OGE Energy operates as an energy and energy services provider that offers physical delivery and related services for electricity and natural gas primarily in the south central United States. The company was founded in 1995 and is based in Oklahoma City, Oklahoma.
OGE Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Oge Energy Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Oge Energy Corp ranked in the 16th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Oge Energy Corp, consider:
Oge Energy Corp's effective tax rate, as measured by taxes paid relative to net income, is at 56 -- greater than 94.89% of US stocks with positive free cash flow.
Oge Energy Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -0.93. This coverage rate is greater than that of just 20.55% of stocks we're observing for the purpose of forecasting via discounted cash flows.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than 92.9% of stocks in its sector (Utilities).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Utilities that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as OGE, try EVRG, HNP, ENIA, PEG, and AQN.
OGE Energy ([[OGE]] +1.4%) opens higher after winning an upgrade to Buy from Neutral with a $37 price target at Guggenheim, which says a valuation re-rating likely will result from a deconsolidation push at Enable Midstream Partners ([[ENBL]] -4%), in which OGE owns a 25% limited partner interest and a...
OGE Energy Corp. (OGE) Q2 2020 Earnings Conference Call August 6, 2020 9:00 am ET Corporate Participants Jason Bailey - Director, Investor Relations Sean Trauschke - Chairman, President and Chief Executive Officer Steve Merrill - Chief Financial Officer Conference Call Participants Shar Pourreza - Guggenheim Partners Richie Ciciarelli - Bank...
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