Xcel Energy Inc.

XEL
Utilities
$76.30
3.05%Fair Value

Xcel Energy Inc. (XEL) is a Utilities company that currently yields 3.05% — trading near fair value based on 10 years of dividend yield history. The Weiss valuation model places the undervaluation threshold at $55.88 and the overvaluation threshold at $80.84. Xcel Energy Inc. holds a quality score of 37/100 (Risky), reflecting 1 consecutive years of dividend growth with a 64% payout ratio. The 5-year dividend CAGR stands at 10.5%.

XEL Dividend Yield History — Weiss Valuation

Underval. $55.88Overval. $80.84

Distance to undervalued

Waiting for a better entry

Needs about 26.8% downside to reach the Weiss buy zone

Undervaluation starts near $55.88, where the annual dividend would imply roughly 4.16% yield. That is 1.11% above today's yield.

Buy-zone price

$55.88

Target yield

4.16%

Research checklist

What to clear before buying the yield

Updated Aug 23, 2026

Dividend durability

1Y

Verify the dividend record before treating yield as durable.

Earnings payout

64%

Earnings coverage leaves room for noise.

Cash payout

N/A

Confirm cash conversion and one-off effects.

Dividend growth

10.5%

Recent growth adds income compounding potential.

What changed

What changed since the last update

2026-08-222026-08-23

No major change in signal, yield, price, quality, or payout since the last update.

Why Now?

Xcel Energy Inc. is trading at a fair valuation relative to its dividend history.

Current yield 3.0% vs historical max 5.9% (52% of maximum).

Recent dividend history shows no sustained growth streak.

Reasonable payout ratio of 64%.

What matters now

Read the signal before the headline yield

Valuation is neutral here: quality has to do more of the work than entry price.

The 37/100 quality score says the headline yield needs extra skepticism.

Start by checking whether payout coverage and business durability still support the dividend.

XEL Dividend Income Projection — DRIP Compounder

Dividend Compounder (DRIP)

$

Year 1 Income

$337

Year 10 Income

$1,304

Yield on Cost

14.12%

Total Income

$7,061

Assumes dividends reinvested at current price. Simplified model — for illustrative purposes only.

Track actual vs. projected

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Dividend income log · Yield on cost · DRIP cost basis · Tax reports

More research

Full price history & technical analysis

TradingView ↗

Fundamentals, valuation & analyst ratings

FinViz ↗

Moat rating & analyst fair value

Morningstar ↗

Track dividends received & tax reports

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XEL Dividend Quality Score

Quality Score

37/ 100

Risky

Payout Ratio12/25
Dividend Streak0/25
Growth (CAGR 5Y)20/20
Yield vs History5/15
FCF Coverage0/15

Key Metrics

Current Price$76.30
Annual Dividend$2.33
Current Yield3.05%
Yield — Max (10Y)5.89%
Yield — Min (10Y)2.94%
Undervalued Below$55.88
Overvalued Above$80.84
Payout Ratio63.70%
CAGR Dividend 5Y10.5%
CAGR Dividend 10Y8.2%
Years No Cut1y

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consecutive years of dividend growth