Is Ameren Corp. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Ameren Corp. has moved from very expensive to expensive, indicating a shift in perception regarding its valuation. The company appears to be overvalued based on its current metrics. Key ratios include a P/E ratio of 22, an EV to EBITDA of 14.15, and a Price to Book Value of 2.17, all of which suggest that the stock is trading at a premium compared to its peers.
In comparison to its peers, Ameren Corp. has a higher P/E ratio than Xcel Energy, Inc. (20.15) and Public Service Enterprise Group, Inc. (20.07), both of which are rated as fair. Additionally, its EV to EBITDA ratio is slightly better than Entergy Corp. (13.32), which is also considered expensive. Despite Ameren's recent stock performance, which has outpaced the S&P 500 over the past year (19.49% vs. 14.08%), the overall valuation metrics indicate that the stock is not justified at its current price level.