Latest Ratios: P/E Ratio 24.3x · EV/EBITDA 13.3x · ROE 6.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $4.4B | $4.0B | $3.3B | $3.1B | $3.3B | $3.0B | $3.0B | $3.6B | $3.0B | $2.9B | $2.8B |
| Enterprise Value | $7.7B | $7.2B | $6.4B | $5.9B | $6.0B | $5.5B | $5.4B | $5.9B | $5.1B | $5.0B | $4.9B |
| P/E Ratio → | 24.26 | 21.95 | 14.65 | 15.80 | 18.26 | 15.88 | 19.06 | 18.01 | 15.16 | 17.87 | 16.78 |
| P/S Ratio | 2.72 | 2.46 | 2.17 | 2.16 | 2.26 | 2.16 | 2.47 | 2.89 | 2.51 | 2.22 | 2.19 |
| P/B Ratio | 1.52 | 1.37 | 1.15 | 1.10 | 1.25 | 1.27 | 1.42 | 1.78 | 1.54 | 1.61 | 1.64 |
| P/FCF | — | — | — | — | — | — | — | — | 30.46 | 61.58 | 2481.35 |
| P/OCF | 11.12 | 10.04 | 8.07 | 6.28 | 10.87 | 13.48 | 8.40 | 12.26 | 7.82 | 8.98 | 9.54 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.50 | 4.21 | 4.12 | 4.03 | 4.02 | 4.49 | 4.68 | 4.28 | 3.86 | 3.88 |
| EV / EBITDA | 13.32 | 12.58 | 11.58 | 11.46 | 13.02 | 11.92 | 12.95 | 13.09 | 11.58 | 11.77 | 12.02 |
| EV / EBIT | 23.53 | 21.43 | 18.41 | 18.51 | 21.11 | 19.44 | 22.33 | 21.86 | 18.88 | 18.76 | 19.37 |
| EV / FCF | — | — | — | — | — | — | — | — | 52.06 | 106.71 | 4385.39 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 82.3% | 82.3% | 85.0% | 54.9% | 51.7% | 69.0% | 74.5% | 58.1% | 77.1% | 68.6% | 68.1% |
| Operating Margin | 20.2% | 20.2% | 21.4% | 21.1% | 17.8% | 20.1% | 19.7% | 22.0% | 22.3% | 20.0% | 19.6% |
| Net Profit Margin | 11.2% | 11.2% | 14.8% | 13.7% | 12.4% | 13.6% | 12.9% | 16.1% | 16.5% | 12.5% | 13.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.3% | 6.3% | 7.9% | 7.1% | 7.3% | 8.5% | 7.5% | 10.2% | 10.5% | 9.4% | 10.0% |
| ROA | 2.2% | 2.2% | 2.9% | 2.6% | 2.6% | 2.8% | 2.5% | 3.4% | 3.6% | 3.0% | 3.0% |
| ROIC | 4.0% | 4.0% | 4.2% | 4.2% | 3.9% | 4.4% | 4.0% | 5.0% | 5.0% | 5.1% | 5.0% |
| ROCE | 4.4% | 4.4% | 4.5% | 4.4% | 4.0% | 4.5% | 4.0% | 5.0% | 5.3% | 5.4% | 5.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.14 | 1.14 | 1.09 | 1.00 | 0.99 | 1.09 | 1.17 | 1.10 | 1.09 | 1.19 | 1.27 |
| Debt / EBITDA | 5.71 | 5.71 | 5.63 | 5.47 | 5.74 | 5.52 | 5.85 | 5.01 | 4.82 | 5.00 | 5.23 |
| Net Debt / Equity | — | 1.14 | 1.08 | 1.00 | 0.98 | 1.09 | 1.17 | 1.10 | 1.09 | 1.18 | 1.26 |
| Net Debt / EBITDA | 5.70 | 5.70 | 5.62 | 5.45 | 5.72 | 5.51 | 5.84 | 5.00 | 4.80 | 4.98 | 5.22 |
| Debt / FCF | — | — | — | — | — | — | — | — | 21.59 | 45.13 | 1904.05 |
| Interest Coverage | 2.25 | 2.25 | 2.63 | 2.76 | 2.82 | 3.03 | 2.49 | 2.83 | 2.94 | 2.91 | 2.65 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.72 | 0.72 | 0.52 | 0.76 | 0.87 | 1.15 | 0.66 | 0.90 | 0.80 | 0.47 | 0.46 |
| Quick Ratio | 0.53 | 0.53 | 0.37 | 0.55 | 0.69 | 0.94 | 0.53 | 0.74 | 0.65 | 0.39 | 0.38 |
| Cash Ratio | 0.01 | 0.01 | 0.01 | 0.02 | 0.01 | 0.01 | 0.01 | 0.02 | 0.02 | 0.01 | 0.01 |
| Asset Turnover | — | 0.19 | 0.19 | 0.19 | 0.20 | 0.20 | 0.19 | 0.21 | 0.21 | 0.24 | 0.23 |
| Inventory Turnover | 2.15 | 2.15 | 1.85 | 5.59 | 6.65 | 5.28 | 5.02 | 9.77 | 5.37 | 7.83 | 8.15 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.7% | 4.1% | 4.8% | 5.0% | 4.2% | 4.3% | 4.1% | 3.2% | 3.7% | 3.5% | 3.5% |
| Payout Ratio | 89.1% | 89.1% | 70.8% | 79.4% | 76.5% | 68.8% | 77.5% | 57.0% | 55.4% | 62.2% | 58.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.1% | 4.6% | 6.8% | 6.3% | 5.5% | 6.3% | 5.2% | 5.6% | 6.6% | 5.6% | 6.0% |
| FCF Yield | — | — | — | — | — | — | — | — | 3.3% | 1.6% | 0.0% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 3.7% | 4.1% | 4.8% | 5.0% | 4.2% | 4.3% | 4.1% | 3.2% | 3.7% | 3.5% | 3.5% |
| Shares Outstanding | — | $61M | $61M | $60M | $56M | $52M | $51M | $51M | $50M | $49M | $48M |
Regulatory lag and CAPEX
With a forward P/E of 19.67 and a dividend yield of 3.6%, NWE appears to be priced as a bond proxy, reflecting market expectations that the Montana regulatory environment will eventually support earnings growth through rate base expansion despite current earnings volatility.
The current valuation suggests investors are looking past the recent earnings compression, likely pricing in the long-term utility of the Yellowstone County Generating Station. However, the premium relative to peers like OTTR warrants caution, as the market may be overestimating the speed at which regulatory lag will dissipate.
Based on reported quarterly figures, the earned ROE has struggled to exceed 3.0%, significantly trailing typical utility authorized ROEs, which suggests that regulatory lag and high operating costs are currently preventing the company from achieving its full allowed earnings potential.
This persistent under-earning relative to industry standards indicates that the MPSC may be slow to grant rate relief, or that the company is facing unforeseen O&M pressures. Investors should monitor whether future rate cases can bridge this gap, as the current ROE levels are insufficient to support long-term equity value creation.
As reported in financial statements, the debt-to-capital ratio has remained stubbornly above 0.50, indicating that the company is utilizing significant leverage to fund its capital-intensive infrastructure projects, which may limit future financial flexibility if interest rates remain elevated.
The reliance on debt to bridge the gap between CAPEX and internal cash generation appears to be a structural necessity rather than a temporary choice. This leverage profile leaves the company vulnerable to credit rating pressure if the regulatory environment does not provide timely recovery for these capital investments.
According to recent SEC filings, the dividend payout ratio has frequently exceeded 100% in specific quarters, highlighting that the company is effectively funding its dividend through external capital markets rather than through organic free cash flow generated by its regulated operations.
While the dividend remains a primary return driver for shareholders, the lack of cash flow coverage suggests that the payout is not currently self-sustaining. This reliance on external financing to maintain the dividend warrants further investigation into the sustainability of the current yield if capital markets tighten.
The most commonly misapplied metric for NWE is the standard P/E ratio, which obscures the impact of regulatory lag and non-cash depreciation charges that artificially deflate earnings, making the stock appear more expensive than its underlying regulated cash-generating capacity would suggest.
Analysts should instead focus on the Price-to-Rate-Base or EV/Rate-Base metrics, which better capture the value of the company's infrastructure assets. Relying on P/E ignores the reality that utility earnings are a function of regulatory accounting rather than pure operational efficiency.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying NWE stock.
Northwestern Energy Group Inc's current P/E ratio is 24.3x. The historical average is 17.5x. This places it at the 95th percentile of its historical range.
Northwestern Energy Group Inc's current EV/EBITDA is 13.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.9x.
Northwestern Energy Group Inc's return on equity (ROE) is 6.3%. The historical average is 7.6%.
Based on historical data, Northwestern Energy Group Inc is trading at a P/E of 24.3x. This is at the 95th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Northwestern Energy Group Inc's current dividend yield is 3.69% with a payout ratio of 89.1%.
Northwestern Energy Group Inc has 82.3% gross margin and 20.2% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Northwestern Energy Group Inc's Debt/EBITDA ratio is 5.7x, indicating high leverage. A ratio above 4x may signal elevated financial risk.