CenterPoint Energy Inc (CNP)
Fair ValueFundamental
53
Price
$36.59
Market Cap
$24.12B
Part 1 · What the company is worth
Overview
CenterPoint Energy, Inc. operates as a public utility holding company in the United States. The company operates through Electric; Natural Gas; and Corporate and Other segments. The Electric segment provides electric transmission and distribution services to electric customers and electric generation assets, as well as optimizes assets in the wholesale power market in Indiana Electric's service territory. The Natural Gas segment engages in the intrastate natural gas sales, and natural gas transportation and distribution for residential, commercial, and industrial customers in Indiana, Minnesota, Ohio, and Texas; permanent pipeline connections through interconnects with various interstate and intrastate pipeline companies; and provides home appliance maintenance and repair services to customers in Minnesota and home repair protection plans to natural gas customers in Indiana, Mississippi, Ohio, and Texas through a third party. As of December 31, 2025, it served approximately 2,859,313 metered customers; owned 355 substations with transformer capacity of 81,692 megavolt amperes; and owned and operated approximately 208 miles of intrastate pipeline in Louisiana and Texas. The company was founded in 1866 and is headquartered in Houston, Texas.
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Direct competitors
Who this company fights with for the same customers
Generated on September 18, 2026 with claude-haiku-4-5 — shared with all users
Atmos is the largest pure-play regulated gas distributor in Texas and, with territories adjoining CenterPoint's, it serves the same kind of residential and commercial gas customers and argues its rates before the same Texas authorities.
Through AEP Texas it runs regulated wires inside ERCOT and through Indiana Michigan Power it serves Indiana, overlapping with CenterPoint on both fronts and competing for the same new industrial load looking for a place to connect.
NiSource runs gas and electric utilities in Indiana through Columbia Gas and NIPSCO, the same combined business CenterPoint runs in the southern half of the state, before the same Indiana commission.
In the Minneapolis–Saint Paul area Xcel sells the electricity and heating alternatives that CenterPoint's gas distribution business names as its competition, so the two fight for the same household's heating and appliance load.
Oncor is the other large regulated electric transmission and distribution utility inside ERCOT, delivering power to retail providers in North and West Texas under the same Texas regulator, and competing with CenterPoint's Houston Electric for the same large industrial and data-center interconnections and the same statewide transmission build-out.
Balance Sheet & Liquidity
Revenue
$9.36B
Trailing 12 months (through 3/31/2026)
Net Income
$1.07B
Trailing 12 months (through 3/31/2026)
Free Cash Flow
$-2.38B
Total Equity
$11.15B
Total Liabilities
$35.38B
Current Ratio
1.16
Interest Coverage
2.24
Debt/EBITDA
6.17
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$39.00
Current Price
$36.59
Margin of Safety
+6.2%
Fair Value Range
$25.35 - $52.65
Spread across the valuation methods used, not a statistically calibrated confidence interval.
Estimation Methods
Valuation Metrics
P/E Ratio
22.58
ROE
9.4%
P/B Ratio
2.10
P/FCF
-
Gross Margin
100.0%
ROIC
3.9%
Profitability Radar
Value Creation (Economic Moat)
ROIC
3.9%
WACC
5.7%
ROIC − WACC
-1.7 pp
ROIC is below the cost of capital — the company is destroying value for every dollar invested.
Fundamental Analysis Criteria
Passed (14)
- EPS shows upward trend
- Gross Margin 100.0%
- P/B Ratio 2.10
- Debt/Equity ratio
- Operating Margin 22.6%
- Current Ratio
- Interest Coverage
- Low reliance on intangibles
- ROE 9.8%
- Analyst Consensus 52% Buy
- Earnings Surprise avg 4.3%
- Earnings Quality (OCF/NI) 2.20
- Share Dilution 1.9%
- Net Margin Trend 11.4% vs 10.8%
Failed (10)
- EPS CAGR 1.85%
- Price CAGR 4.73%
- ROIC 3.9%
- Positive Free Cash Flow
- Debt/EBITDA
- Return on Tangible Assets
- Price below Graham Number
- DCF valuation (Overvalued)
- Revenue Growth 5Y -3.8%
- Piotroski F-Score 4/9
Unavailable (4)
- P/FCF NaN
- Dividend Payout NaN%
- CapEx intensity
- PEG Ratio (need PE > 0 and growth > 0)
Piotroski F-Score
Mixed signals: some areas need attention
Earnings Quality
High quality: earnings backed by cash
Share Dilution
Share count is stable
Institutional Holdings
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Jason P. Wells CPA | President, CEO & Chairman | 47 |
| Mr. Christopher A. Foster | Executive VP & CFO | 46 |
| Mr. Jesus Soto Jr. | Executive VP & COO | 57 |
| Ms. Monica Karuturi | Executive VP & General Counsel | 46 |
| Mr. Jason Michael Ryan | Executive Vice President of Regulatory Services & Government Affairs | 49 |
| Mr. Russell Keith Wright | Chief Accounting Officer & VP | 40 |
| Ben Vallejo | Vice President of Investor Relations & Corporate Planning | - |
| Ms. Carol R. Helliker | Chief Ethics & Compliance Officer, Senior VP & Deputy General Counsel | 64 |
| Mr. Keith F. Stephens | Senior VP & Chief Communications Officer | - |
| Ms. Bertha Villatoro | Senior VP & Chief Human Resources Officer | - |
Audit Risk
3
Board Risk
5
Compensation Risk
5
Shareholder Rights Risk
8
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Documents
- View document
Annual Report (10-K)
A yearly overview of the business, its financial results, and the risks it faces.
Filed on 2026-02-19
- View document
Quarterly Report (10-Q)
A snapshot of financial performance for the most recent three-month period.
Filed on 2026-07-28
- View document
Current Report (8-K)
An announcement of a major event, such as a leadership change or big news.
Filed on 2026-10-01
via SEC EDGAR
Income History
via SEC EDGAR
Latest News
Recent headlines for CNP, sourced from Markets Gazette.