MGE Energy, Inc. (MGEE) Stock

MGE Energy, Inc. (MGEE) is a Utilities stock trading at $77.60 (as of 2026-09-03), with a market capitalization of $2.85B and a trailing P/E of 20.0. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

MGE Energy, Inc., through its subsidiaries, operates as a public utility holding company primarily in Wisconsin. It operates through Regulated Electric Utility Operations; Regulated Gas Utility Operations; Nonregulated Energy Operations; Transmission Investments; and All Other. The company generates, purchases, and distributes electricity; owns or leases electric generation facilities located in Wisconsin and Iowa; and plans, constructs, operates, maintains, and expands transmission facilities to provide transmission services. It also generates electricity from coal-fired, gas-fired, and renewable energy sources, as well as purchases power under short and long-term commitments. As of December 31, 2021, the company generated and distributed electricity to 159,000 customers in Dane County, Wisconsin; and purchased and distributed natural gas to 169,000 customers in seven Wisconsin counties. MGE Energy, Inc.is headquartered in Madison, Wisconsin.

Understand MGE Energy, Inc.: how it makes money

MGE Energy is a Wisconsin regulated utility that generates and distributes electricity and natural gas to roughly 167,000 electric and 178,000 gas customers, with rates set by state commissions. Most revenue is regulated rate-base income, supplemented by a smaller nonregulated energy and transmission segment.

Profit is not earned in the market but assigned by the Wisconsin Public Service Commission. The only growth lever is adding rate base (new plants, grid upgrades), and the ceiling is the regulator-approved return on equity, not pricing power.

Business quality (Solid): Solid-quality regulated franchise with a 22% operating margin and steady rate-base growth, though upside is structurally capped by the commission.

Valuation: At 20× earnings, MGEE trades in line with the Utilities average (20×).

Bull case

Above-average utility growth: Quarterly revenue reached $200M with 11% year-over-year growth, a pace well above the single-digit norm for a regulated utility. That implies the rate-base expansion (new generation, grid investment) is already translating into top-line results rather than sitting in construction.
Regulated spread is healthy: A 22% operating margin shows the Wisconsin rate structure delivers a comfortable spread on a capital-intensive model. Because rates are reset by the commission rather than set by commodity markets, this margin is less exposed to fuel-price spikes than a nonregulated operator's.

Bear case

No multiple cushion: MGE Energy trades at 20.4x earnings versus a 20x utilities industry average, so investors already pay a small premium for the growth story. If the commission trims the allowed return or rate-base additions slow, the stock has almost no valuation downside to absorb the disappointment.

Valuation — source: SEC EDGAR (first-party)
Price	$77.60
Market Cap	$2.85B
P/E Ratio	20.0
EV / EBITDA	22.0
Price / Book	2.11
Price / Sales	3.72
FCF Yield	-2.8%
DCF Value (model)	$26.09
DCF Upside vs Price	-66.4%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$743.65M
Net Margin	18.3%
Revenue Growth (YoY)	10.8%
EPS Growth (YoY)	15.8%
FCF Growth (YoY)	-167.7%

Financial Health — source: SEC EDGAR
Altman Z-Score	1.68 (distress)

Valuation vs Sector & Industry
Stock P/E	20.0
Sector P/E (Utilities)	21.3
Industry P/E (Utilities)	21.1
vs Sector	-6.4%
vs Industry	-5.4%

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	BlackRock, Inc. ($421.98M)
Institutional Holders Tracked	10

Company
Sector	Utilities
Industry	Utilities
CEO	Jeffrey Keebler
Employees	717
Country	US
IPO Date	1980-03-17

Related Companies (Utilities; 8 comparable utilities)

Data as of 2026-09-03.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.