Quality score · CNP · Utilities

Is CenterPoint Energy, Inc. a quality business?

CenterPoint Energy, Inc. (CNP) scored on five pillars from its reported financial statements, and ranked against 52 Utilities companies.

3.5/ 10
Low quality
as of October 17, 2026
Profitability
4.8 Average
Solvency
2.3 Weak
Growth
3.3 Weak
Efficiency
3.0 Weak
Predictability
3.9 Weak
Strongest pillar: Profitability · Weakest: Solvency

CenterPoint Energy, Inc. (CNP) scores 3.5 out of 10 as of , computed from its reported financial statements. That reads as low quality. The reading rests on profitability, and solvency is what holds it back.

Data provided by Twelve Data. Scores are computed by Lemma Analysis from reported financials.

Does CenterPoint Energy, Inc. have an economic moat?

Not enough data

We cannot judge CenterPoint Energy, Inc. yet, because fewer than five years had both a return on capital and a cost of capital we could measure. This is not a “no”.

Quantitative signs of a moat, read from the filed statements. This is not a judgement of where it comes from (brand, network effects, switching costs). How Lemma measures a moat →

How CenterPoint Energy, Inc. scores

As of October 17, 2026, CenterPoint Energy, Inc. scores 3.5 out of 10 on the Lemma Quality Score, a reading of low quality. Scores this low usually reflect thin margins, a stretched balance sheet or an erratic record, and the pillars below show which. Nothing in it comes from the share price or from forecasts: it is CenterPoint Energy, Inc.’s own reported numbers, scored pillar by pillar.

Ranked with the 52 Utilities companies Lemma publishes, the score sits at the 25th percentile, in the lower half of the group, above the bottom quarter. For reference, the middle of the group scores 3.9 and a company needs 4.4 to reach its top quarter, which leaves CenterPoint Energy, Inc. in line with the median.

Pillar by pillar

Profitability

On profitability, CenterPoint Energy, Inc. scores 4.8, an average reading. Its peers have a median of 4.8 across 49 Utilities companies, which places it in line with them, at the 50th percentile. Profitability in the middle of the range is neither a moat nor a warning: margins and returns look like those of an ordinary business in this line of work.

Solvency

CenterPoint Energy, Inc.’s solvency score is 2.3 out of 10 (weak). Against a median of 2.9 among 49 Utilities companies, that is below the group and the 21st percentile. A low reading here is a question about resilience: how long the company could keep paying its obligations if earnings dropped.

Growth

On growth, CenterPoint Energy, Inc. scores 3.3, a weak reading. Its peers have a median of 4.9 across 47 Utilities companies, which places it well below them, at the 15th percentile. Weak growth means revenue and earnings have been flat or shrinking against peers, which can be cyclical or a sign of a market that is maturing.

Efficiency

CenterPoint Energy, Inc.’s efficiency score is 3.0 out of 10 (weak). Against a median of 3.0 among 51 Utilities companies, that is in line with the group and the 50th percentile. A low efficiency score is worth reading alongside profitability: earnings that do not convert into cash are worth less than they look.

Predictability

CenterPoint Energy, Inc.’s predictability score is 3.9 out of 10 (weak). Against a median of 3.5 among 51 Utilities companies, that is in line with the group and the 64th percentile. A low predictability score often belongs to cyclical businesses, where good and bad years alternate with the economy or with commodity prices.

Strongest and weakest pillar

Profitability at 4.8 is CenterPoint Energy, Inc.’s best pillar and solvency at 2.3 its weakest. The 2.5 point gap between them is worth keeping in mind when reading the overall. A profitability lead usually reflects something durable in the business model rather than a good year. When solvency is the soft spot, the question is how much of the cash flow is already spoken for by debt.

What would move the score

Of everything that could lift CenterPoint Energy, Inc.’s score, growth matters most. Bringing it up to the 4.9 median of Utilities companies would take the overall from 3.5 to roughly 3.8. The weights add up to 100 points (profitability 25, solvency 20, growth 20, efficiency 15, predictability 20), and CenterPoint Energy, Inc. has a reading on every pillar.

CenterPoint Energy, Inc. and similar companies

For a fair comparison, start with companies of a similar size: the Utilities companies below are nearest to CenterPoint Energy, Inc. by market value, each scored on the same pillars.

What each pillar measures

Profitability

4.8 / 10

How much profit the company generates from its capital and sales.

Solvency

2.3 / 10

The company’s ability to service debt and meet its obligations.

Growth

3.3 / 10

How fast revenue, earnings and cash flow are compounding.

Efficiency

3.0 / 10

How well assets and earnings convert into cash and output.

Predictability

3.9 / 10

How stable and consistent results have been over time.

How this score is calculated

Each metric is scored from 0 to 10 against sector-aware benchmarks, where higher is better. Metrics roll up into five pillars, and the pillars combine into the overall score using the weights shown. Sector-sensitive metrics are judged relative to peers in the same sector.

Limitations

This score is a systematic, backward-looking read of reported fundamentals. It does not judge valuation, management quality, competitive moat, or future prospects, and can be distorted by one-off items or unusual accounting. Treat it as a starting point, not a recommendation.

Educational only. Not investment advice.

FAQ

Is CenterPoint Energy, Inc. a quality business?

On this reading CenterPoint Energy, Inc. scores 3.5 out of 10, which reads as low quality. Its strongest pillar is profitability, its weakest is solvency. Quality is not the same as a good investment: the score says nothing about the price you would pay.

How does CenterPoint Energy, Inc. compare with other Utilities companies?

CenterPoint Energy, Inc. ranks at the 25th percentile of the 52 Utilities companies Lemma publishes a score for. The median there is 3.9 and the top quarter starts at 4.4, against CenterPoint Energy, Inc.’s 3.5.

What does the CNP quality score measure?

Five pillars, each scored from 0 to 10 against sector-aware benchmarks and then weighted into one overall reading: profitability, solvency, growth, efficiency and predictability. Everything comes from reported financials, and nothing comes from price, sentiment or forecasts.

How current is this score?

This page last changed on October 17, 2026. The score moves with the financial statements, so the page changes when a new filing moves the reading rather than on a schedule. Live figures for CNP are in the app.

Does a high score mean the stock is cheap?

No. Quality and valuation are separate questions, and a good business at the wrong price is still a bad purchase. Score the business here, then price it with a DCF you control.

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