📊 EVRG Key Takeaways
Is EVRG a Good Investment? Thesis Analysis
Evergy demonstrates stable utility-sector fundamentals with solid profitability (25.7% operating margin) and consistent revenue growth (+4.5% YoY), but faces concerning leverage ratios and negative free cash flow that limit financial flexibility. The company's high debt-to-equity ratio (1.28x) combined with weak interest coverage (2.5x) and capex exceeding operating cash flow create financial sustainability questions despite core operational strength.
Why Buy EVRG? Key Strengths
- Strong operating margin of 25.7% with consistent revenue growth of 4.5% YoY
- Solid net margin of 14.4% demonstrates pricing power and cost management typical of regulated utilities
- Robust operating cash flow of 2.0B provides substantial cash generation for dividend and debt service
EVRG Investment Risks to Consider
- Negative free cash flow of -751.7M with capex (2.8B) significantly exceeding operating cash flow, indicating capital intensity constraints
- High leverage with debt-to-equity ratio of 1.28x and weak interest coverage of 2.5x limits financial flexibility for debt reduction or strategic investments
- Thin liquidity position with current ratio of 0.49x and minimal cash reserves of only 19.8M relative to 33.9B asset base raises refinancing risk concerns
Key Metrics to Watch
- Free cash flow sustainability and capex-to-depreciation ratio to assess long-term capital adequacy
- Debt-to-equity trajectory and interest coverage improvement as key financial health indicators
- Operating margin maintenance amid regulatory environment and commodity cost pressures
EVRG Financial Metrics
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
EVRG Profitability Ratios
EVRG vs Default Sector
How Evergy, Inc. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is EVRG Overvalued or Undervalued?
Based on fundamental analysis, Evergy, Inc. shows some fundamental concerns relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
EVRG Balance Sheet & Liquidity
EVRG 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Evergy, Inc.'s revenue has shown modest growth of 7% over the 5-year period. The most recent EPS of $3.17 reflects profitable operations.
EVRG Growth Metrics (YoY)
EVRG Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.8B | $465.6M | $2.02 |
| Q2 2025 | $1.4B | $171.3M | $0.74 |
| Q1 2025 | $1.3B | $122.7M | $0.53 |
| Q3 2024 | $1.6B | $351.6M | $1.53 |
| Q2 2024 | $1.3B | $179.1M | $0.78 |
| Q1 2024 | $1.2B | $122.7M | $0.53 |
| Q3 2023 | $1.6B | $351.6M | $1.53 |
| Q2 2023 | $1.3B | $179.1M | $0.78 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
EVRG Capital Allocation
EVRG SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Evergy, Inc. (CIK: 0001711269)
📋 Recent SEC Filings
❓ Frequently Asked Questions about EVRG
What is the AI rating for EVRG?
Evergy, Inc. (EVRG) has an AI rating of HOLD with 65% confidence, based on fundamental analysis of SEC EDGAR filings.
What are EVRG's key strengths?
Claude: Strong operating margin of 25.7% with consistent revenue growth of 4.5% YoY. Solid net margin of 14.4% demonstrates pricing power and cost management typical of regulated utilities.
What are the risks of investing in EVRG?
Claude: Negative free cash flow of -751.7M with capex (2.8B) significantly exceeding operating cash flow, indicating capital intensity constraints. High leverage with debt-to-equity ratio of 1.28x and weak interest coverage of 2.5x limits financial flexibility for debt reduction or strategic investments.
What is EVRG's revenue and growth?
Evergy, Inc. reported revenue of $6.0B.
Does EVRG pay dividends?
Evergy, Inc. pays dividends, with $613.1M distributed to shareholders in the trailing twelve months.
Where can I find EVRG SEC filings?
Official SEC filings for Evergy, Inc. (CIK: 0001711269) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is EVRG's EPS?
Evergy, Inc. has a diluted EPS of $3.66.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is EVRG a good stock to buy right now?
Based on our AI fundamental analysis in March 2026, Evergy, Inc. has a HOLD rating with 65% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is EVRG stock overvalued or undervalued?
Valuation metrics for EVRG: ROE of 8.4% (sector avg: 15%), net margin of 14.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy EVRG stock in 2026?
Our dual AI analysis gives Evergy, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is EVRG's free cash flow?
Evergy, Inc.'s operating cash flow is $2.0B, with capital expenditures of $2.8B. FCF margin is -12.6%.
How does EVRG compare to other Default stocks?
Vs Default sector averages: Net margin 14.4% (avg: 12%), ROE 8.4% (avg: 15%), current ratio 0.49 (avg: 1.8).