What Is CNP Fair Value?
CenterPoint Energy (CNP) fair value estimate using multiple valuation models, updated daily.
As of July 16, 2026, CenterPoint Energy (CNP) has a composite fair value estimate of $28.76 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $42.72, suggesting the stock is overvalued by 32.7%.
Data as of July 16, 2026 (today)
Composite Fair Value
Overvalued4 of 4 models$28.76
vs. current price of $42.72(-32.7%)
How Is CNP Fair Value Calculated?
Four independent models estimate what CNP is worth. Each uses different inputs and assumptions. The composite blends them by weight.
CNP Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$28.06
-34.3%Overvalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$37.17
-13.0%Fair Value
Inputs used
CNP Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$27.42
-35.8%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$19.09
-55.3%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $42.72 is 34.3% above this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $858.6M | $813.3M |
| Year 2 | $934.4M | $838.4M |
| Year 3 | $1.02B | $864.3M |
| Year 4 | $1.11B | $891.0M |
| Year 5 | $1.20B | $918.5M |
| Year 6 | $1.31B | $946.8M |
| Year 7 | $1.43B | $976.0M |
| Year 8 | $1.55B | $1.01B |
| Year 9 | $1.69B | $1.04B |
| Year 10 | $1.84B | $1.07B |
| Terminal Value | $61.41B | $35.72B |
What Are CNP's Key Financial Metrics?
Earnings & Growth
Current Price
$42.72
EPS (TTM)
$1.59
Forward P/E
20.5
Profit Margin
11.4%
Cash & Balance Sheet
Free Cash Flow
-4.9B
EBITDA
3.7B
Book Value
$17.50
Total Debt
24.7B
What Do Analysts Say About CNP?
Low
$39.00
Average
$46.38
High
$50.00
Upside
+8.6%
CNP Fair Value FAQ
What is the fair value of CNP?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), CNP's estimated fair value is $28.76. The stock is currently trading at $42.72, which makes it overvalued by our analysis.
How is CNP's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is CNP overvalued or undervalued?
Based on our analysis, CNP is overvalued. The current price of $42.72 is 32.7% above our estimated fair value of $28.76.
What do Wall Street analysts say about CNP?
16 analysts cover CenterPoint Energy with a consensus rating of "Buy." The average price target is $46.38, ranging from $39.00 to $50.00. This implies 8.6% upside from the current price.