OGE Energy Corp.
OGE Energy Corp. Fundamental Analysis
OGE Energy Corp. (OGE) shows moderate financial fundamentals with a PE ratio of 20.53, profit margin of 14.44%, and ROE of 9.89%. The company generates $3.3B in annual revenue with strong year-over-year growth of 11.63%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 51.1/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze OGE's fundamental strength across five key dimensions:
Efficiency Score
WeakOGE struggles to generate sufficient returns from assets.
Valuation Score
ExcellentOGE trades at attractive valuation levels.
Growth Score
ModerateOGE shows steady but slowing expansion.
Financial Health Score
WeakOGE carries high financial risk with limited liquidity.
Profitability Score
WeakOGE struggles to sustain strong margins.
Key Financial Metrics
Is OGE Expensive or Cheap?
P/E Ratio
OGE trades at 20.53 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, OGE's PEG of -3.02 indicates potential undervaluation.
Price to Book
The market values OGE Energy Corp. at 1.94 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.18 times EBITDA. This is generally considered low.
How Well Does OGE Make Money?
Net Profit Margin
For every $100 in sales, OGE Energy Corp. keeps $14.44 as profit after all expenses.
Operating Margin
Core operations generate 24.52 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.89 in profit for every $100 of shareholder equity.
ROA
OGE Energy Corp. generates $3.28 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
OGE Energy Corp. generates strong operating cash flow of $1.16B, reflecting robust business health.
Free Cash Flow
OGE Energy Corp. generates strong free cash flow of $852.93M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.14 in free cash annually.
FCF Yield
OGE converts 8.45% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
20.53
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-3.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.94
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.03
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.14
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.78
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How OGE Stacks Against Its Sector Peers
| Metric | OGE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 20.53 | 19.20 | Neutral |
| ROE | 9.89% | 1033.00% | Weak |
| Net Margin | 14.44% | 9191.00% | Weak |
| Debt/Equity | 1.14 | 6.63 | Strong (Low Leverage) |
| Current Ratio | 0.78 | 1.68 | Weak Liquidity |
| ROA | 3.28% | -237.00% (disorted) | Weak |
OGE outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews OGE Energy Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
33.31%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
1.47%
Industry Style: Defensive, Dividend, Income
GrowingFCF CAGR
18.85%
Industry Style: Defensive, Dividend, Income
High Growth