CenterPoint Energy (CNP)
Utilities · $24.9B market cap · SEC CIK 0001130310
fundamentals score out of 100
Next reports on Oct 21, 2026, before the open, with analysts expecting $0.49 in earnings per share.
The case for CNP
- Pays a 2.9% dividend while you wait.
- Moves less than the market (beta 0.44).
The case against
- Burned $2.4B of free cash in FY2025.
- Long-term debt of $20.6B would take 8 years of operating cash flow to repay.
- Revenue has shrunk 3.8% a year over five years.
- Near the bottom of its 52-week range, 16% below the high. Falling prices usually have a reason; find it first.
- Free-cash-flow yield of -9.6% is lower than 87% of Utilities companies.
- Net margin of 6% is thinner than 97% of Utilities companies.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Utilities companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 32 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 22 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 17 |
| Momentumhow the price has behaved lately | 27 |
| Stabilityhow violently it moves, what it owes and what it pays you | 49 |
- Each factor except momentum is half fixed thresholds, half rank among the 31 Utilities companies.
Key numbers
| Price / earnings | 22.3× |
|---|---|
| Price / book | 2.46× |
| Price / sales | 3.3× |
| Revenue growth (YoY) | +1.4% |
| EPS growth (YoY) | +18.3% |
| Gross margin | — |
| Operating margin | 13% |
| Net margin | 6% |
| Return on equity | 10% |
| Debt / equity | 2.10× |
| Current ratio | 1.12 |
| Dividend yield | 2.86% |
| Beta | 0.44 |
| 52-week range | $37.22 – $45.26 |
| Position in that range | 8% of the way up |
| 3-month return | -11.3% |
| 1-year return | -0.1% |
Five years of financials, as filed
Pulled from CenterPoint Energy's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $9.3B | $8.6B | $8.6B | $9.3B | $8.3B |
| Operating income | $2.1B | $2.0B | $1.8B | $1.6B | $1.4B |
| Net income | $1.1B | $1.0B | $917M | $1.1B | $1.5B |
| Operating cash flow | $2.5B | $2.1B | $3.9B | $1.8B | $22.0M |
| Capital expenditure | $4.9B | $4.5B | $4.4B | $4.4B | $3.2B |
| Total assets | $46.5B | $43.8B | $39.7B | $38.5B | $37.7B |
| Shareholder equity | $11.2B | $10.7B | $9.7B | $10.0B | $9.4B |
| Cash | $38.0M | $24.0M | $90.0M | $74.0M | $230M |
| Long-term debt | $20.6B | $20.4B | $17.6B | $14.8B | $15.6B |
| Free cash flow | -$2.4B | -$2.4B | -$524M | -$2.6B | -$3.1B |
| Operating margin | 22.6% | 23.3% | 20.4% | 16.8% | 16.5% |
| Net margin | 11.3% | 11.9% | 10.6% | 11.3% | 18.0% |
| Diluted shares | 656M | 644M | 633M | 632M | 610M |
Share count is up 7.5% over 4 years. Mild issuance.
What CenterPoint Energy says it does
for more details. Natural Gas Combustion Turbines. In 2022, Indiana Electric received approval from the IURC for a CPCN seeking approval to construct two natural gas combustion turbines to replace portions of its existing coal-fired generation fleet. In the second quarter of 2025, 230 MW of the facility was placed in service, and due to a transformer manufacturing issue, the remaining 230 MW of the facility was placed in service in the third quarter of 2025. For further information, see "Management’s Discussion and Analysis of Financial Condition and Results of Operations — Liquidity and Capital Resources — Regulatory Matters" in Item 7 of Part II of this report, which discussion is incorporated herein by reference. Solar. On February 7, 2023, Indiana Electric filed a CPCN with the IURC to approve an amended BTA to purchase the 191 MW Posey Solar project. On September 6, 2023, the IURC issued an order approving the CPCN. On March 7,…
Risk factors CNP lists in its 10-K
- Electric Transmission, Distribution and Generation (CenterPoint Energy and Houston Electric)
- Natural Gas (CenterPoint Energy and CERC)
- Access to natural gas supplies and pipeline transmission and storage capacity are essential components of reliable service for our natural gas business customers
- Our natural gas businesses must compete with alternate energy sources, which could result in less natural gas delivered and have an adverse impact on our business, financial condition, results of operations and cash flows
- Rate regulation of the Registrants’ electric and natural gas businesses may delay or deny their ability to earn an expected return and fully and timely recover their costs
- We are involved in numerous legal proceedings, the outcomes of which are uncertain, and resolutions adverse to us could negatively affect our financial results
- We are subject to operational and financial risks and liabilities arising from environmental laws and regulations, including regulation of CCR,
- climate change legislation and certain local initiatives that seek to limit fossil fuel usage
- We are subject to extensive regulation, which could result in higher costs for system improvements, as well as fines or other sanctions
- Our businesses may be adversely affected by the intentional misconduct of our employees, consultants, contractors, suppliers and vendors
- If we are unable to arrange future financings on acceptable terms, our ability to finance our capital expenditures and operations or
- refinance outstanding indebtedness could be limited
- CenterPoint Energy’s previously owned Energy Systems Group business has performance and warranty obligations, some of which are guaranteed by CenterPoint Energy
- An impairment of goodwill, long-lived assets or equity method investments or a fair value adjustment could reduce our earnings