Eversource Energy (ES) Lifted to “Buy” at Zacks Investment Research
Zacks Investment Research upgraded shares of Eversource Energy (NYSE:ES) from a hold rating to a buy rating in a research note issued to investors on Tuesday morning. They currently have $69.00 price objective on the utilities provider’s stock.
According to Zacks, “Shares of Eversource Energy returned higher than the industry in last 12 months. Eversource Energy‘s systematic investments in renewable energy generation, primarily in transmission and distribution systems will help it to provide reliable services to its customers. Margins of the company will improve if the company continues to reduce operating costs. Moreover, its regulated investment plans will help it to boost earnings per share by 5–7% over the 2017–2020 time frame from the 2016 level of $2.96. However, the company's decision to withdraw its Access Northeast Pipeline plan due to regulatory uncertainty, will have an adverse impact on its growth prospects. Moreover, it faces challenges due to severe weather conditions.”
Several other brokerages have also recently issued reports on ES. Morgan Stanley upgraded Eversource Energy from an equal weight rating to an overweight rating and set a $72.00 price target on the stock in a research report on Wednesday, December 13th. Bank of America initiated coverage on Eversource Energy in a research report on Tuesday, October 24th. They issued an underperform rating and a $62.00 price target on the stock. Credit Suisse Group boosted their price target on Eversource Energy from $60.00 to $63.00 and gave the company a neutral rating in a research report on Monday, October 2nd. Finally, Williams Capital boosted their price target on Eversource Energy from $64.00 to $66.00 and gave the company a buy rating in a research report on Monday, October 23rd. One research analyst has rated the stock with a sell rating, six have given a hold rating and four have issued a buy rating to the company. The company currently has a consensus rating of Hold and an average target price of $64.95.
Eversource Energy (NYSE:ES) last posted its earnings results on Wednesday, November 1st. The utilities provider reported $0.82 EPS for the quarter, missing the Zacks’ consensus estimate of $0.84 by ($0.02). Eversource Energy had a return on equity of 9.03% and a net margin of 12.84%. The firm had revenue of $1.99 billion for the quarter, compared to analyst estimates of $2.06 billion. During the same quarter last year, the firm posted $0.83 EPS. The firm’s revenue for the quarter was down 2.5% on a year-over-year basis. equities research analysts forecast that Eversource Energy will post 3.14 earnings per share for the current fiscal year.
The firm also recently announced a quarterly dividend, which was paid on Friday, December 29th. Shareholders of record on Monday, December 18th were given a dividend of $0.475 per share. This represents a $1.90 annualized dividend and a yield of 3.08%. The ex-dividend date of this dividend was Friday, December 15th. Eversource Energy’s payout ratio is 61.69%.
In other Eversource Energy news, COO Werner J. Schweiger sold 10,098 shares of the business’s stock in a transaction that occurred on Thursday, November 9th. The stock was sold at an average price of $64.68, for a total transaction of $653,138.64. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Insiders own 0.53% of the company’s stock.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in ES. Janus Henderson Group PLC increased its position in Eversource Energy by 142.0% during the 3rd quarter. Janus Henderson Group PLC now owns 1,854,043 shares of the utilities provider’s stock worth $112,057,000 after purchasing an additional 1,087,774 shares during the period. APG Asset Management N.V. increased its position in Eversource Energy by 72.3% during the 3rd quarter. APG Asset Management N.V. now owns 2,556,503 shares of the utilities provider’s stock worth $154,515,000 after purchasing an additional 1,072,700 shares during the period. Vanguard Group Inc. increased its position in Eversource Energy by 2.4% during the 2nd quarter. Vanguard Group Inc. now owns 33,055,292 shares of the utilities provider’s stock worth $2,006,787,000 after purchasing an additional 781,327 shares during the period. Bank of New York Mellon Corp increased its position in Eversource Energy by 3.4% during the 3rd quarter. Bank of New York Mellon Corp now owns 15,936,793 shares of the utilities provider’s stock worth $963,220,000 after purchasing an additional 516,965 shares during the period. Finally, Old Mutual Global Investors UK Ltd. increased its position in Eversource Energy by 119.2% during the 3rd quarter. Old Mutual Global Investors UK Ltd. now owns 865,074 shares of the utilities provider’s stock worth $52,285,000 after purchasing an additional 470,491 shares during the period. Institutional investors own 72.14% of the company’s stock.
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About Eversource Energy
Eversource Energy is a utility holding company engaged in the energy delivery business. The Company operates through three segments: electric distribution, electric transmission and natural gas distribution. The Company’s electric distribution segment consists of the distribution businesses, which are engaged in the distribution of electricity to retail customers in Connecticut, Massachusetts, and New Hampshire and the regulated electric generation businesses.
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