Ameren Corporation
AI Valuation
AI-generated fair value estimate for this company.
AI Fair Value
$106.40
Market Price
$100.25
Undervalued By
5.8%
Method: Multi-stage dividend discount model: $3.00/sh current annual dividend growing 7%/yr (mgmt's guided 6-8% long-term EPS/dividend growth through 2030, driven by data-center-fueled rate base growth) for 10 years, then 4% terminal growth; 7.75% cost of equity; 276.84M shares.
Reasoning: Regulated utility with structurally negative FCF (heavy capex exceeds op cash flow), so a DDM anchored to Ameren's explicit long-term EPS growth guidance is more defensible than an FCF-based DCF.