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RWE Aktiengesellschaft generates and (1RWE) Fair Value & Analysis

Utilities · IT · Market cap €41.2B

RA RWE Aktiengesellschaft generates and 1RWE · MI
Price€58.72
Fair Value€29.64
Upside-49.5%
Quality40/100
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Mixed Growth
Solidly profitable · 14.5% net margin
Low debt · negative free cash flow
2.12% dividend yield
Narrow moat 27/100
Evidence: Medium Range €22.23 – €37.06 Share as image

Fair value as of: Aug 13, 2026

From 14 valuation models · updated yesterday

Share price +2.2% over the past month.

Below-average quality, and screening another 50% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (€37.06). The favourable scenario is already priced in.
  • Weak quality (40/100) and above fair value at the same time, the margin of safety is missing on both counts.
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Price vs Fair Value (5 years)

€60.88 €25.18 Fair Value €29.64 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range €25.18 – €60.88 · fair‑value band €22.23 – €37.06 · the €58.72 price screens above the €29.64 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

RWE Aktiengesellschaft generates and (1RWE) currently trades at €58.72, while our model-based Fair Value estimate is €29.64, implying the stock looks roughly 49.5% overvalued today. The Quality Score stands at 40/100 (below-average quality), in the Utilities sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, RWE Aktiengesellschaft generates and generated revenue of €16.3B at a net margin of 14.5%. Revenue declined 32.8% year over year. It earns a return on equity of 6.8%. Net debt stands at €6.5B. Fundamentals as of Aug 13, 2026

Our scenario range runs from €22.23 (bear case) to €37.06 (bull case); at €58.72, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 4% below its 52-week high and 77% above its 52-week low, currently above its 200-day average. For context, the median of 10 Utilities peers we cover trades at -38% fair-value upside, at -50%, 1RWE screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income €41.32 €45.24 €62.76 76
ROIC Compounder €8.57 €10.91 €12.96 72
Gordon GGM €10.41 €11.39 €12.89 70
All 14 models by family
Earnings-Based
Graham-Dodd €29.84 €36.47 €41.03 54
EPV €8.57 €10.91 €12.96 59
Dividend Discount
Gordon GGM €10.41 €11.39 €12.89 70
DDM Multi-Stage €10.41 €13.06 €16.78 61
Multiples
P/E Multiple €46.07 €61.43 €76.79 63
P/S Multiple €22.23 €29.64 €37.06 58
P/B Multiple €55.94 €74.59 €93.24 55
EV/EBIT €8.53 €13.19 €17.85 53
EV/EBITDA €20.34 €28.94 €37.54 54
EV/Revenue €11.51 €18.78 €26.05 43
Asset-Based
NCAV (Graham) €24.09 €32.28 €48.18 50
Economic Profit
Residual Income €41.32 €45.24 €62.76 76
ROIC Compounder €8.57 €10.91 €12.96 72
Growth Earnings
Growth-Adj P/E €33.15 €47.35 €61.56 68

Widest divergence: Growth Earnings (€47.35) versus Earnings-Based (€10.91). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) €16.3B
Revenue growth (YoY) -32.8%
Net margin 14.5%
Return on equity 6.8%
Free cash flow −€5.1B FY2025
P/E ratio 18.0
More key figures
Operating margin -28.8%
EPS (TTM) €3.26
Dividend yield 2.1%
EPS growth (YoY) -97.4%
Net debt €6.5B FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 40/100

Of which business quality 41 · Market factors (momentum, volatility) 80

Profitability 32
Margins and returns on capital today
Quality Growth 16
Are margins and returns improving?
Cashflow 42
Earnings quality: real cash, not paper profit
Fin. Strength 31
Balance sheet, leverage, solvency risk
Investment 54
Disciplined investing over empire-building
Low Volatility 77
Calm price path (market factor)
Momentum 73
Price trend over the last 3–12 months (market factor)
52W Momentum 96
Distance to the 52-week high (market factor)
Net Issuance 83
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

RWE Aktiengesellschaft generates and supplies electricity from renewable and conventional sources in Germany, the United Kingdom, rest of Europe, North America, and internationally. It operates through five segments: Offshore Wind; Onshore Wind/Solar; Flexible Generation; Supply & Trading; and Phaseout Technologies.

Full company description

RWE Aktiengesellschaft generates and supplies electricity from renewable and conventional sources in Germany, the United Kingdom, rest of Europe, North America, and internationally. It operates through five segments: Offshore Wind; Onshore Wind/Solar; Flexible Generation; Supply & Trading; and Phaseout Technologies. The company generates wind, hydro, solar, gas, lignite, and biomass electricity. It also trades in electricity, gas, and energy commodities; operates gas storage facilities; and engages in battery storage activities, as well as lignite mining and refining. The company serves commercial, industrial, and municipal customers. RWE Aktiengesellschaft was founded in 1898 and is headquartered in Essen, Germany.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

RWE Aktiengesellschaft generates and reported revenue of €17.6B in FY2025 versus €24.6B in FY2021, a compound −8.0%/yr. Reported net income was €3.1B in FY2025, compounding +44.4%/yr from FY2021.

Growth Quality 55/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
€17.6B
Latest YoY
−27.2%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−22.9%
Revenue −8.0%/yr
FY21 €24.6B
FY22 €38.4B
FY23 €28.5B
FY24 €24.2B
FY25 €17.6B
Net income +44.4%/yr
FY21 €721M
FY22 €2.7B
FY23 €1.5B
FY24 €5.1B
FY25 €3.1B

1RWE screens 50% overvalued. Compare with Iberdrola, S.A →

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Cite: Fair Value Calculator (2026). "RWE Aktiengesellschaft generates and Fair Value". https://www.fairvalue-calculator.com/stock/1RWE

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Utilities - Diversified stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

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E.ON SE EOAN €18.42 €11.71 -36%
ACWA Power Company 2082 184.00 SAR 24.19 SAR -87%
Brookfield Infrastructure Partners L.P. BIPUN C$54.99 C$34.34 -38%
EnBW Energie Baden-Württemberg AG EBK €68.60 €21.11 -69%
EDP, S.A EDP €4.47 €3.81 -15%
Origin Energy Limited ORG A$11.26 A$7.70 -32%

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Frequently asked questions

Is RWE Aktiengesellschaft generates and (1RWE) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of €29.64 versus a price of €58.72, about −50% (overvalued).
What is the fair value of 1RWE?
Our model-based fair value for RWE Aktiengesellschaft generates and is €29.64 (as of Aug 13, 2026), built from audited fundamentals. The current price is €58.72.
What is the quality score of 1RWE?
RWE Aktiengesellschaft generates and has a Quality Score of 40/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of RWE Aktiengesellschaft generates and (1RWE)?
RWE Aktiengesellschaft generates and reported trailing-twelve-month revenue of about €16.3B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 1RWE?
The net profit margin of RWE Aktiengesellschaft generates and is about 14.5%, meaning it keeps roughly 14.5% of revenue as net income. Based on the latest reported figures.
Does RWE Aktiengesellschaft generates and pay a dividend?
RWE Aktiengesellschaft generates and currently shows a dividend yield of about 2.12% relative to its recent price (as of Aug 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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