WEC Energy Group
WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services in the United States. The company operates through Wisconsin, Illinois, Other States, Electric Transmission, and Non-Utility Energy Infrastructu…
WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services in the United States. The company operates through Wisconsin, Illinois, Other States, Electric Transmission, and Non-Utility Energy Infrastructure segments. It generates and distributes electricity from coal, natural gas, oil, and nuclear, as well as renewable energy resources, including wind, solar, hydroelectric, and biomass; and distributes and hydroelectric natural gas. The company also owns, maintains, monitors, and operates electric transmission systems; and generates, distributes, and sells steam. As of December 31, 2025, the company operated approximately 35,200 miles of overhead distribution lines and 37,600 miles of underground distribution cables, as well as 420 electric distribution substations and 649,500 line transformers; approximately 47,200 miles of natural gas distribution mains; 1,300 miles of natural gas transmission mains; 2.4 million natural gas lateral services; 510 natural gas distribution and transmission gate stations; and 67.0 billion cubic feet of working gas capacities in underground natural gas storage fields. The company was formerly known as Wisconsin Energy Corporation and changed its name to WEC Energy Group, Inc. in June 2015. WEC Energy Group, Inc. was founded in 1896 and is headquartered in Milwaukee, Wisconsin.Priced within the modelled range
5-year outlook: Not shown because confidence is low: Earnings-based DCF disagrees strongly.
Other models: USD 76.25–104.93 (median 76.81). The recommended value is 58% above that median, so treat the upside with extra caution.
Why: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Details and the full model are below.
Market price within modeled range
Free-cash-flow DCF using Fiscal year 2025 reported free cash flow, with cash, debt, and shares from the latest report. Base assumptions are 4.35% growth, 2.2% terminal growth, and 8.6% discount. Low/high cases vary growth by 2 and terminal growth/discount by 1 percentage point; this illustrative range is not a statistical confidence interval or investment advice.
Assumptions: growth 4.35%, discount rate 8.60%, terminal growth 2.20% (sector defaults). See a worked example.
Blended growth assumption: 4.3% (sector default 4.0%, own revenue history 4.2%, analyst revenue consensus 4.6%).
Analyst consensus expects revenue growth of 4.6% a year; the growth assumption used is 4.4%.
Adjust assumptions
Why this model: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Compare models- Recommended: Free-cash-flow DCF — USD 121.14 (+2.4%)
-
EPS-based Gordon proxy
— USD 76.81 (-35.1%)
Not used: Treats all earnings as if paid out and ignores the cash kept for reinvestment, so it overstates value for companies that retain most profit.
-
DCF (trailing free cash flow)
— USD 121.14 (+2.4%)
Not used: Free cash flow is 2.2x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
-
FCFF (steady state)
— USD 104.93 (-11.3%)
Not used: Free cash flow is 2.2x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
-
EV/EBITDA (12x)
— USD 76.25 (-35.6%)
Not used: Used only when free cash flow is far below earnings even after averaging three years; a fixed 12x multiple also ignores sector differences.
-
Fade DCF (10-year growth fade)
— USD 120.60 (+1.9%)
Not used: Free cash flow is 2.2x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
-
EV/Sales (Rule of 40)
— USD 194.58 (+64.5%)
Not used: Used only for technology and communication companies whose cash-flow value is far below the price.
| Bear USD 70.26 | -68.4% |
| Base USD 121.14 | 2.3% |
| Bull USD 219.55 | 46.1% |
Margin = (value − price) / value, so it is measured against the value and reads lower than the upside to value, which is measured against the price. Positive means the price is below that case.
At USD 118.32 the market implies about this annual free-cash-flow growth for 5 years (terminal 2.2%, discount 8.6%).
Compare: the market implies 4.0% a year, this model assumes 4.4%. The model is more optimistic than the price, which is why it reads as undervalued.
How the Free-cash-flow DCF value changes with growth (rows) and discount rate (columns). Green cells are above the current price.
| Growth \ Discount | 6.6% | 7.6% | 8.6% | 9.6% | 10.6% |
|---|---|---|---|---|---|
| 0.3% | 161.17 | 120.16 | 91.97 | 71.38 | 55.69 |
| 2.3% | 182.32 | 137.10 | 106.02 | 83.33 | 66.05 |
| 4.4% | 205.13 | 155.35 | 121.14 | 96.18 | 77.17 |
| 6.4% | 229.67 | 174.97 | 137.39 | 109.98 | 89.12 |
| 8.4% | 256.05 | 196.05 | 154.84 | 124.79 | 101.93 |
Track record: see the methodology page for how this model has performed historically, including its limits. Treat it as a screen, not a forecast.
Price history and fair value
No chartable saved daily price history is available for this range. The chart uses stored EODHD prices only and will appear after history is saved.
More detail: quality, peers, price history, dividends and financials
Quality score: 68 / 100
Five equal checks on reported history: profitability, cash generation, revenue growth, balance sheet and margins. It describes business quality, not whether the price is attractive.
| Profitability | 5 of 5 years profitable | 20 / 20 |
| Cash generation | free cash flow positive in 4 of 5 years | 16 / 20 |
| Growth | revenue +1.8% a year | 12 / 20 |
| Balance sheet | net debt 5.3x EBITDA | 0 / 20 |
| Margins | EBITDA margin 38% | 20 / 20 |
Peers in Utilities
Same-sector companies with a valuation, most undervalued first. Compare the margin of safety, yield and quality score side by side.
| Company | Price | Margin of safety | P/E | P/B | Yield | Quality |
|---|---|---|---|---|---|---|
| WEC (this company) | USD 118.32 | 16.2% | 21.4 | – | 3.0% | 68 |
| ENGI.PA Engie SA | EUR 24.12 | 15.5% | 16.0 | 1.9 | 7.4% | 76 |
| ED Consolidated Edison | USD 121.44 | 12.4% | 19.6 | 1.7 | – | 68 |
| FORTUM.HE Fortum Oyj | EUR 23.15 | -3.6% | 25.8 | 2.6 | 6.0% | 72 |
| CNA.L Centrica plc | GBP 1.51 | -6.6% | – | 2.3 | 3.3% | 92 |
| NTGY.MC Naturgy Energy Group, S.A. | EUR 29.32 | -9.8% | 14.1 | 3.0 | 5.9% | 70 |
| EIX Edison International | USD 60.88 | -13.5% | 6.4 | 1.3 | 5.5% | 52 |
| NEE NextEra Energy | USD 88.25 | -16.2% | 15.9 | 3.0 | 2.7% | 72 |
| CMS CMS Energy | USD 70.68 | -16.7% | 21.6 | 2.3 | 3.1% | 68 |
| Peer median | 16.0 | 2.3 | ||||
Dividends
Paid in the last 12 months: USD 3.75 per share · yield 3.17% at the current price.
| Year | Dividends per share |
|---|---|
| 2026 (so far) | 2.858 |
| 2025 | 3.570 |
| 2024 | 3.340 |
| 2023 | 3.120 |
| 2022 | 2.910 |
| 2021 | 2.710 |
Annual financial statement
Saved annual report · Fiscal year 2025 · SEC EDGAR annual filings · period ended 31 Dec 2025
| Revenue | USD 9,800,100,000 |
|---|---|
| EBITDA | USD 3,723,400,000 |
| EBIT | USD 2,244,900,000 |
| Net income | USD 1,557,500,000 |
| Free cash flow | USD 3,379,400,000 |
| Capital expenditures | USD |
| Debt | USD 20,017,500,000 |
| Cash | USD 27,600,000 |
| Working capital | USD -2,308,700,000 |
| Shares outstanding | 323,800,000 |
| Reported dividends per share | USD 3.5700 |