Ameren (NYSE:AEE) Hits New 1-Year High – Should You Buy?

Ameren Co. (NYSE:AEE)’s stock price reached a new 52-week high during mid-day trading on Monday . The stock traded as high as $89.04 and last traded at $88.84, with a volume of 44686 shares trading hands. The stock had previously closed at $88.84.

Analyst Ratings Changes

Several equities research analysts have issued reports on AEE shares. UBS Group initiated coverage on Ameren in a report on Friday, July 19th. They set a “buy” rating and a $87.00 price target for the company. Morgan Stanley increased their target price on Ameren from $81.00 to $85.00 and gave the stock an “equal weight” rating in a research note on Wednesday, September 25th. Bank of America boosted their price target on Ameren from $86.00 to $87.00 and gave the company a “neutral” rating in a research note on Thursday, August 29th. Jefferies Financial Group started coverage on Ameren in a research report on Thursday, September 19th. They set a “buy” rating and a $97.00 price objective on the stock. Finally, Argus raised shares of Ameren to a “strong-buy” rating in a research report on Thursday, September 19th. One equities research analyst has rated the stock with a sell rating, six have assigned a hold rating, six have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $87.80.

Ameren Price Performance

The business’s 50 day moving average is $84.93 and its 200-day moving average is $77.74. The company has a quick ratio of 0.45, a current ratio of 0.67 and a debt-to-equity ratio of 1.40. The firm has a market capitalization of $23.40 billion, a P/E ratio of 20.17, a PEG ratio of 2.92 and a beta of 0.45.

Ameren (NYSE:AEE) last announced its quarterly earnings data on Thursday, August 1st. The utilities provider reported $0.97 earnings per share for the quarter, topping the consensus estimate of $0.93 by $0.04. Ameren had a return on equity of 10.20% and a net margin of 16.28%. The business had revenue of $1.69 billion during the quarter, compared to the consensus estimate of $1.87 billion. During the same period in the prior year, the company earned $0.90 EPS. Ameren’s revenue for the quarter was down 3.8% on a year-over-year basis. As a group, sell-side analysts predict that Ameren Co. will post 4.62 EPS for the current fiscal year.

Ameren Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, December 31st. Investors of record on Wednesday, December 11th will be issued a dividend of $0.67 per share. This represents a $2.68 annualized dividend and a dividend yield of 3.05%. The ex-dividend date of this dividend is Wednesday, December 11th. Ameren’s dividend payout ratio (DPR) is presently 61.61%.

Insider Activity at Ameren

In other Ameren news, EVP Chonda J. Nwamu sold 1,610 shares of the business’s stock in a transaction on Wednesday, August 28th. The shares were sold at an average price of $81.94, for a total transaction of $131,923.40. Following the sale, the executive vice president now owns 44,432 shares of the company’s stock, valued at approximately $3,640,758.08. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. 0.42% of the stock is owned by insiders.

Institutional Investors Weigh In On Ameren

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Wealth Enhancement Advisory Services LLC grew its holdings in shares of Ameren by 15.7% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 12,750 shares of the utilities provider’s stock worth $943,000 after purchasing an additional 1,727 shares during the last quarter. Pinnacle Bancorp Inc. bought a new position in shares of Ameren during the first quarter valued at $67,000. Fox Hill Wealth Management lifted its holdings in shares of Ameren by 10.8% during the first quarter. Fox Hill Wealth Management now owns 17,160 shares of the utilities provider’s stock worth $1,269,000 after purchasing an additional 1,679 shares during the period. Farmers & Merchants Investments Inc. grew its stake in shares of Ameren by 117.6% in the first quarter. Farmers & Merchants Investments Inc. now owns 370 shares of the utilities provider’s stock worth $27,000 after purchasing an additional 200 shares during the last quarter. Finally, Capital Advisors Ltd. LLC increased its holdings in Ameren by 163.6% in the first quarter. Capital Advisors Ltd. LLC now owns 514 shares of the utilities provider’s stock valued at $38,000 after purchasing an additional 319 shares during the period. Institutional investors own 79.09% of the company’s stock.

Ameren Company Profile

Ameren Corporation, together with its subsidiaries, operates as a public utility holding company in the United States. The company operates through four segments: Ameren Missouri, Ameren Illinois Electric Distribution, Ameren Illinois Natural Gas, and Ameren Transmission. It engages in the rate-regulated electric generation, transmission, and distribution activities; and rate-regulated natural gas distribution business.