Is Xcel Energy Inc (XEL) overvalued?
On Equity Rank's model estimate, XEL trades close to its fair value (1% above it). Xcel Energy Inc (XEL) last closed at $79.67; the multi-method model fair value is $79.18.
| Price | Model fair value | Price vs model |
|---|---|---|
| $79.67 | $79.18 | 1% above |
What the answer rests on
- 3 of 10 valuation methods put XEL's value above its price and 7 put it below, so the methods disagree.
- XEL trades at 18.8 times its last year's earnings, against a median of 21.2 for 66 profitable Utilities companies.
- Over the past year the price sat below the model fair value on 11% of trading days. The gap ranged from 6% below to 37% above the model fair value.
Read this before relying on it
The model fair value is an estimate from published financial statements. It is not a forecast of where the price goes, and it can be wrong. Within 10% either side we call it close to fair value: valuation models are not precise enough to read more into a smaller gap. Our own lists have no proven edge over the market yet; the live record shows every result, misses included.
Every valuation method behind XEL's fair value · What prices assume · Other companies