | 5.69% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|
NEE
| NextEra Energy Inc | Tkbcs | $122.8 Bil | |
SO
| Southern Co | Xzbgtl | $78.1 Bil | |
DUK
| Duke Energy Corp | Bzxjm | $72.8 Bil | |
NGG
| National Grid PLC ADR | Vkqn | $49.4 Bil | |
PCG
| PG&E Corp | Rxx | $44.2 Bil | |
AEP
| American Electric Power Co Inc | Nrxbfl | $42.2 Bil | |
D
| Dominion Energy Inc | Njtzcx | $39.5 Bil | |
EXC
| Exelon Corp | Wkgzzyy | $39.2 Bil | |
XEL
| Xcel Energy Inc | Fzsby | $34.0 Bil | |
ED
| Consolidated Edison Inc | Kyx | $31.9 Bil |
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