Xcel EnergyXEL -1.30%80 3-Year RORE % is 3.92 as of Mar. 2026. GuruFocus rates XEL with a GF Score™ of 80/100 and a GF Value™ of $67.41 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 493 Utilities - Regulated companies, Xcel Energy ranks worse than 54.16% on this metric.
Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Xcel Energy's 3-Year RORE % for the quarter that ended in Mar. 2026 was 3.92%.
The industry rank for Xcel Energy's 3-Year RORE % or its related term are showing as below:
XEL's 3-Year RORE % is ranked worse than 54.16% of 493
companies
in the Utilities - Regulated industry
Industry Median: 6.84
vs XEL: 3.92
Xcel Energy (NAS:XEL) 3-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Xcel Energy 3-Year RORE % Related Terms
Xcel Energy 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for Xcel Energy's 3-Year RORE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Utilities - Regulated Electric subindustry, Xcel Energy's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Xcel Energy 3-Year RORE % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Xcel Energy's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Xcel Energy's 3-Year RORE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 3-year before.
Xcel Energy (XEL) has a 3-Year RORE % of 3.92 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Xcel Energy and its competitors. According to the industry distribution chart, Xcel Energy ranks #267 out of 493 companies in the Utilities - Regulated industry, placing it in the top 54.2%.
Is Xcel Energy's 3-Year RORE % too high?
Xcel Energy's current 3-Year RORE % is 3.92. The Utilities - Regulated industry median 3-Year RORE % is 6.84. Xcel Energy's value of 3.92 is 42.7% below this industry median. Based on the distribution chart, Xcel Energy ranks #267 out of 493 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Xcel Energy has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Xcel Energy's 3-Year RORE % compare to ETR and EXC?
According to the Utilities - Regulated industry distribution chart, Xcel Energy ranks #267 out of 493 companies for 3-Year RORE %. This places Xcel Energy in the lower half of its industry. The industry median 3-Year RORE % is 6.84. Xcel Energy's value of 3.92 is 42.7% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for an Utilities - Regulated company?
The median 3-Year RORE % among Utilities - Regulated companies is 6.84, based on 493 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Xcel Energy's current 3-Year RORE % of 3.92 is 42.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Xcel Energy and its competitors. For the Utilities - Regulated industry, the median 3-Year RORE % is 6.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Xcel Energy's current 3-Year RORE % is 3.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Xcel Energy stock overvalued right now?
Based on GuruFocus' analysis, Xcel Energy (XEL) is currently considered Modestly Overvalued. The stock's GF Value™ is $67.41, compared to a current price of $79.62 — trading 18.1% above its estimated fair value. The current 3-Year RORE % is 3.92 and 42.7% below the Utilities - Regulated industry median of 6.84. Xcel Energy's overall GF Score™ is 80/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Xcel Energy (XEL), the current 3-Year RORE % is 3.92 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Xcel Energy (XEL) Overvalued in 2026?
Based on GuruFocus' analysis, Xcel Energy stock appears to be overvalued.
The current stock price of $79.62 is trading 18.1% above its estimated GF Value™ of $67.41.
GuruFocus considers Xcel Energy to be Modestly Overvalued.
Key valuation signals for XEL:
3-Year RORE %: 3.92
GF Value™: $67.41 vs. price of $79.62 (18.1% above fair value)
Industry Position: 42.7% below the Utilities - Regulated median (#267 of 493)
No single metric tells the full story. See the XEL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Xcel Energy manages utilities serving 3.9 million electric customers and 2.2 million natural gas customers in eight states. Its utilities are Northern States Power, which serves customers in Minnesota, North Dakota, South Dakota, Wisconsin, and Michigan; Public Service Company of Colorado; and Southwestern Public Service Company, which serves customers in Texas and New Mexico. It is one of the largest renewable energy suppliers in the US, with more than half of its electricity sales coming from carbon-free energy.
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