SCANA (SCG) Upgraded by Zacks Investment Research to Hold
Zacks Investment Research upgraded shares of SCANA (NYSE:SCG) from a strong sell rating to a hold rating in a research report sent to investors on Wednesday.
According to Zacks, “SCANA Corporation recently signed a merger deal with larger peer Dominion Energy Inc.The recent merger agreement has pleased the customers as upon deal closure, Dominion is expected to make a payment of $1.3 billion to the customers of SCANA. Hence, on average, each client of SCANA will likely receive $1000. On top of that, Dominion decided to lower customer bills by 5%. Moreover, Dominion has decided that they will not ask customers to pay $1.7 billion capital related to the failed nuclear project. However, the company’s balance sheet is not attractive as reflected that cash and equivalents are recorded at slightly more than $1 billion, as compared to a debt pile of roughly $7.7 billion – both long and short term. Also, the stock plunged 39.3% over the past year, underperforming the industry’s 1.1% gain.”
A number of other equities analysts also recently weighed in on the company. Edward Jones raised SCANA from a hold rating to a buy rating in a research report on Monday, November 13th. Bank of America initiated coverage on SCANA in a research report on Tuesday, October 24th. They set a neutral rating and a $49.00 price target on the stock. Williams Capital lowered their price target on SCANA from $70.00 to $50.00 and set a hold rating on the stock in a research report on Wednesday, September 27th. Guggenheim raised SCANA from a sell rating to a neutral rating in a research report on Thursday, November 16th. They noted that the move was a valuation call. Finally, TheStreet downgraded SCANA from a b- rating to a c+ rating in a research report on Monday, October 23rd. Three equities research analysts have rated the stock with a sell rating, eight have issued a hold rating and four have issued a buy rating to the company. SCANA has a consensus rating of Hold and a consensus target price of $58.94.
SCANA (NYSE:SCG) last released its earnings results on Thursday, October 26th. The utilities provider reported $1.16 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.17 by ($0.01). The company had revenue of $1.08 billion for the quarter, compared to the consensus estimate of $1.17 billion. SCANA had a return on equity of 10.05% and a net margin of 10.45%. The business’s revenue was down 1.6% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.32 EPS. analysts expect that SCANA will post 4.17 EPS for the current fiscal year.
The company also recently announced a quarterly dividend, which was paid on Monday, January 1st. Stockholders of record on Tuesday, December 12th were given a $0.6125 dividend. This represents a $2.45 annualized dividend and a dividend yield of 5.65%. The ex-dividend date of this dividend was Monday, December 11th. SCANA’s payout ratio is 77.78%.
Several institutional investors have recently bought and sold shares of SCG. Teachers Advisors LLC grew its position in shares of SCANA by 13.8% in the second quarter. Teachers Advisors LLC now owns 210,321 shares of the utilities provider’s stock valued at $14,094,000 after purchasing an additional 25,435 shares during the last quarter. TIAA CREF Investment Management LLC grew its position in shares of SCANA by 2.2% in the second quarter. TIAA CREF Investment Management LLC now owns 301,099 shares of the utilities provider’s stock valued at $20,177,000 after purchasing an additional 6,359 shares during the last quarter. Ameriprise Financial Inc. grew its position in shares of SCANA by 5.1% in the second quarter. Ameriprise Financial Inc. now owns 91,602 shares of the utilities provider’s stock valued at $6,150,000 after purchasing an additional 4,416 shares during the last quarter. Amalgamated Bank grew its position in shares of SCANA by 60.1% in the second quarter. Amalgamated Bank now owns 14,963 shares of the utilities provider’s stock valued at $1,003,000 after purchasing an additional 5,615 shares during the last quarter. Finally, Profund Advisors LLC grew its position in shares of SCANA by 31.6% in the second quarter. Profund Advisors LLC now owns 15,002 shares of the utilities provider’s stock valued at $1,005,000 after purchasing an additional 3,603 shares during the last quarter. 66.51% of the stock is currently owned by institutional investors.
SCANA Company Profile
SCANA Corporation is a holding company. The Company, through its subsidiaries, is engaged in the generation, transmission, distribution and sale of electricity in South Carolina. The Company operates through segments, including Electric Operations, Gas Distribution, Gas Marketing and All Other. The Company is engaged in the purchase, transmission and sale of natural gas in North Carolina and South Carolina.
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