FirstEnergy (FE)

Utilities · $26.8B market cap · SEC CIK 0001031296

Next reports on Feb 15, 2027, after the close, with analysts expecting $0.60 in earnings per share.

52-week range $42.67 to $52.34. 11% below its 52-week high and 9% above its low.

The case for FE

• Pays a 4.4% dividend while you wait.
• Gross margin of 61% absorbs cost shocks.
• Moves less than the market (beta 0.35).
• Price/sales of 1.8× is lower than 87% of Utilities companies.

The case against

• Burned $1.0B of free cash in FY2025.
• Priced at 22.3× earnings while earnings per share are shrinking (−9.9%).
• Long-term debt of $25.5B would take 7 years of operating cash flow to repay.
• Operating profit covers its interest bill only 2.5 times.
• Earnings per share fell 9.9%.
• Value is weak (40/100): 22.3× earnings against a fair 21× for its growth, 1.8× sales, −3.7% free-cash yield.

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. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.

• Each factor except momentum is half fixed thresholds, half rank among the 31 Utilities companies.

The financials

The financials, five years deep

Pulled from FirstEnergy's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.

What FirstEnergy says it does

The Companies FE and its subsidiaries are principally involved in the transmission, distribution, and generation of electricity. FirstEnergy’s electric operating companies comprise one of the nation’s largest investor-owned electric systems, serving over six million customers in the Midwest and Mid-Atlantic regions. FirstEnergy’s transmission operations include more than 24,000 miles of transmission lines and two regional transmission operation centers, and MP and AGC control 3,610 MWs of total generation capacity. Regulated Electric Company Operating Subsidiaries The Electric Companies’ combined service areas encompass approximately 65,000 square miles in Ohio, Pennsylvania, West Virginia, Maryland, New Jersey, and New York, providing distribution services for over six million customers in an area with a population of approximately 14 million and a total rate base of approximately $21.3 billion as of December 31, 2025. OE owns…

Risk factors FE lists in its 10-K

• Securities class-action litigation against us could have a material adverse effect on our reputation, business, financial condition, results of operations, our ability to access capital, liquidity or cash flows
• In re FirstEnergy Corp. Securities Litigation
• In re: FirstEnergy Corp. Securities Litigation
• If our cost saving initiatives do not achieve the expected benefits, there could be negative impacts to FirstEnergy's business, results of operations and financial condition
• Our ability to grow our distribution and transmission businesses is subject to numerous risks and events, many of which are outside of our control
• Complex and changing federal, state and local government regulations and actions, including those associated with rates, could have a negative impact on our business, financial condition, results of operations and cash flows
• The hazardous activities associated with generation and distribution of electricity could adversely impact our results of operations and financial condition
• Our business is affected by variations in weather and severe weather conditions
• We are subject to financial performance risks from regional and general economic cycles as well as data centers and heavy industries such as shale gas, automotive, chemical and steel
• Capital investments and construction projects may not be completed within forecasted budget, schedule or scope parameters or could be canceled which could adversely affect our business and results of operations
• Physical acts of war, terrorism, sabotage or other attacks on any of our facilities or other infrastructure could have an adverse effect on our business, results of operations, cash flows and financial condition
• Failure to provide safe and reliable service and equipment could result in serious injury or loss of life that may harm our business reputation and adversely affect our operating results
• We face certain human resource risks associated with potential labor disruptions and/or with the availability of trained and qualified labor to meet our future staffing requirements
• Significant increases in our operation and maintenance expenses, including our health care and pension costs, could adversely affect our future earnings and liquidity
• Advances in and widespread adoption of distributed generation and regulatory policies may make our facilities significantly less competitive and adversely affect our results of operations
• Energy companies are subject to adverse publicity that makes them vulnerable to negative regulatory and legislative outcomes, which could have an adverse impact on our business
• Our aspirations and disclosures related to climate matters expose us to risks that could adversely affect our reputation and performance
• Concerns about GHG emissions and the potential risks associated with climate change have led to increased regulation and other actions that could impact our businesses
• The EPA may conduct NSR investigations at FirstEnergy’s electric generation facilities, which could result in the imposition of fines
• Transition risks associated with climate change, including those related to regulatory mandates could negatively impact our financial results
• Financial and reputational risks associated with owning coal-fired generation may have an adverse impact on FE's business operations, financial condition and cash flows
• The physical risks associated with climate change may have an adverse impact on our business operations, financial condition and cash flows
• Our results of operations and financial condition may be adversely affected by the volatility in pension and OPEB investments and obligations due to capital market performance and other changes
• A credit rating downgrade could negatively affect our or our subsidiaries’ financing costs, ability to access capital and requirement to post collateral
• FE cannot assure its common shareholders that future dividend payments will be made, or if made, in what amounts they may be paid. (Applies to FE)
• JCP&L may recognize impairments of recorded goodwill, which would result in write-offs of the impaired amounts and could have an adverse effect on its results of operations. (Applies to JCP&L)

Filings

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