[Executive Summary & Financial Highlights](index=1&type=section&id=1.%20Executive%20Summary%20%26%20Financial%20Highlights) Ameren Corporation reported increased net income and diluted EPS for Q2 and YTD 2025, reaffirming its full-year earnings guidance [Second Quarter 2025 Financial Performance](index=1&type=section&id=1.1%20Second%20Quarter%202025%20Financial%20Performance) Ameren Corporation reported increased net income and diluted EPS for the second quarter of 2025 compared to the prior year, driven by infrastructure investments, new electric service rates, and cost management, partially offset by higher interest expense and lower retail sales due to weather Q2 Financial Performance Summary | Metric | Q2 2025 | Q2 2024 | Change (YoY) | | :----------------------------------- | :------ | :------ | :----------- | | Net Income Attributable to Common Shareholders | $275 million | $258 million | +$17 million | | Diluted EPS | $1.01 | $0.97 | +$0.04 | - Positive factors contributing to earnings growth include **increased infrastructure investments**, **new Ameren Missouri electric service rates** (effective June 1, 2025), and continued **disciplined cost management**[3](index=3&type=chunk) - Offsetting factors include **higher interest expense** at Ameren Parent and Ameren Missouri, **lower Ameren Missouri retail sales** (due to near-normal temperatures in Q2 2025 compared to warmer-than-normal in Q2 2024), and **higher weighted-average basic common shares outstanding**[3](index=3&type=chunk) [Year-to-Date 2025 Financial Performance](index=1&type=section&id=1.2%20Year-to-Date%202025%20Financial%20Performance) For the six months ended June 30, 2025, Ameren's GAAP net income and diluted EPS increased year-over-year. Adjusted net income for 2024, excluding a prior year charge, also showed growth YTD Financial Performance Summary | Metric | YTD 2025 (GAAP) | YTD 2024 (GAAP) | YTD 2024 (Adjusted) | | :----------------------------------- | :-------------- | :-------------- | :------------------ | | Net Income Attributable to Common Shareholders | $564 million | $519 million | $530 million | | Diluted EPS | $2.08 | $1.95 | $1.99 | - The increase in year-over-year six-month earnings reflected **increased infrastructure investments**, **new Ameren Missouri electric service rates**, and **higher Ameren Missouri electric retail sales**[4](index=4&type=chunk) - These positive factors were partially offset by **higher interest expense** at Ameren Missouri and Ameren Parent[6](index=6&type=chunk) - A charge for additional mitigation relief related to Ameren Missouri's Rush Island Energy Center, which decreased first quarter 2024 earnings by **$11 million**, was excluded from adjusted six-month 2024 earnings[6](index=6&type=chunk)[7](index=7&type=chunk) [Earnings Guidance](index=1&type=section&id=1.3%20Earnings%20Guidance) Ameren reaffirmed its 2025 diluted EPS guidance range and anticipates delivering earnings in the top half of this range, supported by strong year-to-date performance and assuming normal temperatures for the latter half of the year 2025 Earnings Guidance | Metric | 2025 Guidance Range | | :-------------------- | :------------------ | | Diluted EPS | $4.85 to $5.05 per share | - Ameren is well positioned to deliver 2025 earnings in the **top half of its guidance range** due to strong year-to-date performance[8](index=8&type=chunk) - Earnings guidance for 2025 assumes **normal temperatures** for the last six months of the year and is subject to various **risks and uncertainties**[8](index=8&type=chunk) [Segment Performance](index=2&type=section&id=2.%20Segment%20Performance) Ameren's operating segments generally reported increased earnings for Q2 2025, while Ameren Parent recorded a larger loss [Ameren Missouri Segment Results](index=2&type=section&id=2.1%20Ameren%20Missouri%20Segment%20Results) Ameren Missouri's second quarter 2025 earnings increased, primarily due to new electric service rates and infrastructure investments, despite lower electric retail sales influenced by weather and higher interest expense Ameren Missouri Earnings | Metric | Q2 2025 | Q2 2024 | | :------- | :------ | :------ | | Earnings | $150 million | $128 million | - The year-over-year increase reflected **new electric service rates** effective June 1, 2025, earnings on **increased infrastructure investments**, and lower operations and maintenance expenses[9](index=9&type=chunk) - These positive factors were partially offset by **lower electric retail sales**, primarily driven by near-normal temperatures in Q2 2025 compared to warmer-than-normal temperatures in the prior-year period, and **higher interest expense**[9](index=9&type=chunk) [Ameren Transmission Segment Results](index=3&type=section&id=2.2%20Ameren%20Transmission%20Segment%20Results) Ameren Transmission reported an increase in earnings for the second quarter of 2025 Ameren Transmission Earnings | Metric | Q2 2025 | Q2 2024 | | :------- | :------ | :------ | | Earnings | $86 million | $79 million | [Ameren Illinois Electric Distribution Segment Results](index=3&type=section&id=2.3%20Ameren%20Illinois%20Electric%20Distribution%20Segment%20Results) Ameren Illinois Electric Distribution experienced a slight increase in earnings for the second quarter of 2025 Ameren Illinois Electric Distribution Earnings | Metric | Q2 2025 | Q2 2024 | | :------- | :------ | :------ | | Earnings | $64 million | $61 million | [Ameren Illinois Natural Gas Segment Results](index=3&type=section&id=2.4%20Ameren%20Illinois%20Natural%20Gas%20Segment%20Results) Ameren Illinois Natural Gas reported an increase in earnings for the second quarter of 2025 Ameren Illinois Natural Gas Earnings | Metric | Q2 2025 | Q2 2024 | | :------- | :------ | :------ | | Earnings | $10 million | $6 million | [Ameren Parent Results](index=3&type=section&id=2.5%20Ameren%20Parent%20Results) Ameren Parent recorded a larger loss in the second quarter of 2025 compared to the prior year, primarily due to higher interest expense Ameren Parent Loss | Metric | Q2 2025 | Q2 2024 | | :------- | :------ | :------ | | Loss | $35 million | $16 million | - The year-over-year comparison reflected **higher interest expense**[13](index=13&type=chunk) [Company Information & Disclosures](index=3&type=section&id=3.%20Company%20Information%20%26%20Disclosures) This section details Ameren's analyst call, company profile, non-GAAP financial measures, and forward-looking statements [Analyst Conference Call](index=3&type=section&id=3.1%20Analyst%20Conference%20Call) Ameren will host a conference call on August 1, 2025, for financial analysts, investors, and the public to discuss 2025 earnings, guidance, and other matters, with a live webcast and presentation available online - Ameren will conduct a conference call for financial analysts at 9 a.m. Central Time on Friday, **August 1, 2025**[14](index=14&type=chunk) - The call will discuss 2025 earnings, earnings guidance, and other matters[14](index=14&type=chunk) - Investors, news media, and the public can listen to a live broadcast and access an accompanying slide presentation at AmerenInvestors.com[14](index=14&type=chunk) [About Ameren](index=3&type=section&id=3.2%20About%20Ameren) Ameren Corporation is a St. Louis-based utility company providing electric and natural gas services to millions of customers across a 64,000-square-mile area through its rate-regulated utility subsidiaries: Ameren Missouri, Ameren Illinois, and Ameren Transmission Company of Illinois - Ameren Corporation is based in St. Louis and serves **2.5 million electric customers** and **over 900,000 natural gas customers**[15](index=15&type=chunk) - Its service area covers **64,000 square miles** through its Ameren Missouri and Ameren Illinois rate-regulated utility subsidiaries[15](index=15&type=chunk) - Subsidiaries include Ameren Missouri (electric generation, transmission, distribution, natural gas distribution), Ameren Illinois (electric transmission and distribution, natural gas distribution), and Ameren Transmission Company of Illinois (regional electric transmission projects in MISO)[15](index=15&type=chunk) [Use of Non-GAAP Financial Measures](index=3&type=section&id=3.3%20Use%20of%20Non-GAAP%20Financial%20Measures) Ameren utilizes adjusted earnings and adjusted earnings per share as non-GAAP financial measures, which exclude significant discrete items not considered representative of ongoing earnings, such as prior year charges related to legal settlements and regulatory orders. These measures are used for internal financial planning, performance analysis, and communication with stakeholders - Ameren presents adjusted earnings and adjusted earnings per share as non-GAAP measures, which may not be comparable to those of other companies[16](index=16&type=chunk) - Adjusted earnings generally exclude income or loss from **significant discrete items** that management does not consider representative of ongoing earnings, such as **prior year charges for mitigation relief** related to the New Source Review (NSR) and Clean Air Act proceeding, and **customer refunds related to a FERC order** on MISO's allowed base return on equity (ROE)[16](index=16&type=chunk) - These non-GAAP measures are used internally for **financial planning and performance analysis**, and externally for **communicating earnings results and outlook** to analysts and investors, as they allow for more accurate comparison of ongoing performance across periods[17](index=17&type=chunk) [Forward-looking Statements](index=5&type=section&id=3.4%20Forward-looking%20Statements) The release contains forward-looking statements that are subject to various risks and uncertainties, which could cause actual results to differ materially from those discussed. These factors include regulatory, judicial, or legislative actions, economic and market conditions, operational risks, environmental policies, and geopolitical events - Statements not based on historical facts are considered '**forward-looking**' and involve **risks and uncertainties** that could cause actual results to differ materially[18](index=18&type=chunk) - Key risk factors include **regulatory, judicial, or legislative actions**; **ability to control costs and recover investments**; effects of **multi-year rate plans (MYRPs)**; **ability to construct/acquire renewable energy facilities**; **MISO long-range transmission planning**; **counterparty obligations**; **advancements in energy technologies**; **changes in federal, state, or local laws and policies** (e.g., OBBBA, IRA); **energy demand**; **fuel cost and availability**; **cyberattacks**; **economic, geopolitical, and capital market conditions**; **weather**; **construction, installation, performance, and cost recovery of assets**; **environmental laws**; **labor disputes**; **negative public opinion**; **legal proceedings**; **pandemics**; and **global conflicts**[18](index=18&type=chunk)[20](index=20&type=chunk) - The company cautions against undue reliance on these statements and undertakes **no obligation to update or revise them publicly**, except as required by federal securities laws[19](index=19&type=chunk) [Financial Statements](index=7&type=section&id=4.%20Financial%20Statements) Ameren's consolidated financial statements show increased revenues and net income, alongside growth in assets and operating cash flows for Q2 and YTD 2025 [Consolidated Statement of Income](index=7&type=section&id=4.1%20Consolidated%20Statement%20of%20Income) Ameren's consolidated statement of income shows increased total operating revenues and net income for both the three and six months ended June 30, 2025, compared to the prior year, primarily driven by higher electric revenues, though operating expenses also rose significantly due to fuel and purchased power costs Consolidated Income Statement Highlights (Millions of $) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :----------------------------------- | :------ | :------ | :------- | :------- | | Total Operating Revenues | $2,221 | $1,693 | $4,318 | $3,509 | | Operating Income | $411 | $361 | $841 | $732 | | Net Income Attributable to Ameren Common Shareholders | $275 | $258 | $564 | $519 | | Diluted EPS | $1.01 | $0.97 | $2.08 | $1.95 | - **Electric revenues significantly increased** from **$1,521 million** in Q2 2024 to **$2,038 million** in Q2 2025, and from **$2,885 million** in YTD 2024 to **$3,660 million** in YTD 2025[22](index=22&type=chunk) - **Fuel and purchased power expenses rose substantially** from **$327 million** in Q2 2024 to **$794 million** in Q2 2025, and from **$655 million** in YTD 2024 to **$1,296 million** in YTD 2025[22](index=22&type=chunk) [Consolidated Balance Sheet](index=8&type=section&id=4.2%20Consolidated%20Balance%20Sheet) As of June 30, 2025, Ameren's total assets increased to $46,625 million from $44,598 million at December 31, 2024, primarily driven by growth in property, plant, and equipment, and regulatory assets. Long-term debt also saw an increase Consolidated Balance Sheet Highlights (Millions of $) | Metric | June 30, 2025 | December 31, 2024 | | :----------------------------------- | :------------ | :---------------- | | Total Assets | $46,625 million | $44,598 million | | Property, Plant, and Equipment, Net | $37,816 million | $36,304 million | | Long-term Debt, Net | $18,811 million | $17,262 million | | Total Shareholders' Equity | $12,314 million | $12,114 million | - **Current assets increased** from **$2,264 million** at December 31, 2024, to **$2,474 million** at June 30, 2025, mainly due to higher accounts receivable and unbilled revenue[24](index=24&type=chunk) - **Current liabilities decreased** from **$3,413 million** to **$3,087 million**, largely due to a reduction in current maturities of long-term debt[24](index=24&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=9&type=section&id=4.3%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) For the six months ended June 30, 2025, Ameren saw an increase in net cash provided by operating activities, while net cash used in investing activities also increased due to higher capital expenditures. Net cash provided by financing activities slightly decreased Condensed Consolidated Cash Flows (Millions of $) | Metric | YTD 2025 | YTD 2024 | | :----------------------------------- | :------- | :------- | | Net cash provided by operating activities | $1,293 million | $1,049 million | | Net cash used in investing activities | $(2,111) million | $(1,932) million | | Net cash provided by financing activities | $884 million | $912 million | | Capital expenditures | $(2,130) million | $(1,892) million | | Cash, cash equivalents, and restricted cash at end of period | $394 million | $301 million | - **Operating activities benefited from higher net income and deferred income taxes**, partially offset by changes in other assets and liabilities[26](index=26&type=chunk) - **Financing activities included significant issuances of long-term debt ($1,599 million** in YTD 2025 vs **$1,470 million** in YTD 2024) and **dividends on common stock ($384 million** in YTD 2025 vs **$356 million** in YTD 2024)[26](index=26&type=chunk) [Operating Statistics](index=10&type=section&id=5.%20Operating%20Statistics) Operating statistics reveal decreased electric sales but increased electric revenues, alongside growth in gas sales and revenues, and a slight increase in common shares outstanding [Electric Sales and Revenues](index=10&type=section&id=5.1%20Electric%20Sales%20and%20Revenues) Total electric sales decreased for both the second quarter and year-to-date 2025, primarily due to lower Ameren Missouri off-system sales and Ameren Illinois industrial sales. Despite this, total electric revenues significantly increased, largely driven by a substantial rise in Ameren Missouri's off-system sales and capacity revenues Electric Sales and Revenues | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :----------------------------------- | :------ | :------ | :------- | :------- | | Total Electric Sales (million kWh) | 15,672 | 17,110 | 33,480 | 34,250 | | Total Electric Revenues (million $) | $2,038 | $1,521 | $3,660 | $2,885 | - **Ameren Missouri's off-system sales decreased** from **1,484 million kWh** in Q2 2024 to **662 million kWh** in Q2 2025, but **off-system sales and capacity revenues dramatically increased** from **$47 million** to **$471 million** in the same period[29](index=29&type=chunk) - **Ameren Illinois Electric Distribution's industrial sales decreased** from **2,712 million kWh** in Q2 2024 to **2,511 million kWh** in Q2 2025[29](index=29&type=chunk) [Gas Sales and Revenues](index=11&type=section&id=5.2%20Gas%20Sales%20and%20Revenues) Total gas sales and revenues increased for both the second quarter and year-to-date 2025, with Ameren Illinois Natural Gas contributing the majority of the growth Gas Sales and Revenues | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :----------------------------------- | :------ | :------ | :------- | :------- | | Total Gas Sales (million dekatherms) | 33 | 31 | 107 | 99 | | Total Gas Revenues (million $) | $183 | $172 | $658 | $624 | - **Ameren Illinois Natural Gas sales increased** from **28 million dekatherms** in Q2 2024 to **30 million dekatherms** in Q2 2025, and **revenues increased** from **$148 million** to **$158 million**[31](index=31&type=chunk) [Common Stock Information](index=11&type=section&id=5.3%20Common%20Stock%20Information) As of June 30, 2025, Ameren's common shares outstanding slightly increased, and the book value per share improved compared to December 31, 2024 Common Stock Details | Metric | June 30, 2025 | December 31, 2024 | | :----------------------------------- | :------------ | :---------------- | | Shares outstanding (in millions) | 270.4 | 269.9 | | Book value per share | $45.54 | $44.88 |

Core Points - Ameren Corporation reported a second quarter 2025 net income of $275 million, or $1.01 per diluted share, an increase from $258 million, or $0.97 per diluted share in the same quarter of 2024 [1][2][11] - The earnings growth was driven by increased infrastructure investments, new electric service rates in Ameren Missouri, and disciplined cost management, although it faced challenges from higher interest expenses and lower retail sales due to near-normal temperatures [2][3][7] Financial Performance - For the six months ended June 30, 2025, Ameren's net income attributable to common shareholders was $564 million, or $2.08 per diluted share, compared to $519 million, or $1.95 per diluted share for the same period in 2024 [3][18] - The adjusted net income for the first half of 2024 was $530 million, or $1.99 per diluted share, indicating a year-over-year increase in earnings [3][4] Segment Results - Ameren Missouri's second quarter 2025 earnings were $150 million, up from $128 million in the second quarter of 2024, attributed to new electric service rates and increased infrastructure investments [7] - Ameren Transmission segment earnings rose to $86 million in Q2 2025 from $79 million in Q2 2024, while Ameren Illinois Electric Distribution segment earnings increased to $64 million from $61 million [8] - The Ameren Parent segment reported a loss of $35 million in Q2 2025, compared to a loss of $16 million in Q2 2024, primarily due to higher interest expenses [9] Earnings Guidance - The company reaffirmed its 2025 earnings per share guidance range of $4.85 to $5.05, indicating strong year-to-date performance and positioning to deliver earnings in the top half of this range [6][11] Operating Statistics - Total operating revenues for the second quarter of 2025 were $2.221 billion, compared to $1.693 billion in Q2 2024, reflecting a significant increase [18] - Electric sales in Ameren Missouri decreased to 7,873 million kilowatt-hours in Q2 2025 from 8,925 million kilowatt-hours in Q2 2024, while Ameren Illinois Electric Distribution sales also saw a decline [22]

Key Takeaways Ameren Corporation (AEE) is scheduled to release its second-quarter 2025 results on July 31, after market close. The company delivered a negative earnings surprise of 0.93% in the last reported quarter. AEE also holds a four-quarter average negative earnings surprise of 0.31%. Let's discuss the factors that are likely to be reflected in the upcoming quarterly results. Factors to Consider Ahead of AEE's Q2 Results Ameren Corporation's service territories witnessed an above-normal temperature pa ...

In its upcoming report, Ameren (AEE) is predicted by Wall Street analysts to post quarterly earnings of $1.00 per share, reflecting an increase of 3.1% compared to the same period last year. Revenues are forecasted to be $1.88 billion, representing a year-over-year increase of 10.8%. The consensus EPS estimate for the quarter has undergone an upward revision of 1.2% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial est ...

Company Overview - Ameren Corporation serves 2.5 million electric customers and over 900,000 natural gas customers across a 64,000-square-mile area through its subsidiaries Ameren Missouri and Ameren Illinois [3] - Ameren Illinois provides electric transmission and distribution services as well as natural gas distribution services, while Ameren Missouri offers electric generation, transmission, and distribution services along with natural gas distribution [3] - Ameren Transmission Company of Illinois focuses on developing, owning, and operating rate-regulated regional electric transmission projects within the Midcontinent Independent System Operator, Inc. [3] Upcoming Earnings Call - Martin J. Lyons Jr., chairman, president, and CEO, along with Michael L. Moehn, senior executive vice president and CFO, will discuss the second quarter 2025 earnings and guidance during a conference call on August 1 at 9 a.m. Central Time [1] - The call will be available for live streaming on AmerenInvestors.com, with supporting materials posted in the "Investor News and Events" section [2] - A replay of the webcast will be accessible for one year starting approximately one hour after the call concludes [2]

Core Points - Ameren Missouri is advancing its generation investment plan by filing an application for the construction of an 800-megawatt natural gas energy center and a large-scale battery storage facility in Jefferson County, Missouri [1][3] - The Big Hollow Energy Center aims to enhance energy reliability and meet increased energy demands while ensuring grid resiliency [1][2] - The project is expected to create significant investment and job opportunities in the community, with the energy center projected to be operational by 2028 [3][4] Investment and Infrastructure - The Big Hollow Energy Center will feature a 400-megawatt lithium-ion battery installation, which can provide backup power during peak energy needs and improve overall grid reliability [4][5] - Ameren Missouri plans to accelerate its battery storage capacity to a total of 1,000 megawatts by 2030 and 1,800 megawatts by 2042 [4] - The natural gas and battery storage facilities will operate independently but will utilize existing infrastructure, reducing construction time and costs [5][6] Community Impact - The project is expected to support local economic development, including contributions to the Jefferson R-VII School District and local first responders [7] - Community leaders express strong support for the Big Hollow Energy Center, viewing it as a commitment to the future of Jefferson County [7][8] - The closure of the Rush Island Energy Center in October 2024 has been addressed by Ameren Missouri, ensuring continued partnership with the community [8]

Industry Overview - The global shift toward sustainability is transforming the energy landscape, with a rapid adoption of renewable sources like solar and wind, highlighting the critical need for reliable energy storage [1][2] - Demand for scalable storage solutions has surged alongside the increased adoption of renewable energy, positioning both as key pillars of the global energy transition [2] Growth Projections - According to the IEA, global electricity generation grew over 1,200 terawatt-hours (TWh) in 2024, with clean energy accounting for 80% of this growth, indicating strong growth opportunities in renewable energy and battery storage [3] - The IEA projects that new renewable energy capacity added globally between 2024 and 2030 will exceed 5,500 gigawatts (GW), almost three times the increase seen between 2017 and 2023, with energy storage projected to increase six times [4] Demand Drivers - The essential nature of electricity fuels strong demand even during economic downturns, providing stability to stakeholders in renewable energy and battery storage [5] - Factors such as expanding industrial output, rapid growth in electric vehicle (EV) adoption, data center proliferation, and increased use of cooling systems amid worsening climate conditions are contributing to a surge in electricity demand [5] Policy and Economic Support - Robust policy support, fiscal incentives, international commitments to net-zero emissions, and declining installation costs for solar and wind are enhancing the competitiveness of clean energy companies [6] Company Highlights - Ameren Corp. is investing in cleaner energy sources, with 1,200 MW of approved generation currently under construction and plans to expand its renewable portfolio by adding 3,200 MWs by 2030 [7][8] - American Electric Power Corp. aims to enhance its renewable generation portfolio to 50% by 2030, with a planned investment of $9.9 billion during 2025-2029 [10][11] - Vestas Wind Systems, the largest wind turbine manufacturer, has around 56,700 wind turbines under service, expected to avoid 490 million tons of CO2 over their lifetime, reflecting a 25% improvement year over year [13] - Stem Inc. has emerged as a leading clean energy software provider, managing nearly 30 GW of solar assets and over 5 GWh of contracted energy storage globally, with significant year-over-year growth in energy storage and solar systems [15][16]

Group 1 - The options market indicates significant implied volatility for Ameren Corporation, particularly for the June 20, 2025 $75.00 Call option, suggesting that investors expect a substantial price movement [1] - Implied volatility reflects market expectations of future stock movement, often indicating potential upcoming events that could lead to significant price changes [2] - Ameren currently holds a Zacks Rank 3 (Hold) in the Utility - Electric Power industry, which is in the top 29% of the Zacks Industry Rank, with recent analyst activity showing an increase in earnings estimates for the current quarter from 84 cents to $1.03 per share [3] Group 2 - The high implied volatility for Ameren shares may present trading opportunities, as options traders often seek to sell premium on such options, aiming for the underlying stock to not move as much as anticipated [4]

Industry Overview - The Zacks Utility - Electric Power industry is characterized by a regulated framework that allows utilities to recover costs and generate consistent returns, minimizing earnings volatility [1] - The sector is seen as a dependable choice for income-oriented investors due to steady electricity demand and attractive dividend yields [1] Transition to Clean Energy - Electric utilities in the U.S. are evolving beyond traditional income providers, driven by investments in grid modernization, renewable energy integration, and electrification [2] - Federal incentives and climate initiatives are reshaping the utilities industry, positioning companies at the forefront of this transition for sustained growth [2] Company Profiles PPL Corporation - PPL Corporation focuses on infrastructure upgrades and clean energy, benefiting from predictable revenues due to its regulated nature [3] - The company is well-positioned for steady earnings growth and long-term value through investments in grid reliability and sustainable energy [3] Ameren Corporation - Ameren Corporation serves Missouri and Illinois, offering stable cash flows and a reliable dividend yield, supported by a constructive regulatory environment [4] - The company emphasizes grid modernization and clean energy transition, backed by strong financial management and credit ratings [4] Earnings Growth Projections - PPL's earnings per share (EPS) is projected to grow by 7.69% in 2025 and 8.24% in 2026, with a long-term growth estimate of 7.46% [6] - Ameren's EPS is expected to grow by 6.48% in 2025 and 7.61% in 2026, with a long-term growth estimate of 6.95% [9] Financial Metrics - PPL's return on equity (ROE) is 9.14%, while Ameren's ROE is 10.40%, which is above the industry's average of 10.13% [12] - PPL's debt-to-capital ratio is 52.71%, lower than Ameren's 59.78% and the industry's 54.57% [14] Dividend Yield - PPL Corporation has a dividend yield of 3.19%, higher than Ameren's 2.98% and the industry's yield of 3.17% [16] Valuation - PPL appears cheaper than Ameren on a Price/Earnings Forward 12-month basis, trading at 18.19X compared to Ameren's 18.75X [17] Capital Expenditure Plans - PPL plans to invest nearly $20 billion from 2025 to 2028 for infrastructure and clean electricity generation [19] - Ameren plans to invest $27.4 billion from 2025 to 2029 for strengthening its electric transmission, distribution, and generation infrastructure [19] Conclusion - PPL offers a balanced mix of income and long-term value appreciation potential, with a cheaper valuation and lower debt level compared to Ameren [20]

Core Insights - Entergy Corporation and Ameren are experiencing a surge in demand for the first time in years, driven by factors such as reshoring, AI-driven data center plans, and supportive legislation [1] Company Analysis - Entergy Corporation (NYSE: ETR) and Ameren (NYSE: AEE) are both regulated electric utilities [1] - Both companies are accelerating their investments in response to the increased demand [1] Market Trends - The surge in demand is attributed to reshoring initiatives and advancements in AI technology, particularly in data centers [1] - Legislative support is also contributing to the favorable market conditions for these utilities [1]