A month has gone by since the last earnings report for Ameren (AEE). Shares have lost about 1.1% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Ameren due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important drivers.
Ameren Q3 Earnings Higher Than Expected, Revenues Increase Y/Y
Ameren Corporation reported third-quarter 2025 earnings of $2.17 per share, which beat the Zacks Consensus Estimate of $2.10 by 3.3%. The bottom line also improved 16% from the year-ago quarter’s $1.87 per share.
The year-over-year upside in the bottom line can be attributed to higher revenues and operating income generated in the third quarter of 2025 compared with the second quarter of 2024.
AEE’s Total Revenues
Total revenues were $2.70 billion in the reported quarter, up 24.2% year over year. Revenues also beat the Zacks Consensus Estimate of $2.41 billion by 12%.
AEE: Highlights of the Release
Ameren’s total electricity sales volumes increased 2.4% to 19,009 million kilowatt-hours (kWh) compared with 18,565 million kWh in the year-ago period. Gas volumes decreased 3.4% to 28 million dekatherms from the prior-year period’s level.
Total operating expenses were $1.87 billion, up 18.1% year over year.
The company’s interest expenses in the third quarter totaled $208 million compared with the prior-year quarter’s $173 million.
AEE’s Segmental Results
The Ameren Missouri segment reported earnings of $518 million compared with $415 million a year ago. This year-over-year increase was driven by new electric service rates that became effective June 1, 2025, earnings on increased infrastructure investments and lower operations and maintenance expenses.
The Ameren Illinois Electric Distribution segment reported earnings of $57 million in the third quarter compared with $56 million in the previous year.
The Ameren Illinois Natural Gas segment posted a loss of $13 million in the third quarter compared with a loss of $10 million in the prior year.
The Ameren Transmission segment reported earnings of $103 million in the third quarter compared with $100 million a year ago.
AEE’s Financial Condition
Ameren reported cash and cash equivalents of $9 million as of Sept. 30, 2025, compared with $7 million at the end of 2024.
As of Sept. 30, 2025, the long-term debt totaled $19.17 billion compared with $17.26 billion as of Dec. 31, 2024.
As of Sept. 30, 2025, the cash flow from operating activities amounted to $2.40 billion compared with $1.95 billion a year ago.
AEE’s Guidance
Ameren expects to generate earnings per share (EPS) in the range of $4.90-$5.10, higher than its previous guidance of $4.85-$5.05. The Zacks Consensus Estimate for 2025 earnings is pegged at $4.98 per share, which lies below the midpoint of the company’s guided range.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in fresh estimates.
The consensus estimate has shifted -5.28% due to these changes.
VGM Scores
At this time, Ameren has a average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a score of C on the value side, putting it in the middle 20% for value investors.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Notably, Ameren has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
Performance of an Industry Player
Ameren belongs to the Zacks Utility - Electric Power industry. Another stock from the same industry, Edison International (EIX), has gained 1.8% over the past month. More than a month has passed since the company reported results for the quarter ended September 2025.
Edison International reported revenues of $5.75 billion in the last reported quarter, representing a year-over-year change of +10.6%. EPS of $2.34 for the same period compares with $1.51 a year ago.
Edison International is expected to post earnings of $1.59 per share for the current quarter, representing a year-over-year change of +51.4%. Over the last 30 days, the Zacks Consensus Estimate has changed -15.2%.
Edison International has a Zacks Rank #2 (Buy) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of A.
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Ameren Corporation (AEE): Free Stock Analysis Report Edison International (EIX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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