Ameren Corporation (AEE)

FairStock Score: 49/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a disciple of Graham and Buffett, I look for a durable business purchased at a sensible price. Ameren is a regulated electric and gas utility, which gives it a narrow but real moat: customers need power, rates are set by regulators, and returns are not purely commodity-driven. The filed numbers show steady progress. In fiscal FY2025, the year ended 2025-12-31, revenue was $8.8B, net income $1.5B, and diluted EPS $5.35, versus FY2024 revenue of $7.6B, net income $1.2B, and EPS $4.42. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $2.1B, net income $316.0M, and diluted EPS $1.13, up from EPS $1.01 in fiscal Q2 2025. FairStock calls it a STALWART, with 10.7% annual profit growth and 8.7% revenue growth over five years. The 2.93% dividend yield and 0.47 beta add defensive appeal. But the balance sheet and cash flow demand caution. FairStock's trailing free cash flow is -$1.3B, a -4.7% FCF yield, and debt/equity is 1.58. ROCE is only 3.06%, reflecting heavy capital spending and regulated returns. At the 2026-10-13 close of $104.32, the P/E is 18.37, P/B is 2.11, and the Graham Number is $79.13, leaving a -31.83% margin of safety. PEG of 0.78 looks reasonable if growth persists, but Altman Z of 0.67 and Piotroski 5/9 are not comforts. I would want a wider discount before calling this a bargain; the quality is real, but the price already reflects much of the steady story.

In plain English: Ameren runs regulated electric and natural gas utility businesses in the U.S., selling power and gas to customers under rules set by regulators. The business looks steady and defensive, with a modest dividend and rising profits, but it spends heavily on its system and currently produces less cash than it spends. At the recent close, the stock looks fair to expensive compared with the company’s accounting value and a conservative earnings-based estimate.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer