# DTE Energy (DTE.US)

Canonical: https://gigainvestors.com/s/DTE

Analysis as of: 2026-10-16T07:28:07.302Z. Financial observations: FY1996–FY2025.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $128.33 per share; close as of 2026-10-15.

Estimated value: low $48.06 per share, central $54.68 per share, high $63.51 per share. Buy at or below the central value $54.68 per share. Valuation as of 2026-10-16T07:28:07.302Z; scenarios are not confidence intervals.

Expected annual return: 5.9% at the stated quote. About 5.9% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: pass

- 4 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 0

- Operating margin variation: 0.20×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.14×

- FY2017: 0.14×

- FY2018: 0.11×

- FY2019: 0.12×

- FY2020: 0.14×

- FY2021: 0.10×

- FY2022: 0.09×

- FY2023: 0.18×

- FY2024: 0.17×

- FY2025: 0.15×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 6.1%

- ROIC, second-lowest year: 5.1%

- Typical minus recent gross margin: -8.9 pp

- Typical gross margin (annual median): 25.9%

- Recent gross margin (lower of latest and 3-year median): 34.8%

- Years with nonpositive capital: 0

- Capital spending / revenue: 24.9%

- ROIC including acquisitions, ten-year median: 2.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 6.1%

- FY2017: 7.4%

- FY2018: 6.6%

- FY2019: 5.0%

- FY2020: 5.1%

- FY2021: 6.0%

- FY2022: 6.2%

- FY2023: 6.7%

- FY2024: 6.4%

- FY2025: 6.1%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 0.21×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $1.3B

- Net income, five-year total: $6.3B

- Return on incremental invested capital: 6.5%

- Working capital / revenue, annual change: -0.0 pp

- Working capital / revenue, change between three-year averages: 1.0 pp

- Working capital / revenue, final three-year average: 12.1%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.00×

- FY2022: 1.00×

- FY2023: -0.62×

- FY2024: -0.91×

- FY2025: 1.00×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 6.6% vs 6.4%

- Per-share earnings: 4.13 to 6.78 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.2%

- Ordinary dilution, 5-year annual growth: 1.4%

- Market cap gain: $6.0B

- Cumulative retained earnings: $370M

- Diluted shares, 10-year annual growth: -0.2%

- Diluted shares, 5-year annual growth: 1.4%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 6.4%

- Per-share value change: $2.65

- Per-share value, starting three-year median: $4.13

- Per-share value, ending three-year median: $6.78

- Buybacks concentrated in cheaper years (correlation): -0.40

- Average buyback yield: 0.2%

- Buyback history: 4 years

- Debt-funded buybacks: No

- Acquisition spending: $4.0B

- Cumulative net income, 10 years: $12B

- ROIC, first three-year median: 6.6%

- ROIC, last three-year median: 6.4%

Chart: Earnings per share; fiscal year observations.

- FY2016: $4.13

- FY2017: $5.39

- FY2018: $5.27

- FY2019: $6.32

- FY2020: $7.09

- FY2021: $4.68

- FY2022: $5.53

- FY2023: $6.78

- FY2024: $6.77

- FY2025: $7.06

### accounting: pass

- Sloan accruals: -3.6%

- Receivables to sales index (DSRI): 0.93×

- Restructuring years, last five: 2

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.34×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.18×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -3.8%

- FY2017: -2.9%

- FY2018: -4.3%

- FY2019: -3.5%

- FY2020: -5.1%

- FY2021: -5.4%

- FY2022: -2.1%

- FY2023: -4.1%

- FY2024: -4.6%

- FY2025: -3.6%

## Holders

- [Sarah Ketterer](https://gigainvestors.com/CAU): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Price needs cash profits to grow 11.6% a year for ten years · "DTE is also benefiting from rising electricity demand from data centers." (finance.yahoo.com, May 2026) · sales +26.9%

Story as of 2026-10-16T09:58:39.593Z; price observation 2026-10-15.

Price needs cash profits to grow 11.6% a year for ten years

- 2026-02-17: DTE Energy nears deal to serve second major Michigan data center, CEO says ([seekingalpha.com](https://seekingalpha.com/news/4552777-dte-energy-nears-deal-to-serve-second-major-michigan-data-center-ceo-says?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

### Sales · FY2024–2025

sales +26.9%; source https://www.sec.gov/Archives/edgar/data/936340/000093634026000054/dte-20251231.htm; observed 2026-02-17.

- FY2016: $11B 

- FY2017: $13B 

- FY2018: $14B 

- FY2019: $12B 

- FY2020: $11B 

- FY2021: $15B 

- FY2022: $19B 

- FY2023: $13B 

- FY2024: $12B 

- FY2025: $16B 

### Gross margin · FY2025

gross margin 84.9%; source https://www.sec.gov/Archives/edgar/data/936340/000093634026000054/dte-20251231.htm; observed 2026-02-17.

- FY2016: 26.7% 

- FY2017: 25.2% 

- FY2018: 22.2% 

- FY2019: 24.8% 

- FY2020: 28.7% 

- FY2021: 22.3% 

- FY2022: 19.1% 

- FY2023: 34.0% 

- FY2024: 34.8% 

- FY2025: 84.9% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in utilities regulated electric; annual sales are USD 15.8 billion.

- Source: https://www.sec.gov/Archives/edgar/data/936340/000093634026000054/dte-20251231.htm (filed 2026-02-17); FY2025: revenue 15814000000; grossProfit 13432000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); DTE.US: DTE Energy Company engages in energy-related businesses and services. The company operates through four segments: Electric, Gas, DTE Vantage, and Energy Trading.The company's Electric segment generates, purchases, distributes, and sells electricity to approximately 2.3 million residential, commercial, and industrial customers in southeastern Michigan. It generates electricity through coal-fired plants, natural gas plant, hydroelectric pumped storage, and nuclear plants, as well as wind and solar assets. This segment owns and operates 702 distribution substations with a capacity of approximately 37,870,000 kilovolt-amperes (kVA) and approximately 4,56,900 line transformers with a capacity of approximately 33,770,000 kVA. The company's Gas segment purchases, stores, transports, distributes, and sells natural gas to approximately 1.4 million residential, commercial, and industrial customers throughout Michigan; and sells storage and transportation capacity. This segment has approximately 21,000 miles of distribution mains; 1,242,000 service pipelines; and 1,361,000 active meters, as well as owns approximately 2,000 miles of transmission pipelines. Its DTE Vantage segment offers metallurgical and petroleum coke to steel and other industries; and power generation, steam production, chilled water production, and wastewater treatment services, as well as compressed air supply to industrial customers. This segment also owns and operates 2 renewable generating plants with a capacity of 70 MWs; and 22 gas recovery sites. Its Energy Trading segment engages in power, natural gas, and environmental marketing and trading; structured transactions; and the optimization of contracted natural gas pipeline transportation and storage positions. The company was founded in 1849 and is based in Detroit, Michigan.

### Why customers stay

Margins ranged from 34% to 84.9% during 2023–25; it earns 6.1% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2023: grossProfit / revenue = 34%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2024: grossProfit / revenue = 34.8%.

- Source: https://www.sec.gov/Archives/edgar/data/936340/000093634026000054/dte-20251231.htm (filed 2026-02-17); FY2025: grossProfit / revenue = 84.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); 10-year return on capital observations [[2016,0.06090470708636845],[2017,0.07366685979402743],[2018,0.06626887561431274],[2019,0.04975764084672873],[2020,0.050793970422262864],[2021,0.05995588530178464],[2022,0.06165708120186695],[2023,0.06669575467109802],[2024,0.06351183063511831],[2025,0.06120590582249909]]; median 0.06143149351218302. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Earns 6.5% on new investment; paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2016: growth capex 484846386.9167671; upkeep 1560153613.0832329; cash acquisitions 1147000000; owner earnings 283846386.9167671. Growth capex plus acquisitions / owner earnings = 5.74904759099603.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2017: growth capex 1220000000; upkeep 1030000000; cash acquisitions 0; owner earnings 1134000000. Growth capex plus acquisitions / owner earnings = 1.0758377425044092.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2018: growth capex 1589000000; upkeep 1124000000; cash acquisitions 0; owner earnings 1120000000. Growth capex plus acquisitions / owner earnings = 1.41875.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2021: growth capex 2313000000; upkeep 1459000000; cash acquisitions 0; owner earnings 907000000. Growth capex plus acquisitions / owner earnings = 2.550165380374862.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2022: growth capex 1910000000; upkeep 1468000000; cash acquisitions 0; owner earnings 1083000000. Growth capex plus acquisitions / owner earnings = 1.7636195752539243.

- Source: https://www.sec.gov/Archives/edgar/data/936340/000093634026000054/dte-20251231.htm (filed 2026-02-17); FY2025: growth capex 2521000000; upkeep 1908000000; cash acquisitions 210000000; owner earnings 1462000000. Growth capex plus acquisitions / owner earnings = 1.8679890560875514.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); Incremental return on capital 0.06453178903954539, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); Dividend observations: [[2016,531000000],[2017,592000000],[2018,620000000],[2019,692000000],[2020,760000000],[2021,791000000],[2022,685000000],[2023,752000000],[2024,810000000],[2025,871000000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 0.4% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); DTE.US SharesStats.PercentInsiders = 0.402 percentage points; cache date 2026-10-16.

### What could break it

"Regulatory, Legislative, and Legal Risks" (SEC filing, Feb 2026)

- Source: https://www.sec.gov/Archives/edgar/data/936340/000093634026000054/dte-20251231.htm (filed 2026-02-17); Regulatory, Legislative, and Legal Risks

### What the price says

The price assumes cash profits grow 11.6% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); Ten-year compound average after fade. Initial solved rate 0.1548396201947254. Price 128.33; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share -2.096755021989778 → FY2025 7.06280193236715. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $96.01 per share

- 2016-11: $93.09 per share

- 2016-12: $98.51 per share

- 2017-01: $98.64 per share

- 2017-02: $101.38 per share

- 2017-03: $102.11 per share

- 2017-04: $104.59 per share

- 2017-05: $109.52 per share

- 2017-06: $105.79 per share

- 2017-07: $107.06 per share

- 2017-08: $112.32 per share

- 2017-09: $107.36 per share

- 2017-10: $110.46 per share

- 2017-11: $115.57 per share

- 2017-12: $109.46 per share

- 2018-01: $105.64 per share

- 2018-02: $100.78 per share

- 2018-03: $104.40 per share

- 2018-04: $105.40 per share

- 2018-05: $102.43 per share

- 2018-06: $103.63 per share

- 2018-07: $108.54 per share

- 2018-08: $111.14 per share

- 2018-09: $109.13 per share

- 2018-10: $112.40 per share

- 2018-11: $119.74 per share

- 2018-12: $110.30 per share

- 2019-01: $117.75 per share

- 2019-02: $123.56 per share

- 2019-03: $124.74 per share

- 2019-04: $125.71 per share

- 2019-05: $125.47 per share

- 2019-06: $127.88 per share

- 2019-07: $127.11 per share

- 2019-08: $129.66 per share

- 2019-09: $132.96 per share

- 2019-10: $127.32 per share

- 2019-11: $124.94 per share

- 2019-12: $129.87 per share

- 2020-01: $132.61 per share

- 2020-02: $111.67 per share

- 2020-03: $94.97 per share

- 2020-04: $103.74 per share

- 2020-05: $107.57 per share

- 2020-06: $107.50 per share

- 2020-07: $115.63 per share

- 2020-08: $118.67 per share

- 2020-09: $115.04 per share

- 2020-10: $123.42 per share

- 2020-11: $125.81 per share

- 2020-12: $121.41 per share

- 2021-01: $118.72 per share

- 2021-02: $117.72 per share

- 2021-03: $133.14 per share

- 2021-04: $140.02 per share

- 2021-05: $137.99 per share

- 2021-06: $129.60 per share

- 2021-07: $117.32 per share

- 2021-08: $120.34 per share

- 2021-09: $111.71 per share

- 2021-10: $113.35 per share

- 2021-11: $108.34 per share

- 2021-12: $119.54 per share

- 2022-01: $120.43 per share

- 2022-02: $121.59 per share

- 2022-03: $132.21 per share

- 2022-04: $131.04 per share

- 2022-05: $132.71 per share

- 2022-06: $126.75 per share

- 2022-07: $130.30 per share

- 2022-08: $130.34 per share

- 2022-09: $115.05 per share

- 2022-10: $112.11 per share

- 2022-11: $116.01 per share

- 2022-12: $117.53 per share

- 2023-01: $116.37 per share

- 2023-02: $109.71 per share

- 2023-03: $109.54 per share

- 2023-04: $112.41 per share

- 2023-05: $107.60 per share

- 2023-06: $110.02 per share

- 2023-07: $114.30 per share

- 2023-08: $103.38 per share

- 2023-09: $99.28 per share

- 2023-10: $96.38 per share

- 2023-11: $104.11 per share

- 2023-12: $110.26 per share

- 2024-01: $105.42 per share

- 2024-02: $108.35 per share

- 2024-03: $112.14 per share

- 2024-04: $110.32 per share

- 2024-05: $116.53 per share

- 2024-06: $111.01 per share

- 2024-07: $120.53 per share

- 2024-08: $125.02 per share

- 2024-09: $128.41 per share

- 2024-10: $124.22 per share

- 2024-11: $125.78 per share

- 2024-12: $120.75 per share

- 2025-01: $119.88 per share

- 2025-02: $133.70 per share

- 2025-03: $138.27 per share

- 2025-04: $137.00 per share

- 2025-05: $136.65 per share

- 2025-06: $132.46 per share

- 2025-07: $138.41 per share

- 2025-08: $136.65 per share

- 2025-09: $141.43 per share

- 2025-10: $135.54 per share

- 2025-11: $137.03 per share

- 2025-12: $128.98 per share

- 2026-01: $134.38 per share

- 2026-02: $148.24 per share

- 2026-03: $146.22 per share

- 2026-04: $151.69 per share

- 2026-05: $142.87 per share

- 2026-06: $152.37 per share

- 2026-07: $141.87 per share

- 2026-08: $135.63 per share

- 2026-09: $121.80 per share

- 2026-10: $128.33 per share

## Annual estimated value (USD per share)

- FY2016: low $14.75 per share, central $16.78 per share, high $19.49 per share

- FY2017: low $48.68 per share, central $60.41 per share, high $70.48 per share

- FY2018: low $58.02 per share, central $71.56 per share, high $83.46 per share

- FY2019: low $21.22 per share, central $26.81 per share, high $31.31 per share

- FY2020: low $18.54 per share, central $20.92 per share, high $24.09 per share

- FY2021: low $55.30 per share, central $68.38 per share, high $79.76 per share

- FY2022: low $71.47 per share, central $96.98 per share, high $113.65 per share

- FY2025: low $47.03 per share, central $53.52 per share, high $62.15 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/936340/000093634026000054/dte-20251231.htm); period 2025-12-31, filed 2026-02-17.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.