ALE:NYE-ALLETE, Inc (USD)

COMMON STOCK | Utilities-Diversified | NYE

Last Closing Price

USD 58.60

Change

+1.16 (+2.02)%

Market Cap

USD 2.99B

Volume

0.18M

Average Target Price

USD 55.00 (-6.14%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

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, hydroelectric, natural gas-fired, biomass co-fired, and solar. The company provides regulated utility electric service in northeastern Minnesota to approximately 145,000 retail customers, as well as 15 non-affiliated municipal customers; and regulated utility electric, natural gas, and water services in northwestern Wisconsin to approximately 15,000 electric customers, 13,000 natural gas customers, and 10,000 water customers. It also owns and maintains electric transmission assets in Wisconsin, Michigan, Minnesota, and Illinois. In addition, the company focuses on developing, acquiring, and operating clean and renewable energy projects; and owns and operates approximately 660 megawatt of wind energy generation. Further, it is involved in the coal mining operations in North Dakota; and real estate investment activities in Florida. The company owns and operates 158 substations with a total capacity of 8,875 megavoltamperes. The company was formerly known as Minnesota Power, Inc. and changed its name to ALLETE, Inc. in May 2001. ALLETE, Inc. was incorporated in 1906 and is headquartered in Duluth, Minnesota.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2020-12-04 )

Largest Industry Peers for Utilities-Diversified

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
D Dominion Energy, Inc

-2.52 (-3.21%)

USD63.96B 29.87 15.09
DCUE Dominion Energy, Inc

-2.55 (-2.51%)

USD61.19B 58.70 N/A
NGG National Grid plc

-0.37 (-0.64%)

USD39.92B 8.94 17.77
SRE Sempra Energy

-3.84 (-2.91%)

USD38.08B 10.14 14.70
SRE-PB Sempra Energy

-2.88 (-2.68%)

USD36.08B 8.25 N/A
SRE-PA Sempra Energy

-1.79 (-1.72%)

USD35.11B 8.03 N/A
PEG Public Service Enterprise Grou..

N/A

USD29.15B 15.29 10.76
ETR Entergy Corporation

+0.09 (+0.08%)

USD21.35B 15.48 9.96
FE FirstEnergy Corp

+1.05 (+3.76%)

USD15.14B 20.81 14.20
BIP Brookfield Infrastructure Part..

+1.10 (+2.20%)

USD14.70B 170.68 11.88

ETFs Containing ALE

Symbol Name Weight Mer Price(Change) Market Cap
DIVA AGFiQ Hedged Dividend Inc.. 0.00 % 1.10 %

+0.25 (+1.13%)

USD3.06M

Market Performance

  Market Performance vs.
Industry/Classification (Utilities-Diversified)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -27.81% 30% F 13% F
Dividend Return 3.04% 65% D 65% D
Total Return -24.76% 30% F 14% F
Trailing 12 Months  
Capital Gain -26.12% 20% F 13% F
Dividend Return 3.11% 50% F 61% D-
Total Return -23.01% 20% F 13% F
Trailing 5 Years  
Capital Gain 18.62% 41% F 54% F
Dividend Return 21.75% 29% F 69% D+
Total Return 40.38% 41% F 55% F
Average Annual (5 Year Horizon)  
Capital Gain 6.88% N/A N/A 72% C-
Dividend Return 3.05% N/A N/A 69% D+
Total Return 9.93% N/A N/A 74% C
Risk Return Profile  
Volatility (Standard Deviation) 18.34% N/A N/A 44% F
Risk Adjusted Return 54.12% N/A N/A 70% C-
Market Capitalization 2.99B 25% F 69% D+
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Utilities-Diversified)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 16.84 50% F 53% F
Price/Book Ratio 1.32 75% C 56% F
Price / Cash Flow Ratio 11.97 20% F 34% F
EV/EBITDA 11.62 53% F 56% F
Management Effectiveness  
Return on Equity 7.30% 32% F 57% F
Return on Invested Capital 4.98% 35% F 47% F
Return on Assets 1.94% 10% F 48% F
Debt to Equity Ratio 62.77% 85% B 53% F
Technical Ratios  
Short Ratio 2.74 53% F 39% F
Short Percent 1.91% 55% F 69% D+
Beta 0.39 70% C- 84% B
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Underpriced compared to book value

The stock is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

High Gross Profit to Asset Ratio

This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

What to not like:
Low market capitalization

This is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market which can help it grow or get acquired in future.

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Poor return on equity

The company management has delivered below median return on equity in the most recent 4 quarters compared to its peers.

Poor capital utilization

The company management has delivered below median return on invested capital in the most recent 4 quarters compared to its peers.

Poor return on assets

The company management has delivered below median return on assets in the most recent 4 quarters compared to its peers.

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector

Low Dividend Growth

This stock has shown below median dividend growth in the previous 5 years compared to its sector.