{"id":902647,"date":"2026-11-02T00:00:09","date_gmt":"2026-11-02T00:00:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/902647\/"},"modified":"2026-11-02T00:00:09","modified_gmt":"2026-11-02T00:00:09","slug":"txnm-energy-txnm-stock-ignores-q3-earnings-strength-as-valuation-questions-build","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/902647\/","title":{"rendered":"TXNM Energy (TXNM) Stock Ignores Q3 Earnings Strength As Valuation Questions Build"},"content":{"rendered":"\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">TXNM Energy stock barely flinched after Q3 2026 results, slipping just 0.5% to about US$58 despite a sharp earnings reset that usually moves a regulated utility far more. The headline is simple: profitability is doing the heavy lifting while the balance sheet and valuation are doing the arguing.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Net income for the quarter landed at US$163.4 million with basic earnings per share of US$1.55, numbers that sit inside a wider 12 month picture of higher earnings and richer multiples. With the P\/E at 28.1x and an estimated discounted cash flow value near half the current price, the real story now shifts from this quarter&#8217;s beat to how much future cash the market is already pricing in.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Like the earnings power in TXNM Energy but uneasy about paying a 28.1x P\/E when the discounted cash flow math points much lower? Check stocks that pair resilient profitability with more grounded valuations in our <a href=\"https:\/\/simplywall.st\/discover\/investing-ideas\/473076\/high-quality-undervalued-stocks\/us?utm_medium=finance_user&amp;utm_campaign=cta_screener_undervalued&amp;utm_source=yahoo&amp;blueprint=4829297\" data-ylk=\"slk:33%20high%20quality%20undervalued%20stocks;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;33 high quality undervalued stocks&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">33 high quality undervalued stocks<\/a>  <\/p>\n<p>        Q3 2026 Earnings Summary            <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Revenue (Q3 2026 vs. Q3 2025): US$733.29 million vs. US$647.16 million (up about 13%)  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Net Income (Q3 2026 vs. Q3 2025): US$163.43 million vs. US$130.71 million (up about 25%)  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Basic EPS (Q3 2026 vs. Q3 2025): US$1.55 vs. US$1.22 (up about 27%)  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Trailing 12-Month Net Profit Margin (latest vs. prior year): 9.9% vs. 8.4% (margin higher year on year)  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Tired of squinting at earnings tables and dense Q3 commentary for TXNM Energy? See the full financial picture in clear visuals that highlight its valuation profile in our <a href=\"https:\/\/simplywall.st\/company\/id\/0ebaeb74-218e-4e7a-b8ae-7e3701b19600?utm_medium=finance_user&amp;utm_campaign=company_report_cta&amp;utm_source=yahoo&amp;blueprint=4829297\" data-ylk=\"slk:company%20report%20for%20TXNM%20Energy.;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;company report for TXNM Energy.&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">company report for TXNM Energy.<\/a>  <\/p>\n<p>    <a href=\"https:\/\/simplywall.st\/company\/id\/0ebaeb74-218e-4e7a-b8ae-7e3701b19600?utm_medium=finance_user&amp;utm_campaign=infographic&amp;utm_source=yahoo&amp;blueprint=4829297\" target=\"_blank\" rel=\"noopener noreferrer nofollow\"><img loading=\"lazy\" decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" alt=\"NYSE:TXNM Trailing 12-Month Earnings &amp; Revenue History as at Nov 2026\" height=\"655\" width=\"960\" class=\"yf-1f8hkhu loader\"\/><\/a> NYSE:TXNM Trailing 12-Month Earnings &amp; Revenue History as at Nov 2026           TXNM bullish story leans on earnings resilience          <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">For anyone backing TXNM Energy as a steady utility, the latest quarter largely fits that script. Revenue and net income both moved higher year on year, and basic EPS climbed from US$1.22 to US$1.55. Margins widened on a trailing 12 month view, which lines up with a thesis built around regulated earnings power and rate progress in Texas and New Mexico. The share price barely reacted, slipping about 0.5%. This suggests investors already see this as a dependable, earnings driven story rather than a trading vehicle.  <\/p>\n<p>            TXNM bearish focus turns to valuation and deal risk           <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">On the cautious side, the picture is more about what is already priced in than about business strain. The stock has delivered a roughly flat 30 day return and a modest 1.4% gain over 90 days, even as profitability improved. This hints at expectations already running high. The balance sheet was recently shored up with a US$400 million equity raise, yet the pending US$11.5b Blackstone sale still depends on final New Mexico approval, so regulatory and transaction outcomes remain a central risk for TXNM holders.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\"> Reveal where the calm share price and TXNM Energy&#8217;s earnings story start to diverge over the next few years. Access the <a href=\"https:\/\/simplywall.st\/company\/id\/0ebaeb74-218e-4e7a-b8ae-7e3701b19600\/future?utm_medium=finance_user&amp;utm_campaign=cta_analyst_estimates&amp;utm_source=yahoo&amp;blueprint=4829297\" data-ylk=\"slk:analyst%20estimates%20for%20TXNM%20Energy;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;analyst estimates for TXNM Energy&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">analyst estimates for TXNM Energy<\/a>  <\/p>\n<p>       Hunt For Quiet Valuation Gaps         <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">TXNM Energy just showed how a steady earnings story can leave the share price mostly unmoved. The real opportunity is finding stocks that could be undervalued before the market corrects them.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\"><a href=\"https:\/\/simplywall.st\/narratives\/9vf6f0if-digital-displays-and-smart-cities-will-open-new-markets-nin6?utm_medium=finance_user&amp;utm_campaign=cta_fomo_hunt_1&amp;utm_source=yahoo&amp;blueprint=4829297\" data-ylk=\"slk:Company%201;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Company 1&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Company 1<\/a> &#8211; 46% below our estimate &#8211; sell large LED display systems into sports, commercial advertising and transport projects.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\"><a href=\"https:\/\/simplywall.st\/narratives\/idramgji-the-first-real-lidar-winner?utm_medium=finance_user&amp;utm_campaign=cta_fomo_hunt_2&amp;utm_source=yahoo&amp;blueprint=4829297\" data-ylk=\"slk:Company%202;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Company 2&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Company 2<\/a> &#8211; 38% below our estimate &#8211; supply lidar sensors as real production programs replace small pilot deployments.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\"><a href=\"https:\/\/simplywall.st\/narratives\/h38gi181-execution-on-expansion-plans-will-shape-near-term-manufacturing-opportunities?utm_medium=finance_user&amp;utm_campaign=cta_fomo_hunt_3&amp;utm_source=yahoo&amp;blueprint=4829297\" data-ylk=\"slk:Company%203;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Company 3&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Company 3<\/a> &#8211; 22% below our estimate &#8211; run contract manufacturing for complex electronics as regulated-sector program wins move into active production.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Three companies from the same screener. Open <a href=\"https:\/\/simplywall.st\/discover\/investing-ideas\/473076\/high-quality-undervalued-stocks\/us?utm_medium=finance_user&amp;utm_campaign=cta_fomo_hunting_undervalued&amp;utm_source=yahoo&amp;blueprint=4829297\" data-ylk=\"slk:the%20full%20list%20of%2033%20companies%20trading%20below%20our%20fair%20value%20estimates;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;the full list of 33 companies trading below our fair value estimates&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">the full list of 33 companies trading below our fair value estimates<\/a> \u2192  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Companies discussed in this article include <a href=\"https:\/\/finance.yahoo.com\/quote\/TXNM\" data-ylk=\"slk:TXNM;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;TXNM&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"nofollow noopener\">TXNM<\/a>.  <\/p>\n<p class=\"text text-block paragraph text-left  neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Have feedback on this article? Concerned about the content? <a href=\"https:\/\/investor-research.typeform.com\/to\/wvg6MFri#feedback_token=NDgyOTI5Nzo1YTAxMTA3N2M3ZGJhNzg2&amp;company=NYSE:TXNM&amp;blueprintid=4829297\" data-ylk=\"slk:Get%20in%20touch;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Get in touch&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Get in touch<\/a> with us directly. Alternatively, email <a href=\"https:\/\/finance.yahoo.com\/markets\/stocks\/articles\/mailto:editorial-team@simplywallst.com?subject=Re%3A%20Your%20article%20on%20NYSE%3ATXNM%20(yahoo)%20from%201st%20November%202026\" data-ylk=\"slk:editorial-team%40simplywallst.com;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;editorial-team@simplywallst.com&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">editorial-team@simplywallst.com<\/a>  <\/p>\n","protected":false},"excerpt":{"rendered":"TXNM Energy stock barely flinched after Q3 2026 results, slipping just 0.5% to about US$58 despite a sharp&hellip;\n","protected":false},"author":2,"featured_media":902648,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37],"tags":[5097,28,122,101,939,2993,2994,32455,2995,932,112,32456,20112,147,9323,1170,1666,6480,2996,2997,923,19533,3733,32457],"class_list":["post-902647","post","type-post","status-publish","format-standard","has-post-thumbnail","category-markets","tag-401k","tag-business","tag-business-news","tag-economy","tag-finance","tag-financial-information","tag-investing","tag-investment-tools","tag-investor","tag-market-news","tag-markets","tag-mortgage","tag-mutual-funds","tag-personal-finance","tag-quote","tag-real-estate","tag-retirement","tag-stock","tag-stock-research","tag-stock-valuation","tag-stocks","tag-suze-orman","tag-tax","tag-track-portfolio"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/902647","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=902647"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/902647\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/902648"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=902647"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=902647"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=902647"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}