-0.52%
1.45%
2.12%
0.00%
14.78%
-7.72%
-30.29%
Stock-Card

AI Spotlight on NWE

Company Description

NorthWestern Corporation, doing business as NorthWestern Energy, provides electricity and natural gas to residential, commercial, and various industrial customers.The company operates through Electric and Natural Gas segments.It generates, purchases, transmits, and distributes electricity; and produces, purchases, stores, transmits, and distributes natural gas, as well as owns municipal franchises to provide natural gas service in the communities.


The company operates 6,819 miles of electric transmission and 18,177 miles of electric distribution lines with approximately 400 transmission and distribution substations; and 2,166 miles of natural gas transmission and 4,945 miles of natural gas distribution lines with approximately 138 city gate stations in Montana.It also operates 1,308 miles of electric transmission and 2,320 miles of electric distribution lines in South Dakota; and 55 miles of natural gas transmission and 2,517 miles of natural gas distribution lines in South Dakota and Nebraska.The company serves approximately 753,600 customers in Montana, South Dakota, Nebraska, and Yellowstone National Park.


NorthWestern Corporation was incorporated in 1923 and is based in Sioux Falls, South Dakota.

Market Data

Last Price 53.91
Change Percentage -0.52%
Open 54
Previous Close 54.19
Market Cap ( Millions) 3305
Volume 549280
Year High 57.49
Year Low 46.15
M A 50 53.52
M A 200 52.99

Financial Ratios

FCF Yield -4.66%
Dividend Yield 4.82%
ROE 8.08%
Debt / Equity 105.60%
Net Debt / EBIDTA 526.05%
Price To Book 1.17
Price Earnings Ratio 14.58
Price To FCF -21.46
Price To sales 2.21
EV / EBITDA 11.11

News

Business Breakdown

Expected Mid-Term Growth

Segment n°1 -> Electric

Expected Growth : 4.5 %

What the company do ?

NorthWestern Corporation's Electric segment provides electricity to residential, commercial, and industrial customers in Montana, South Dakota, and Nebraska.

Why we expect these perspectives ?

NorthWestern Corporation's 4.5% growth in Electric segment is driven by increasing demand for renewable energy, favorable weather conditions, and strategic investments in grid modernization. Additionally, the company's focus on energy efficiency programs and customer growth in the Montana and South Dakota regions contribute to the segment's growth.

Segment n°2 -> Gas

Expected Growth : 3.5 %

What the company do ?

NorthWestern Corporation's Gas segment provides natural gas to residential, commercial, and industrial customers in Montana, South Dakota, and Nebraska.

Why we expect these perspectives ?

NorthWestern Corporation's 3.5% growth in Gas segment is driven by increasing demand for clean energy, favorable regulatory environment, and strategic investments in infrastructure expansion and modernization. Additionally, the company's focus on customer acquisition and retention, as well as its ability to pass through increased costs to customers, contribute to the segment's growth.

Northwestern Corporation Products

Product Range What is it ?
Electricity NorthWestern Corporation provides electricity to residential, commercial, and industrial customers through its regulated electric utility operations.
Natural Gas The company distributes natural gas to customers through its regulated gas utility operations, providing a clean and efficient source of energy.
Transmission Services NorthWestern Corporation offers transmission services, enabling the efficient and reliable transmission of electricity across its network.
Distribution Services The company provides distribution services, delivering electricity and natural gas to customers through its network of power lines and pipelines.
Renewable Energy Solutions NorthWestern Corporation offers renewable energy solutions, including wind and solar power, to customers seeking sustainable energy options.

NorthWestern Corporation's Porter Forces

NorthWestern Corporation operates in the energy industry, which has few substitutes. However, the increasing adoption of renewable energy sources and energy-efficient technologies poses a moderate threat of substitutes.

NorthWestern Corporation's customers have limited bargaining power due to the lack of alternative energy providers in the region. However, the company's dependence on a few large industrial customers increases their bargaining power.

NorthWestern Corporation relies on a few large suppliers for fuel and equipment. While the company has some bargaining power due to its size, the suppliers' ability to negotiate prices and terms is moderate.

The energy industry has high barriers to entry, including significant capital requirements and regulatory hurdles. This limits the threat of new entrants and allows NorthWestern Corporation to maintain its market position.

The energy industry is highly competitive, with several established players competing for market share. NorthWestern Corporation faces intense rivalry from other energy providers, which can lead to pricing pressures and reduced market share.

Strength

Weaknesses

Opportunities

Threats

Capital Structure

Value
Debt Weight 50.07%
Debt Cost 4.26%
Equity Weight 49.93%
Equity Cost 6.15%
WACC 5.20%
Leverage 100.29%

NorthWestern Corporation : Quality Control

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
ALE ALLETE, Inc. operates as an energy company. The company operates through Regulated Operations, ALLETE Clean Energy, and Corporate and Other segments. It generates electricity from coal-fired, biomass co-fired / natural …
AVA Avista Corporation, together with its subsidiaries, operates as an electric and natural gas utility company. It operates in two segments, Avista Utilities and AEL&P. The Avista Utilities segment provides electric …
AES The AES Corporation operates as a diversified power generation and utility company. It owns and/or operates power plants to generate and sell power to customers, such as utilities, industrial users, …
BKH Black Hills Corporation, through its subsidiaries, operates as an electric and natural gas utility company in the United States. It operates in two segments, Electric Utilities and Gas Utilities. The …
OTTR Otter Tail Corporation, together with its subsidiaries, engages in electric utility, manufacturing, and plastic pipe businesses in the United States. The company's Electric segment produces, transmits, distributes, and sells electric …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
53.91$
Current Price
53.91$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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