WEC Energy Group, Inc. (WEC) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+6.5%

$124.09

vs $116.53 price

Levered DCF

$194.92

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

1.13

Distress zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	21.7×	19.55×	19.95×	21.02×	23.56×	24.22×	25.62×	20.61×
P/B	2.52×	2.39×	2.26×	2.59×	2.8×	2.76×	2.87×	2.23×
P/S	3.5×	3.46×	2.99×	3.08×	3.68×	4.01×	3.87×	2.85×
EV / EBITDA	13.99×	12.78×	12.84×	13.92×	15.17×	14.93×	15.55×	13.31×
Gross margin	50.5%	44.0%	40.5%	34.4%	36.1%	39.9%	35.4%	32.7%
Operating margin	24.2%	25.0%	21.5%	20.0%	20.6%	23.6%	20.4%	19.1%
Net margin	15.9%	17.8%	15.0%	14.7%	15.7%	16.6%	15.1%	13.8%
Current ratio	0.47×	0.6×	0.55×	0.69×	0.71×	0.5×	0.66×	0.67×
Debt / equity	1.64×	1.64×	1.6×	1.52×	1.42×	1.36×	1.26×	1.2×
Interest coverage	2.65×	2.64×	2.62×	3.74×	3.64×	3.46×	3.05×	3.3×
Dividend yield	3.3%	3.6%	3.7%	3.1%	2.8%	2.7%	2.6%	3.2%
Payout ratio	73.7%	69.1%	73.8%	65.1%	65.7%	66.4%	65.6%	65.8%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	11.4%	12.3%	11.3%	12.4%	11.9%	11.4%	11.2%	10.8%
Return on invested capital	5.2%	4.1%	3.9%	3.9%	4.0%	4.0%	4.1%	4.0%
Return on assets	3.0%	3.2%	3.0%	3.4%	3.3%	3.2%	3.2%	3.2%
Free cash flow yield	-3.0%	1.4%	2.0%	-0.9%	-0.7%	-0.1%	0.3%	1.5%
Earnings yield	4.5%	5.1%	5.0%	4.8%	4.3%	4.1%	3.9%	4.9%
Enterprise value	$56.6B	$50.1B	$45.3B	$46.9B	$46.2B	$43.3B	$41.8B	$33.6B
Net debt / EBITDA	5.51×	5.19×	5.32×	5.14×	5.12×	4.92×	4.72×	4.65×
Cash conversion cycle (days)	51	46	53	46	41	31	30	38