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MGE Energy Inc (MGEE)



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Upturn Advisory Summary
08/14/2025: MGEE (1-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $75.33
1 Year Target Price $75.33
0 | Strong Buy |
0 | Buy |
0 | Hold |
1 | Sell |
2 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -5.56% | Avg. Invested days 51 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 3.09B USD | Price to earnings Ratio 23.5 | 1Y Target Price 75.33 |
Price to earnings Ratio 23.5 | 1Y Target Price 75.33 | ||
Volume (30-day avg) 3 | Beta 0.76 | 52 Weeks Range 82.21 - 107.68 | Updated Date 08/14/2025 |
52 Weeks Range 82.21 - 107.68 | Updated Date 08/14/2025 | ||
Dividends yield (FY) 2.10% | Basic EPS (TTM) 3.6 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date 2025-08-04 | When - | Estimate 0.78 | Actual 0.72 |
Profitability
Profit Margin 18.69% | Operating Margin (TTM) 23.27% |
Management Effectiveness
Return on Assets (TTM) 3.88% | Return on Equity (TTM) 10.75% |
Valuation
Trailing PE 23.5 | Forward PE - | Enterprise Value 3897584481 | Price to Sales(TTM) 4.41 |
Enterprise Value 3897584481 | Price to Sales(TTM) 4.41 | ||
Enterprise Value to Revenue 5.43 | Enterprise Value to EBITDA 13.42 | Shares Outstanding 36541800 | Shares Floating 36458168 |
Shares Outstanding 36541800 | Shares Floating 36458168 | ||
Percent Insiders 0.24 | Percent Institutions 62.93 |
Upturn AI SWOT
MGE Energy Inc

Company Overview
History and Background
MGE Energy, Inc. was founded in 1901 as Madison Gas and Electric Company. Initially focused on providing gas and electric services to Madison, Wisconsin, it evolved into a holding company, MGE Energy, in 2000. The company has consistently adapted to changing energy demands and technological advancements.
Core Business Areas
- Regulated Electric Utility: MGE serves approximately 163,000 electric customers in south-central Wisconsin. This includes generation, transmission, and distribution of electricity.
- Regulated Gas Utility: MGE distributes natural gas to approximately 169,000 customers in the same region.
- Non-Regulated Energy Investments: MGE invests in renewable energy projects and other energy-related businesses outside of its regulated utility operations.
Leadership and Structure
The company is led by a board of directors and executive management team. Jeff Keebler is the current Chairman, President, and CEO. The organizational structure includes departments for electric and gas operations, finance, legal, and corporate strategy.
Top Products and Market Share
Key Offerings
- Electricity: MGE provides electricity to residential, commercial, and industrial customers. MGE has an estimated 25% market share in its service territory of south-central Wisconsin. Key competitors for this product are other utilities within Wisconsin's broader energy market, including WEC Energy Group (WEC) and Alliant Energy (LNT).
- Natural Gas: MGE distributes natural gas for heating, cooking, and industrial processes. MGE's market share for natural gas is approximately 25% in its service territory. Competitors in natural gas distribution include local cooperatives and larger utility companies.
Market Dynamics
Industry Overview
The utility industry is undergoing a significant transformation due to increasing renewable energy adoption, technological advancements in smart grids, and evolving regulatory frameworks. There is also a growing emphasis on energy efficiency and decarbonization.
Positioning
MGE is a relatively small, geographically focused utility company. Its competitive advantages include its strong local presence, commitment to renewable energy, and solid customer relationships. Its smaller size could be a disadvange as costs scale. It may not be able to invest as much into R&D as large utilities.
Total Addressable Market (TAM)
The total addressable market for electricity and natural gas in Wisconsin is estimated to be in the billions of dollars annually. MGE is positioned to capture a share of this market through its regulated utility operations and renewable energy investments.
Upturn SWOT Analysis
Strengths
- Strong local brand reputation
- Stable regulated revenue streams
- Commitment to renewable energy
- High customer satisfaction scores
Weaknesses
- Limited geographic diversification
- Dependence on regulatory approvals
- Smaller size compared to larger utility companies
Opportunities
- Expansion of renewable energy portfolio
- Investment in smart grid technologies
- Growth in electric vehicle adoption
- Potential acquisitions of smaller utilities
Threats
- Increasing regulatory scrutiny
- Fluctuations in energy prices
- Technological disruptions
- Economic downturns
Competitors and Market Share
Key Competitors
- WEC
- LNT
Competitive Landscape
MGE Energy is smaller than its main competitors, WEC and Alliant. MGE's focus on renewable energy and customer service could give it an advantage in certain market segments. However, the larger companies have economies of scale and broader geographic reach.
Growth Trajectory and Initiatives
Historical Growth: MGE Energy has experienced steady but moderate growth in revenue and earnings over the past decade, driven by increasing demand for energy and investments in renewable energy projects.
Future Projections: Analysts project continued moderate growth in revenue and earnings, driven by population growth in its service territory and investments in renewable energy. EPS is projected to grow 3-5% annually.
Recent Initiatives: MGE Energy has recently invested heavily in solar and wind energy projects, as well as smart grid technologies. The company has a goal to reduce carbon emissions significantly by 2030.
Summary
MGE Energy is a stable, well-managed utility company with a strong local presence. Its commitment to renewable energy positions it well for the future. However, its smaller size and dependence on regulatory approvals could limit its growth potential. The company needs to closely monitor the fluctuating energy prices and increased regulatory scrutiny.
Peer Comparison
Sources and Disclaimers
Data Sources:
- MGE Energy Inc. Annual Reports
- Company SEC Filings (10-K, 10-Q)
- Industry Reports and Analysis
- Analyst Estimates
Disclaimers:
The information provided is for informational purposes only and should not be considered financial advice. Investment decisions should be based on thorough research and consultation with a qualified financial advisor. Market share data is based on estimates and may not be precise.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About MGE Energy Inc
Exchange NASDAQ | Headquaters Madison, WI, United States | ||
IPO Launch date 1990-03-26 | President, CEO & Chairman of the Board Mr. Jeffrey M. Keebler | ||
Sector Utilities | Industry Utilities - Regulated Electric | Full time employees 717 | Website https://www.mgeenergy.com |
Full time employees 717 | Website https://www.mgeenergy.com |
MGE Energy, Inc., through its subsidiaries, operates as a public utility holding company in the United States. It operates through Regulated Electric Utility Operations; Regulated Gas Utility Operations; Nonregulated Energy Operations; Transmission Investments; and All Other segments. The company generates, purchases, and distributes electricity; purchases and distributes natural gas; owns and leases electric generating capacity; and plans, constructs, operates, maintains, and expands transmission facilities to provide transmission power services. It also generates electricity from coal-fired, gas-fired, and renewable energy sources; and provides solar and wind generation, and battery storage services. As of December 31, 2024, the company owned and operated 825 miles of overhead electric distribution lines; 1,359 miles of underground electric distribution cables; 48 substations with an installed capacity of 1.2 million kVA; and gas facilities, including 3,092 miles of distribution mains, as well as supplied electric service to approximately 167,000 customers. MGE Energy, Inc. was incorporated in 2001 and is headquartered in Madison, Wisconsin.

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