NWE PE Ratio & Valuation,Is NWE Overvalued

NWE Relative Valuation

NWE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, NWE is overvalued; if below, it's undervalued.

Historical Valuation

NorthWestern Energy Group Inc (NWE) is now in the Fair zone, suggesting that its current forward PE ratio of 17.80 is considered Fairly compared with the five-year average of 16.01. The fair price of NorthWestern Energy Group Inc (NWE) is between 64.79 to 74.70 according to relative valuation methord.

Relative Value

Fair Zone

64.79-74.70

Current Price：65.88

Fair

17.48

11.21

EV/EBITDA

NorthWestern Energy Group Inc. (NWE) has a current EV/EBITDA of 11.21. The 5-year average EV/EBITDA is 10.77. The thresholds are as follows: Strongly Undervalued below 9.05, Undervalued between 9.05 and 9.91, Fairly Valued between 11.64 and 9.91, Overvalued between 11.64 and 12.50, and Strongly Overvalued above 12.50. The current Forward EV/EBITDA of 11.21 falls within the Historic Trend Line -Fairly Valued range.

18.36

EV/EBIT

NorthWestern Energy Group Inc. (NWE) has a current EV/EBIT of 18.36. The 5-year average EV/EBIT is 17.95. The thresholds are as follows: Strongly Undervalued below 14.70, Undervalued between 14.70 and 16.33, Fairly Valued between 19.58 and 16.33, Overvalued between 19.58 and 21.20, and Strongly Overvalued above 21.20. The current Forward EV/EBIT of 18.36 falls within the Historic Trend Line -Fairly Valued range.

2.51

NorthWestern Energy Group Inc. (NWE) has a current PS of 2.51. The 5-year average PS is 2.17. The thresholds are as follows: Strongly Undervalued below 1.79, Undervalued between 1.79 and 1.98, Fairly Valued between 2.35 and 1.98, Overvalued between 2.35 and 2.54, and Strongly Overvalued above 2.54. The current Forward PS of 2.51 falls within the Overvalued range.

8.75

P/OCF

NorthWestern Energy Group Inc. (NWE) has a current P/OCF of 8.75. The 5-year average P/OCF is 7.38. The thresholds are as follows: Strongly Undervalued below 5.94, Undervalued between 5.94 and 6.66, Fairly Valued between 8.10 and 6.66, Overvalued between 8.10 and 8.82, and Strongly Overvalued above 8.82. The current Forward P/OCF of 8.75 falls within the Overvalued range.

52.57

P/FCF

NorthWestern Energy Group Inc. (NWE) has a current P/FCF of 52.57. The 5-year average P/FCF is 23.74. The thresholds are as follows: Strongly Undervalued below -52.05, Undervalued between -52.05 and -14.16, Fairly Valued between 61.63 and -14.16, Overvalued between 61.63 and 99.53, and Strongly Overvalued above 99.53. The current Forward P/FCF of 52.57 falls within the Historic Trend Line -Fairly Valued range.

NorthWestern Energy Group Inc (NWE) has a current Price-to-Book (P/B) ratio of 1.45. Compared to its 3-year average P/B ratio of 1.19 , the current P/B ratio is approximately 22.02% higher. Relative to its 5-year average P/B ratio of 1.26, the current P/B ratio is about 14.53% higher. NorthWestern Energy Group Inc (NWE) has a Forward Free Cash Flow (FCF) yield of approximately -2.93%. Compared to its 3-year average FCF yield of -4.27%, the current FCF yield is approximately -31.39% lower. Relative to its 5-year average FCF yield of -4.47% , the current FCF yield is about -34.35% lower.

1.42

P/B

Median3y

1.19

Median5y

1.26

-2.93

FCF Yield

Median3y

-4.27

Median5y

-4.47

Competitors Valuation Multiple

The average P/S ratio for NWE's competitors is 1.93, providing a benchmark for relative valuation. NorthWestern Energy Group Inc Corp (NWE) exhibits a P/S ratio of , which is -100% above the industry average. Given its robust revenue growth of 12.11%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of NWE increased by 27.70% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 13.23 to 18.88.

The secondary factor is the Revenue Growth, contributed 12.11%to the performance.

Overall, the performance of NWE in the past 1 year is driven by P/E Change. Which is more unsustainable.

12.11%

345.16M → 386.95M

Revenue Growth

-27.14%

13.56 → 9.88

Margin Expansion

42.73%

13.23 → 18.88

P/E Change

27.70%

52.16 → 66.61

Mkt Cap Growth

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Frequently Asked Questions

Is NorthWestern Energy Group Inc (NWE) currently overvalued or undervalued?

What is NorthWestern Energy Group Inc (NWE) fair value?

NWE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of NorthWestern Energy Group Inc (NWE) is between 64.79 to 74.70 according to relative valuation methord.

How does NWE's valuation metrics compare to the industry average?

The average P/S ratio for NWE's competitors is 1.93, providing a benchmark for relative valuation. NorthWestern Energy Group Inc Corp (NWE) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 12.11%, this premium appears unsustainable.

What is the current P/B ratio for NorthWestern Energy Group Inc (NWE) as of Dec 16 2025?

As of Dec 16 2025, NorthWestern Energy Group Inc (NWE) has a P/B ratio of 1.45. This indicates that the market values NWE at 1.45 times its book value.

What is the current FCF Yield for NorthWestern Energy Group Inc (NWE) as of Dec 16 2025?

As of Dec 16 2025, NorthWestern Energy Group Inc (NWE) has a FCF Yield of -2.93%. This means that for every dollar of NorthWestern Energy Group Inc’s market capitalization, the company generates -2.93 cents in free cash flow.

What is the current Forward P/E ratio for NorthWestern Energy Group Inc (NWE) as of Dec 16 2025?

As of Dec 16 2025, NorthWestern Energy Group Inc (NWE) has a Forward P/E ratio of 17.80. This means the market is willing to pay $17.80 for every dollar of NorthWestern Energy Group Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for NorthWestern Energy Group Inc (NWE) as of Dec 16 2025?

As of Dec 16 2025, NorthWestern Energy Group Inc (NWE) has a Forward P/S ratio of 2.51. This means the market is valuing NWE at $2.51 for every dollar of expected revenue over the next 12 months.

NWE Valuation